Importance The research investigates the basis for economic analysis of the effectiveness of HR management, which the business entity forms. Objectives The article narrates about foreign expertise in determining whether HR management is effective and efficient. It shows that employees and HR department may be considered as subjects of analyzing HR management effectiveness. The article discusses the scenario involving employees in more detail. I refer to R. Wunderer's version on four options for evaluating the effectiveness of human resources management in the company: top-down performance appraisal, upward feedback, employee's behavior survey (questionnaires for executive management), executive's behavior survey (questionnaires for staff). Methods An evaluation of employees and managers pursues two objectives, i.e. to appraise their performance and potential. Staff appraisal may be conducted by the 360-degrees feedback, cost-benefit ratio, interview with the employee, portfolio. Employees and their supervisors may be surveyed through brief opinion polls that take place from time to time, family surveys of the employee or his/her family members. Results The entity may use various formats and contents of questionnaires. The article demonstrates some examples, their structure and contents. Conclusions and Relevance Businesses may make use of the results of the research in conducting economic analysis of HR management effectiveness.
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