Practices for improving labour productivity in the extractive industry

R.À. Dolzhenko and S.B. Dolzhenko
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R.À. Dolzhenko: Ural State University of Economics, Ekaterinburg, Russia
S.B. Dolzhenko: Ural State University of Economics, Ekaterinburg, Russia

Upravlenets, 2025, vol. 16, issue 2, 47-63

Abstract: Digital transformation at the industry level makes it increasingly relevant to explore the impact of high technologies on labour organization and productivity. Due to organizational diversity, the multifactorial nature and complexity of practical tasks, there is no universal toolkit to resolve them. The article formulates recommendations for the implementation of organi zational change projects aimed at optimizing staff numbers and increasing labour productivity at industrial enterprises. The foundation of research resides in the theoretical concepts of labour economics and scientific organization of labour, as well as the concept of lean production. The work employs general empirical research methods, as well as the case study method. It draws upon data from a large mining processing plant in Sverdlovsk oblast (Russia) for 2022–2023. The authors have developed practi cal advice for increasing labour productivity in the extractive industry through organizational changes, including transformation of business processes, reducing labour intensity of operations, improving span of control, outsourcing and outstaffing, etc. The proposed initiatives can be replicated to other divisions of the plant and to all the members of the corporate group that pursue the goal of enhancing labour productivity. The findings show that while maintaining output, reducing labour costs and optimiz ing the staffing level ultimately leads to increased workforce productivity.

Keywords: labour productivity; organizational efficiency; headcount optimization; organizational change; extractive industry; automation (search for similar items in EconPapers)
JEL-codes: J01 J24 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.29141/2218-5003-2025-16-2-4

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