A Study On The Incentive Mechanism For The R&D Personnel Of FAW Group Corporation R&D Center

In the knowledge economy era, human resources have become the first resources of the enterprise. The competition amid enterprises is, eventually the competition of talents. Research and development personnel are the most important resources of a technology-oriented enterprise, they can creatively resolve key technological problems of a technology-oriented enterprise. They are an embodiment of technological energy of the enterprise, an indispensable core force of the enterprise to achieve economic index and economic benefit. They, by making use of their capabilities to convert knowledge into fortunes, can create excess value exceeding their own value, controlling the ultimate level of creation of fortunes. With the advent of knowledge economy, the research and development personnel who command core technologies become the key factor that governs the fate of the enterprise concerning future survival and development. With China's accession to WTO, China automotive enterprises are facing increasingly keen competition from international and domestic automotive industry, the focus of competition is the keen scrabble for limited number of research and development talents. The management on research and development personnel differs from that of ordinary employees. These people are characterized of creativeness, independence and defying authorities, moreover, their achievement is hard to define. Only when their characters and demand from different aspects are analyzed carefully can we find an effective measure to encourage them to play greater role, therefore, a perfect and effective incentive mechanism must be set up. As a product research and development department of FAW Group, FAW R&D Center shoulders the important mission of developing national automotive industry, meanwhile it is also required to seek self development amid keen competition, therefore an effective incentive mechanism must be set up to encourage the R&D staff, the coremost resource of the Center to play greater role. For recent years, although we've made some study and achieved a lot in the buildup of research and development team, yet we still face substantial pressure out of the fact that the incentive of the research and development personnel is not put into full play, there are still some problems existing in the incentive mechanism of research and development personnel such as the wage and salary distribution system is far from competitiveness, the long-term incentive works poorly, the performance appraisal system leaves much to be desired, project management mechanism and training fail to achieve desirable outcome, the employee's career development channel is not applicable, etc., therefore, a vigorous incentive mechanism is urgently needed in FAW R&D Center. This paper, by making use of human oriented management theory and incentive theory of modern human resources development, incorporated with the actual conditions of FAW R&D Center, put forward suggestions that call ongoing all out to build an atmosphere of incentive mechanism for the research and development personnel, persisting on relying on the advanced project management mechanism, setting up a sound and perfect salary distribution system, making use of perfect performance management and systematic science training mechanism to conduct career development planning for the research personnel in a bid to build an appealing incentive mechanism for the research and development personnel and lay solid foundation in term of talents for FAW R&D Center to become the largest research and development center in China and in the world.