Construct The Eterprises Incentive Mechanism Under Beyond Budgeting Ideology In China

Budget management is one of the core content of enterprise management, developing from the former function of planning and coordination to a kind of integrated management system now which has combined the functions of control, evaluation, incentives and so on, is gradually perfected. Control and incentive are two main functions of budget management, and both of them run together can better serve the enterprise budget management. Currently, the traditional incentive mechanism are based on performance evaluation directly linked to budget target, leading to a large number of budget slack, so that difficult to achieve rational allocation of corporate resources, can't fully mobilize the enthusiasm of the staff.The starting point of this paper is the current problems of traditional incentive mechanism of budget management, combined with the successful experience of beyond budgeting in foreign countries, the principal-agent theory, incentive theory, life-cycle theory as the theoretical basis, the use of benchmarking, balanced scorecard and other advanced management accounting tools, to improve the method of combined defining base quota, trying to create the incentive mechanism with Chinese characteristics which can good serve the modern enterprise budget management and overcome the deficiencies of incentive mechanism of traditional budget management, that is the incentive mechanism under beyond budgeting ideology. The incentive mechanism isn't completely negative to the traditional ones, but use beyond budgeting ideology to improve it, and make it more applicability to avoid problems such as budget targets inaccurate, frequent budget relaxation, lack of budget control, budget formality and so on.The main contribution of this paper is designed the appropriate incentive model according to the features of life cycle, and set R Enterprises as an example to verify the model from horizontal to vertical aspects.