Research And Re-design On The Compensation System Of A Company

The competition among enterprises is in essence the competition of the people with ability. This is especially true for IT companies which are composed of the intelligent mostly and take technology innovation as primary operating means. Human resource plays a key role in the development of IT enterprises, and the contention of the people of ability is especially intensive. As the increasingly fierce market competition, how to attract and retain the people with ability in order to promote the transition of the company's strategy by the help of strengthening compensation management? This is the matter of life and death for the developing medium-sized enterprises.On the basis of study, collection, summary of relative theory and knowledge on compensation, this thesis takes A Company, a middle-sized software company, as a study object and makes a deep research on it by the guidance of regarding theories, to find out all of the actual problems existing in the compensation system. First, relative materials was consulted, to make a comparative clear understanding of macro policy on IT industry in China, the traits of IT companies and of the IT intelligent, the situations of supply and demand of IT intelligent, the status of compensation of IT industry. Second, a spot investigation was made in A Company, reading relative materials to collect such information as the basis survey, operating condition, company culture of A Company. Third, a number of first-handed compensation data were obtained by interview and questionnaire. Use EXCEL to statute and analyze the data so that to reveal the deficiency of compensation management of A Company as true as it may be. There are the findings: inflexibility of the salary, single channel of pay rise, unreasonable payment of bonuses, monotonous fringe benefits. To give a practicable solution of compensation system that is suitable to both the internal and external environments, the theory and technological method of modern human resources management are applied. There are the corresponding solutions: First, enhance the proportion of alterable compensation to strength the staff's feeling of pressure to make them feel a close-knit part of the company, and at the same time, to avoid cash crisis resulting from inflexibility of the termly payment. Second, establish double-way of compensation rise, to materialize the upgrade of the staff engaging in technology, and to avoid the waste of HR resulting from the compensation for the limited management positions for the rise of payment. Third, set up term-based prize system for the software developing staff, to encourage cooperation and study from each other, and to force them to struggle their way towards the company objects. Finally, enrich the fringe benefits system, on one hand to satisfy special demands of the staff, on the other hand to advance the company culture to be cooperative, harmonious and enterprising.The thesis suggests that the middle-sized IT companies represented by A Company should put premium on the construction of compensation system. The compensation elements such as development stage, operation strategy, financial situation, personnel structure, employee demand, should all be taken into account so as to make out an appropriate compensation system to help the company out and stand the competition.The result of the paper will on one hand play a direct role in guiding the management of the salary of A Company, on the other hand allow medium-sized IT companies facing similar problems to play a draw reference.