A Study Of The Human Capital Of SOE Operators Participating In Income Assignment

Knowdedge-based economy develops rapidly in the 21^st century. In the intense martket competition, the decisive factor has changed from the tranditional financial capital to human capital. With the increased importance of human capital, it will particiate in the income assignment of an enterprise inevitably. The purpose to study the problem of human capital and income assignment is to maximize the potential of each production element, increase the labor producitivity and create better economic profits by scientific income assignment. Based on existing theory of human capital and income assignment, this thesis utilizes the standard and experimental research methods, focuses on the system analysis and studies how the human capital participates in income assignment in state-owned enterprise by a mathematical model. The differences in income assignment systems of enterprised before and after 1978 are compared. Based on the analysis of the current income assignment system, the income assignment systems in state-owned enterprises are evaluated. The problem on how to choose the income assignment system for human capital is discussed, which provides a reference for current operators of state-owned enterprises. The conclusion is that to change the current status of low profits in the state-owned enterprises, modern enterprise system has to be established and attentions have to be paid on the requests of the operators in participating in income assignment. There are a number of ways for operators participating in income assignment. However, each way has its own conditions. The author designed a new income allocation procedure based on the previous yearly salary system.