Research On Executive Pay System In Beifang Corporation

The pay management system is an eternal problem of the human resource management.The suitable salary system is the key on the gravting,keeping and inspirating the talents for a company.The important problem is how to establish a competitive and incentive compensation system for a company.Talented person,in particular the senior manager, is the key to solve the issue. Management and encouragement for the senior manager becomes increasingly the important and prominent questions for further development of individually-run enterprises.BeiFang Company is a middle and small private enterprise that engages in critical period which in the further expansion of market share, continuing to maintain the industry’s first.In the critical period,BeiFang company management for the senior manager face with challenge. During this critical period, the management company of senior management has encountered challenges.The existing pay system only plays a security role, with single structure and performance management failed to combine effective interaction and without considering the long-term incentives.it impacts seriously the working enthusiasm of senior executives, which restricts the implementation and realization of strategic planning of BeiFang company.So,the paper analyses the current situation of pay system of the BeiFang Company senior manager and draws out the main problem and its causes,using theoretical analysis and questionnaires, combined with data on the remuneration. In this paper, with the compensation theory as a guide and based on BeiFang Company’s strategy and reference to executive pay System of other private enterprises and state-owned enterprises,proposes improvement programme which is annual salary system for the senior management from reality. This scheme,not only takes consider into the short-term and long-term incentives for senior executives, also consideres an effective and positive interaction between pay and performance, trying to inspire enthusiasm and innovative of senior management and led BeiFang Company to realize the strategic planning gradually. Furthermore, in order to ensure the improved solution come true,combined with internal and external factors of salary, the papper also proposed safeguards measures.