The Optimal Design Of A Company's Compensation System

The accelerating process of global economic integration makes the increasingly fierce market competition,new technologies and new products continue to emerge.In the traditional manufacturing industry,products are single,development mode is intensive and companies lack independent innovation ability,all of which are very easy to be eliminated by the market,and are badly in need of upgrade.The strategic transformation of enterprises also needs to change the organizational structure,human resources management and the corresponding management mechanism.So enterprises should construct scientifically,apply rationally and manage dynamically the compensation system,to become an important means of enterprise personnel maintenance,and to achieve strategic objectives.Based on the study and analysis of connotation,mode and the related theory of the modern compensation management system,we devoted to anatomizing the status of human resources and compensation system in A company.We also made a survey on the satisfaction of employees about the current compensation system.Some inadequacies of A company's compensation system are summarized,which include post value not really reflected in the compensation structure,lack of distribution fairness and dimension setting balance,single salary growth mechanism.All of the problems lead to the failure of the compensation system not fully playing its due incentive effect.Influence factor analysis is also applied to the comprehensive assessment of the existing compensation system of A company,especially the post evaluation mechanism,compensation structure design and performance appraisal mechanism.This study sorted out A company's internal all posts,write job description and carried out job value evaluation by the use of the point-factor method.We also calculated the total points of all posts,and determine salary levels according to the salary grade standard,which supplied data base for the optimization design of compensation system.On this basis,we re-optimized the design of the new compensation model and performance appraisal mechanism,and also strengthened some dimensions' weight in salary structure,provided the dependable and valid paths for the employees' occupation development.Finally,we analyzed the resistance and practical difficulties encountered in the implementation of the compensation system optimization process,and had taken a series of measures in order to reduce the resistance and to promote the optimization reform,such as the establishment of reform group and regular reform briefing,the establishment of communication mechanism to expand the publicity effect,the improvement of the performance appraisal mechanism to emphasis on incentive function,and the optimization of the salary budget management to pay timely.