Building And Application Of The Compensation&Benefit System With H Company's Project-oriented Management

With development of the knowledgeable economic society,the knowledge structure is turning to be more and more complicated and the division of professional job becomes more and more precise,which makes project management becomes an even more important management tools.It becomes a main task for human resources management to figure out a way of making the knowledge-talented employees and technical employees involve in,even individually handle projects or tasks by targeting the complishment of the goal of a project or task,so as to get reasonable,fair and stimulating salary.Company H was established in 1994,whose most part of the business is carried out by project management with no complete C&B system.With starting of five I-classsification new medicine's clinical test,the company plans to set up a easy-understood-carried-out C&B system which is competitive within the society and fair within the company by the way of advanced management methodology and conception,in the condition of minor change of the present management system.This thesis proposes a clue to building a C&B system of project management based on the comprehensive thinking of the C&B and project management theory together with the company's practice.It described the implimentation,especially to the payment key factors.In addition,it is a sort of try of structuring the C&B system by multiple tools including salary wide band,dynamic C&B management and position system management.The article is composed of four parts,summarized as below:First:As Company H an example,taking its characteristics,including high input,high-risk,high profits and long cycle into consideration,analyze in-depth the compensation management problems,such as split-level management,lack of standards,structural disorder,lack of flexibility,lack of process standardization,and maintaining mere formality.The modular,structural and dynamic project thinking is proposed to adopt in order to establish a simple,competitive,internally equitable and well-controlled system as the target for compensation management in Company H.Second:Under the guidance of the salary strategy and contingency theory which are driven by the enterprise strategy,the matrix organization structure basing upon function and project management is established.Accordingly,the departments are divided into four levels,and the grading position structure is set up basing on job evaluation with 10-position-leval and 15-grade of each position level;the qualification channel for staff of the management and technical is determined separately according to their academic history,professional work experience and other factors;the preliminary work for salary system is well improved.Third:Through questionnaires combined with the company's actual situation,the annual basic salary,annual fixed salary,total annual cash,annual total compensation of Company H were thoroughly evaluated,the salary of the same field were analyzed via 25-percentile,50-percentile,and 75-percentile,and the data obtained during research were gathered by linear regression to analyze the internal salary system of Company H to find that that its salary was around 50-percentile value.Meanwhile,through the investigation and analysis of salary in different field,it's found that though there isn't too much difference in basic salary and fixed salary of each position,there is significant difference in total annual cash along with the promotion of position,and the gap of total annual salary is caused by the gap of welfare subsidy.Thus,company H made up its mind to establish its salary structure basing upon project management,and adapt the mixed compensation strategy of flowing type.Fourth:Based on case study analysis,the compensation factor for company H were defined as education,work experience,job classification,work area,pay model,skills,environment and talent shortage.Accordingly,the dynamic broadband pay system has been established.To simplify the management of compensation system,Company H uses the starting salary of fresh graduates as the base.According to its position system,the salary is divided ten-level,each level into 15 grades with 8%for each grade.Depending on the compensation factor,the different coefficient is designed,including city coefficient,category coefficient,and management coefficient;also the different kinds of subsidies are adopted,including academic/professional subsidies,qualification subsidies,seniority allowance,confidentiality allowances,other allowances and other supplemental wages,thus,the dynamic project management of compensation system could meet the needs of different stages of business development,thereby supporting the development of corporate strategy.Meanwhile,in order to ensure the enterprises competitive salary,the end-of-year bonuses and project awards have been designed as supplement to the fixed salary income of employees,thereby improve the satisfaction of the employees.