Research On The Improvement Of Compensation System Of Sunward Equipment Group

In the 21st century,high-tech industries have developed rapidly while the competition between high-tech enterprises is also increasingly fierce.Human resource,as an important strategic resource of high-tech companies,has become the core competitiveness of high-tech enterprises.It has become an important task of high-tech enterprises to make every effort to access,protect,develop and utilize human resource.As an active practitioner of the policy "enterprise-university-research institute-market"in Hunan Province,SUNWARD Equipment Group has been developing rapidly since its establishment in 1999.While obtaining excellent results of product development,company performance and other aspects,the company also faces many exposed management issues.Within them the salary system of senior management personnel needs to be put to top priority.Through investigation,this paper analyzes the conditions of SUNWARD Equipment Group’s current salary system.Following the principle and the procedure of salary system design,combining with the corporation’s development strategy and the real situation,the author improves the salary system of SUNWARD Equipment Group.The main problems are:there are disparities between the pay level and staff contribution and there are not any scientific quantitative evaluations to the salary standard;the transparency of salary management has been mismanaged;it lacks of dynamic salary management system;it also lacks of incentive system and long term incentive effect.These problems can be solved by analyzing position values among the middle and high level management;confirming pay standards;assessing position values and required competence among the middle and high level management;designing rationally salary structure;increasing variation of performance and salary;regulating annual salary system of middle and senior management;designing a long term stock-based incentive mechanism for them and establishing a relative thorough salary system.So these advices are given to keep the system running efficiently and we are able to guarantee the effective implementation of its program from the aspects of organization,system,culture and the technical means.This paper analyzes and improves currently salary system of SUNWARD Equipment Group by using both salary system theories and questionnaire survey,which makes it more scientific and impeccable as well as establishes a solid foundation for the company to achieve a competitive advantage in HR.Furthermore,this paper also can be utilized as a reference for other companies to design a scientific and feasible salary system according to its own practical situation.