Research On Manager Incentive And Restraint Of LX Group Company

LX group was a private enterprise founded in 1997.Currently,it is a group company providing comprehensive credit management services in China.Its services involve all aspects of financial and business risk management,and the main business of LX group is the outsourcing of bad loans of major commercial banks and financial institutions.In recent years,LX group has got fast development with the growing of the financial outsourcing collection industry.However,some problems are also exposed,especially in the aspect of incentive and restraint mechanism of the operator,although LX group implements the annual salary system,but there is no other form of salary and incentive except the normal salaries and bonuses.This results in negative work and high turnover rate.These seriously restrict and affect the long-term development of the LX group.In the face of the fierce market competition of current collection industry and great opportunities for development,,how to formulate and implement effective incentive and restraint mechanism for managers is the key to maintain LX group's competitive advantage in the collection industry.On the basis of collecting and arranging a large number of documents,this paper makes a systematic study on the incentive and restraint mechanism of LX group managers by drawing on the successful experience of domestic and foreign enterprises in implementing the incentive and restraint mechanism of managers.First of all,this paper analyzes the present situation of incentive and restraint mechanism of LX group managers,and reveals the existing problems.Secondly,according to the principles and objectives of LX group managers,this paper sets up a comprehensive incentive system for LX group managers.1.Put forward the operator's virtual equity incentive plan,and design the specific implementation of the virtual equity incentive scheme.2.Put forward a comprehensive salary and welfare plan and spiritual incentive program.Finally,improve the corporate governance structure of LX group,establish the internal control mechanism of the highest level,set up the constraint conditions of the virtual equity incentive,implement the comprehensive budget management mechanism,and establish the comprehensive restraint system of LX group.The characteristics and innovations of this paper are mainly manifested in the following aspects: 1.Through the adjustment of the equity distribution system and salary system of LX group,the operator incentive system is optimized innovatively;2.Through the improvement of the governance structure of LX group and the innovation of the financial control mechanism,the company's comprehensive restraint system has been established.The research of this paper not only provides a feasible incentive and constraint mechanism for managers of LX group,but also provides a theoretical basis and analytical approach for the study of incentive and constraint mechanism of other enterprises.