A Study On The Design Of Phantom Stock Option Plan In Company Jinhuang

Along with the increasingly fierce competition in the industry,taking the transformation and upgrading of decoration industry into consideration,it is important for decoration company to build a reasonable incentive system to retain talent,attract talent and guide employees and let them focus on long-term sustainable development.As an effective long-term incentive mechanism,equity incentive can fully meet the above requirements.But there are so many small and medium-sized private companies in decoration industry,and due to internal obstacles,private companies can not freely use the long-term equity incentive tools like the listed company.Therefore,how to choose the right equity incentive model for them and carry out reasonable scheme design is worthy to study.Based the aboved analysis,this paper attempts to introduce how case company use equity incentive,in order to help the non-listed company.At the year of change in the decoration industry,so it's important forJinhuang decoration,which is in rapid expansion of enterprises,to strengthen the enterprise human resources management to enhance corporate brand image and improve the current extensive management mode.This paper analyzes deeply the concept,motivation of phantom stock option theory,incentive function,application and limitation of Jinhuang decoration combined with the analysis of the existing salary system exists.Meanwhile from the two aspects of theory and practice,this paper expounds the necessity of equity incentive.After comparing the existing classic equity incentive programs in China,the reasons for the implementation of the phantom stock option are analyzed comprehensively as the golden decorative choice of non-listed company,and the feasibility of the phantom stock option incentive is discussed based on the characteristics of the corporate environment of Jin Huang decoration.According to the principle of phantom stock option plan and the concept of EVA,the design of phantom stock option plan such as price extraction,the quantityof phantom stock,time arrangement,the exercise conditions are illustrated.Finally,it puts forward the effectiveness analysis method and the supporting suggestion after the implementation of the phantom stock option plan.