Research On The Design And Implementation Effect Of Zhejiang Dahua Technology Co. Ltd Equity Incentive Plan

As a kind of management means that the owner of the enterprise inspires the enthusiasm of the executives and the core employees to promote the enterprise's performance and enhance the market competitiveness,the equity incentive plays a more and more important role in the development and growth of the enterprise.The research on the design of the incentive scheme and the actual incentive effect for the enterprise can provide more effective and optimized incentive effect for the enterprises with the future intention to use the equity incentive,such as strengthening the enterprise research and development ability,enlarging the enterprise scale,improving the employee's enthusiasm,improving the enterprise performance.The valuable experience of creating enterprise value and perfecting the design of equity incentive scheme.This paper takes Dahua two stock right incentive scheme as an example,studies the characteristics of its scheme design and the characteristics of its implementation effect,combines relevant theories and literatures,uses the literature research method,the Financial analysis method,the comparative analysis method,the event research method to analyze the equity incentive scheme design and its effect.This paper studies the factors that need to be considered in the design process of the equity incentive scheme,and the effect on the financial performance,innovation ability and staff structure of the listed companies.After the study found that the implementation of the two equity incentive plan,in line with the long-term development strategy of Dahua shares in the growth period and maturity to expandthe scale of business,improve enterprise research and development capabilities,create enterprise value,occupy the market.After the implementation of the equity incentive scheme,the profitability has been greatly improved,the research and development ability has been enhanced,and the transition process has avoided the setbacks and changes from the product provider to the program service provider.Dahua shares for performance evaluation indicators of the selection in line with the enterprise development stage.However,the equity incentive scheme of Dahua shares is not perfect,and the expansion of the scope of the incentive objects without proper restrictions on the target of the incentive is more serious,and the effect of equity incentive on the expected preservation of talent capital needs to be perfected.The research revelation of this article has certain reference meaning for the listed enterprises to carry out the stock right incentive.