Research On The Compensation Satisfaction And Its Incentive Mechanism For Senior Executives In Shaanxi Construction Machinery Company

Enterprise senior executives,as the decision-makers,managers and controllers in the daily business activities,play a central role in the allocation of various elements,and has a vital impact on the survival and development of enterprises.As a result,whether they are satisfied with the salary and whether the salary incentive mechanism is effective are two problems that every enterprise has to face.In particular,with the acceleration of the reforming process of state-owned enterprises in our country,it has attracted broad attention of the society and also becomes as a focus topic in academic researches about the salary of senior executives in state-owned holding enterprises.Shaanxi Construction Machinery Company is a typical state-owned holding enterprise.It is the point of this paper to find out the main factors that affect the executive compensation satisfaction in state-owned holding enterprises by analyzing the current status of executive compensation in Shaanxi Construction Machinery Company.Ltd and having a survey of its satisfaction.Based on the results,this paper will set up the executive compensation incentive mechanism in Shaanxi Construction Machinery Company Group Company and propose new measures to improve the executive compensation incentives as well as the performance of enterprises.By analyzing the current status of executive compensation in Shaanxi Construction Machinery Company,this paper points out that the main problems in the executive compensation include:separation of executive compensation and enterprise performances,lack of internal supervision of executive compensation.On this basis,by conducting a survey of executive compensation satisfaction,five main factors affecting executive compensation satisfaction in state-owned holding enterprises have been found,including compensation strategy,compensation design,compensation structure,performance management system and transparency of compensation.Based on this,this paper proposes the executive compensation incentive mechanism of Shaanxi Construction Machinery Company Co,Ltd,i.e.short-term incentive mode and long-term incentive mode.As a premise to improve the enterprise performance,this paper proposes some measures to improve executive compensation incentive,including:standardizing the functions of compensation committee,perfecting internal supervision mechanism,improving the quality of information disclosure,establishing performance-oriented enterprise culture construction,establish a scientific executive compensation appraisal system.Based on an in-depth analysis of the current status of the executive compensation in Shaanxi Construction Machinery Company,this paper puts forward some suggestions and options on improving the management of and enriches the study of executive compensation in this company,which provides a reference for decision-making for improving the incentive mechanism of executive compensation in state-owned enterprises.