The Research On Some Stimulation And Restriction Of Executives In Gui XiBei Mineral Co. LTD

Based on the western and domestic theories (especially Super Property Right Theory) related to the problem of Incentive and Restriction of enterprise executives, this paper systematically analyzes the position, function, need and behavior of the stated-owned business enterprise executives after the split of two rights. It describes the basic characteristics of executives of the State Owned Enterprises and those of the Gui XiBei Mineral Co., Lt. By analyzing the Company's problems as well as those reasons of incentive and restriction, the writer points out that the main causes of insufficient incentive and restriction lie in the defects of property right system, the deficiency of governance structures, the monotonousness and lower payment system of executers, the immaturity of the market, the over-interference of the government and the long agency chain as well as the asymmetry among duties, rights and interests between middle agencies and executers. It puts forward that, in order to enhance the effectiveness of the incentive and restriction of the executives in the Company, the reform of the incentive and restriction system should be the focus and other complementary system should also be perfected simultaneously.Comparing with theoretical and practical experience of the study of the incentive and restriction of executives in developed countries and combining with the circumstances of Gui XiBei Mineral Co., Lt, The author reaches a conclusion that new reward incentive mode, based on basic salary, risk returns, position expenditures, dummy stock options, medical insurance, pension insurance, should be used to reform and perfect the material incentive for the executives of Gui XiBei Mineral Co.Lt. The author also explores the spirit incentive, controlling power incentive as well as the market incentive of the executers of Gui XiBei Mineral Co.Lt. Corresponding to the incentives system, this paper also analyzes the restriction system of the company and puts forward serious of restriction system, including systematic restriction, audit restriction, market restriction, law restriction as well as liabilities restriction.This paper not only helps Gui XiBei Mineral Co.Lt. build scientic and reasonable incentive and restriction system so as to motivate these executers and develop quickly, but also throws lights on the problem of incentive and restriction of executers in the whole industry.