In modern society, compensation is of importance to not only healthy development of nation's economy and stable advancement of society but also stand or fall of an enterprise, it plays a vital role in enterprise management. Non-state owned enterprises follow with interest the issue on compensation, but they have only a one-sided view about it so that there are a good many problems on compensation. This paper gives a systematic and comprehensive analysis over "How to do"as well as "Why should be done"in compensation management of non-state owned enterprises. The content includes three sections as following: Section One: Based on defining non-state owned enterprises, looking back and ahead its development and discussing the situation along with cause and characteristics of compensation management of non-state owned enterprises, the necessity and importance of research on compensation management of non-state owned enterprises is indicated in order to provide practical basis for such study in this field. Section Two: By carding the theories related to criterion of compensation management of non-state owned enterprises, the compensation theories of enterprises are divided into traditional and modern compensation theories in order to provide theoretical basis for the research on compensation management of non-state owned enterprises. Section Three: On the basis of practical and theoretical theories mentioned in previous two sections, the target model of compensation management of Chinese non-state owned enterprises is raised, in addition to the obstacles of achieving the goal and suggestions for further improvement, looking forward to playing a positive role in standardization of compensation management of non-state owned enterprises.
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