Study On M Corporation's Compensation Design

Recently, human resource management has been brought to strategic stature by entrepreneurs. And at the same time HR dept. has been changed from non-significant functional department to the strategic fellow of operational department. The competition for human resource, which is the key competition element, is the essence of the future competition among corporations. And we all acknowledge that what is the most important for the human resource is the compensation for its value, which becomes the most powerful inherent impetus and the most forceful incentive instrument for the employees. A corporation must not get the competition advantage depending simply on a right competition management system, inasmuch as material compensation is not exclusive incentive instrument. By contraries, without a right competition management system, a corporations can not gain the competition advantage in human resource absolutely, considering that compensation management plays an important special role in human resource management, which can not be replaceable.Compensation management has always been a core part of human resource management. And in the modern corporation management, compensation is not only the traditional carrier of the produce expenditure, but also has become the management element in close relation with the strategy of human resource exploitation. Compensation management that must take the firm strategy as start point induct and shape employees'action on an incentive way, which means the absorb, inspirit and hold the key staff under the budget of compensation. This paper in guide of the modern compensation management theory, relies on the thought of finding, analyzing and solving problems, and holds the principle that claim relation between theory and practice. And the author takes the M corporation as research object, in consideration of its developing strategy, and then design a compensation system that suit the status of M corporation.Through the design of the compensation system of M corporation in this paper, the author hope to give an compensation project for reference, and act positively on the practitioners in the realm engaged in the research on the pattern of the compensation management.