Salary System Redesign In MH Real Estate Co., Ltd.

Compensation incentive has become one of the most important parts of modern human resources management.To design a scientific and reasonable salary system,to maximize its efficiency is an essential management tool, through which the enterprise could attract and retain talent,as well as strengthen its core competitiveness.MH Real Estate Co.,Ltd(hereinafter referred to as MHC) was restructured from a state company in 2002 year,but in following years its salary system still follows the traditional state-owned company's model,the system lacks of fairness inside and lacks of competitiveness to outside.It is necessary to reform the old salary system.Based on surveying the pay status and employee satisfaction to pay among the real estate lines in Ningbo area,after researching basic theory on salary system design,the Author analysis the disadvantages lies in MHC's former salary system,and provides an optimized design to the salary system.The main text of the dissertation as follows:1.Concerning common employee's lower pay level,after research the pay level of Ningbo enterprises,supply and demand on Ningbo labor market, work out pay level strategy.2.In avoid big ups and downs of MHC's annual pay amount,by adopting last year's social average wage growth rate in Ningbo area links compound index of MHC,establish a model to determine annual pay amount.3.For the purpose to express characteristics and demand from modern professional managers,develops annual salary plan,to solve the matching issue of the company's senior administrative personnel performance and their effects.4.In order to eliminate the disadvantage of traditional pay model based on position and job value,establishes employee position value model by scoring method.5.In order to maximize the performance of the project management team, by combination individual incentive and team incentive,established a model for project management team incentive based on a matrix organization structure.6.By researching developing trend of the welfare systems and long-term incentive mechanism,established a new welfare system,enterprise annuity and employee share the stock plan.7.Finally,by analysis the implementation effect,concluded that the new salary system is forward-looking,competitive,incentive and operative, which suitable for MHC's developing.At meanwhile,points out the shortcoming of the new salary system need to be perfected.