The Study About The EVA-based Compensation Incentive Of Executive In State-owned Enterpise

Senior managerial talent is the most important factor in the development of the enterprise.Though the reform of economic system and the stated owned enterprise have being on for about 20 years, the frame of modern enterprise system has roughly set up,operators'compensation incentive system ,especially in stated owned enterprise is still far away from the request of market economy.How to arouse the enthusiasm and fully give play of the operators compensation incentive means great to the reform of state owned enterprise.Firstly,the paper describes the background of compensation incentive, analyses the purpose and ignificance of the incentive pay and aggregates the Research rusults at home and abroad in recent years.Secondly,in the foundation of massive reading of compensation incentive theory, the paper redefines the concepts of the state-owned enterprises,state-owned enterprises operators,salaries,incentive and needs.And the paper has carried on the summary of the mechanism and the principle of design of the compensation incentive.And the paper Summes up the theory of compensation incentive at home and abroad. Again, the paper exproundes the mode of operation shape and characteritics of compensation incentive in western business. And the paper Analyses the Composition,the existing problems and shortcomings of compensation incentive in state-owned enterprise. Learning from the succcessful experience of western firms,the paper has Proposed for EVA-based phantom stock option planning which is fit for China.Then, the paper analies the need and practical significance which EVA applied to state-owned enterprises.And the paper analies the meaning EVA and the superiority of EVA-based compensation incentive and the problems which should pay attention to.And the paper analies the original mode of EVA-based bonus,and on the basis,the paper has proposed the EVA-based phantom stock option planning.At last,the paper has proposed strategies in a targeted manner to make the EVA-based phantom stock option planning perfect.