| In the 1990s, China began to reform the telecommunications industry, when China Unicom has just been established. In order to break monopoly and to enhance the enterprise competiveness, Chinese Post Office which is dominance, was split into China Post, China Telecommunications, and China Mobile Group Co., Ltd. Later on, Guoxin Paging split from China Telecom was integrated into China Unicom. Several state-owned enterprises—China Netcom, China Jitong, Railway Communication, China Satcom, have been established in succession. In the next few years, China Telecom has been split and China Telecom in the South continued to retain the original business name, while China Telecom in the north emerged with China Netcom and China Jitong, known as China Netcom. The first round of the telecommunications reform came into an end. Meanwhile, these communications companies began to go downwards for a variety of reasons except for China Mobile. The corporate profitability declined and the competitiveness weakened. In 2008, a second round of reform and restructuring of the telecommunications industry started. China Mobile and China Railcom merged as China Mobile, while China Telecom and the C-network of China Unicom consolidated by acquiring, which retained the original name of China Telecom. China Netcom and China Unicorn's G network merged as China Unicom. The three companies were awarded full service licenses, the three pillars of the domestic telecommunications industry model has been established.Before the reorganization merger, the former fixed-line operator business of China Netcom Corporation and internet business compared with the former mobile operator business of China Unicom and Internet business, the existing business, management, business strategy, and corporate culture were quite different from each other. Although the full service licenses were awarded after the reorganization, which covers both fixed-line business services, Internet services, and mobile services, but as a new merger, the tasks China Unicom faces doesn't include the range of business, but also includes the range of integration.This paper started with the investigation into Daqing branch of China Unicom subsidiaries, focusing on a survey, analysis and design on its compensation assignment structure, so as to starts from the details of that moment. To provide reference for the entire integration and the restructuring work of China Unicom Group, it aims to provide the maximum play to human resources, mobilize the enthusiasm of staff and achieve company's overall development strategy goal.During the investigation of the current compensation assignment of Daqing Branch of China Unicom subsidiaries, it is found that the compensation assignment of this company is faced with the following three major problems.1. The total compensation of its staff is at a relatively low level.2.The same sub-index simplistic assessment led to inequitable premium distribution to back-front marketing and support staff.3. Different sub-indicators and diversified assessment methods lead to inequitable distribution of staff bonuses in same positions.Because of the salary distribution, it brought a lot of unavoidable problems to the subsidiaries, which.can shown as following:1. Compensation assignment problem exacerbated the difficulties of cultural integration after reorganization.2. Compensation assignment problem made the implementation in Process Execution even more serous.3. Compensation assignment problem increased resistance in supervision and inspection work.4. Compensation assignment problem led to the workers slack and inefficient. Aiming at the problems mentioned above and considering the actual situation of the subsidiaries, this paper analyzed its organization structure and relevant positions and emphasized on analysis and design of the compensation assignment based on a comprehensive study of various previous works.Found in the analysis of organizational structure, some obvious defects are mainly existed in three aspects.1. Span of management in some departments of the Brach is too broad.2. The implementation and supervising responsibilities fall in the same department.3. Organizational structure and development strategies do not match.In the organizational structure redesigned, functions incompatible are separated; besides, pairs of functions omitted are completed. Meanwhile, the separate department of business-related functions, which accounts largely for human resources and material, is under the charge. It emphasizes on adjusting the following departments:1. A customer service department was established.2. The existing public sector customer teams were designated of two public customer teams geographically.3. Business department was established.Based on the organizational structure redesigned, the paper redesigned the post system of employees under the overall framework of the company. New employees, general staff, squad leader, director of department, deputy director and director were classified in accordance with the ranks of post. In respect with the consumption level in Daqing City and the average income level of employees in the same industries, the ranks of post under squad leader are improved one level.After the redesign of organizational structure and posts, the paper focuses on analysis and design for compensation assignment scheme. Combined with the actual situation and the key factors considered—incentives, performance-oriented factors, labor costs, the average income and consumption level in the same city, this paper suggests that the overall design framework be maintained and followed. That is to say, the employee compensation is still composed of post wage, comprehensive subsidies, merit pay, non-recurrent competition awards and business development incentives. However, ranks of post should be adjusted to a certain level. Posts of regular staff should be determined from rank 6. Posts of dispatched staff will be determined from rank 2. Variable pay of public customer contracting group are to be increased to which social agent pay are added up. Business development incentives and non-constant competition reward of the service manager and key account manager should be increased; moreover, performance evaluation efforts will be enhanced. Coefficient of variable pay of department director and team leaders will be expanded.Among which, in the compensation assignment scheme, all posts are embodied the principle of performance-oriented, especially in the compensation assignment plan of contracting group with clear assessment criteria. It includes the fixed net effective user assessment, completed plans for the evaluation fixed income, effective users of broadband net assessment, completion of the project for the evaluation of broadband revenue, G-network development capacity assessment, value-added business income assessment and basic completion assessment. Assessment of contracting group is aimed to be combined with a new variable pay (channel pay). Assessment of contracting group score (percentile) can be regarded as the coefficient for channel pay, so that the main source of income of contracted groups are closely linked with performance. In this paper, this design concept is embodied in all posts in various departments to varying degrees and in different ways.Finally, to solve the problems that are likely to occur in links of former compensation assignment implement in China Unicom subsidiary of Daqing Branch, and to ensure that the smooth implementation of new compensation assignment scheme, this paper provides three protection measures. 1. Establish a standardized KPI assessment system.2. Ensure the staff salaries agree with the performance of the same branch.3. Strengthen the managerial communication.In summary, this paper analyzed the actual situation of subsidiaries of Daqing Branch of China Unicom.It combined individual pay with company development strategies, and realized the combination of organizational development strategies and staff compensation. In order to maximize the advantage of human resources after the restructuring and to mobilize the initiative of staff, it laid the foundation for the company overall development strategic target. |
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