Guizhou Province Materials Group Restructuring

The essential Character of modern corporation system is to be adapted to the system of modern market economy. Although many corporations are limited liability or stock limited companies, they are not likely to accord with the demand of modern corporation system. Material Group Limited Liability Corporation of Guizhou is a large material circulation enterprise, which was established in the early period of 1960s.It has nearly 2000 employees, with hundred millions of assets. With the turn of planned economy to marketed economy and the name of the group company has been changed, the contradictions among the management mechanism, capital structure, property right system are gradually becoming a "bottle -neck", an impediment to the reformation and development of corporations, due to the traditional system of management model. In order to be adapted to the shunt of planned economy to marketed economy, the reformation of state material corporation system is imperative under the situation so as to be adapted to this system change. Only through the reformation of the structure or corporation management and juridical person management, a modern corporation system can be constituted with a clear property right relationship, a definite right and duty of inside structure, the disjunction of the duty between the government and the corporation and a scientific management system, so that all the employees can be encouraged to work for the development of their corporation. Only the realization of the sustainable development of the corporations. their status will be recognized in an increasingly drastic competition. Thus the reformation of corporation system has become an urgent problem existing in Material Group of Guizhou, and how to resolve those difficult problems is the key to the success.