Gb Produced Remuneration System Optimization Design

Nowadays, with the development of the market economy in China, human resources play a very important role in the business success. How to effectively attract and retain talents those business needs and to exert those potentials has become the key to success or failure of modern enterprise, while the compensation is one of the key lever to solve this problem. How to design a set of scientific compensation system, which combined with the corporate strategy and can be implemented, has a great practical significance for all enterprises.For production enterprises, there was a major turning point in China's current labor supply. The situation has changed from the old "unlimited supplies" into the current "limited surplus." Moreover, the structural shortage of labor in the future will happen regularly.As one of those production enterprises during development period, GB Company is also facing labor shortage. Based on GB Company's production department employees and some interviews with former employees to communicate, using a new total compensation theory to understand the real reason for high staff turnover and to analyze the existence of the key issues of the current pay system in the department. And using the theory of total compensation design on the GB stage of development, strategic objectives, organization structure and job positions of sorting out the system settings. Through job analysis, job evaluation, salary surveys and other scientific methods, the company targeted for production department GB staff all positions to optimize the original salary system.There are two aspects in the new pay system those are the material and immaterial compensation system. In the way of material compensation system, from an increase in pay of external competitiveness and internal equity aspects, and the positions set different levels of fixed pay, reserve pay up space. Variable pay is fully reflects individual performance and organizational performance. In the way of immaterial compensation, start from the humanistic management perspective, in order to enrich the production sector monotonous, boring, repetitive mechanized labor process, and emphasis on the spiritual life of the production department employees; improve their engagement and loyalty to the enterprise. Then, based on the new pay system and the primary one, compare the difference between the two systems and tell the advantages and disadvantage. Finally, make relevant recommendations related to the process of implement the new designed salary system.The total compensation system design for GB Company Production department, focused on the pay of the incentive, flexibility, full participation and corporate strategy, changed the philosophy of salary payment and the understanding to the employees; see the compensation as an investment rather than costs.