The Analysis And Research On Compensation Incentive Mechanism Of Executives Of Our State-owned Enterprise

Along with the development of market economy , produced modern enterprisesystem which characterised by two rights separation, it brought about theprincipal-agent problem which also exists in the state-owned enterprises. In order tosolve this problem we must do the incentive problems of the state-owned executiveswell, this paper mainly studies compensation incentive mechanism of the state-ownedenterprise executives. This paper starts from the theoretical basis of incentive, andintroduces the economics and management aspects of the incentive theory detailedly,which including the human capital theory, transaction cost theory, demand hierarchytheory etc. This paper also analyzes the status of state-owned enterprise executivecompensation system, and pointes out the existing problems; supports theunreasonable situation of executive pay with date. Using the comparative analysismethod to analyze the American and the Japanese executives compensation incentivesituation, and gain some enlightenment. This paper analyzes the factors that affectingthe formulation of the executive compensation and builds the principles a good salarysystem needs to follow. Finally this paper puts forward the construction of salaryincentive mechanism, before construction we need to build a good environment toensure a smooth completion of incentive mechanism, including the construction of theexternal environment, market construction and the construction of national laws andregulations, and finally puts forward the compensation incentive mechanism model,which consists the short-term and long-term model of incentive mechanism, this paperalso introduces the empirical analysis and analyzes the stock ownership incentive ofVanke , we get the conclusion that our state-owned enterprises need to pay attention towhen carrying out the stock option incentive plan and put forward the executivesperformance evaluation index system based on EVA. We also analyses the welfareincentive in addition. We should set up the restraint mechanisms while putting thecompensation incentive system into practice and so that we can guarantee the smoothimplementation of the mechanism.