FH Group Company Compensation System Re-design

Compensation management is the important content and function of human resources management because it is the significant measure and means for the enterprise to attract, retain and motivate staff and the key guarantee for the enterprise to motivate their staff’s sense of responsibility, enthusiasm and creativity and to promote their core competitive power. Under the circumstance of world economic integration and fiercer international and domestic competition, compensation management is more and more highly regarded and reinforced by enterprise so that it has been the key research project for human resources management and strategic goal research and practice.FH Group Company is a diversified business group which was established by Labor Union Shareholding Congress of a certain Electric Power Construction Company in Shandong in2002. On one hand, FHi Group Company is still restricted by the founding Electric Power Construction Company, on the other hand, due to its business and staff diversification, its compensation management system can not tightly combine with enterprise practice and effectively promote enterprise development. In different degree, the same question is also faced by domestic enterprises similar to FH Group Company so that compensation management reform and innovation are attached more and more importance.In recent years, in order to adapt to market competition, FH Group Company carries out innovation and reform in compensation management. Taking compensation management system of FH Group Company as the research subject, the thesis studies and analyzes the compensation management status quo and compensation management reform direction of FH Group Company. It aims for making best use of compensation function in improving staff performance, enterprise efficiency and enterprise core competitive power via compensation management system study and re-design, which is also the starting point and research purpose of the thesis.Based on modern compensation theories and practice results, the thesis analyzes the current compensation management system of FH Group Company and puts forward the relative reform countermeasures as per faced circumstance and practice to improve inner vigor and competitive power in the enterprise for realization of its established strategic development target. Through interview and investigation questionnaire and absorbing study results of modern compensation theory, the thesis offers a complete compensation management system scheme for FH Group Company and lays a solid foundation for its improvement of human resources management and enhancement of competitive power.The thesis studies and analyzes compensation management system reform of diversified enterprise in China, but it can provide significant reference and guide for compensation system construction in similar enterprises.