Public Enterprise Staff Incentive Mechanism Research

As China’s economic system reform proceeds further, all enterprises must consider how to maintain a winning position in the highly competitive market. One of the key methods that can help the enterprises is motivation. A reasonable and flexible motivation system can inspire the employees’positivity, so as to help the enterprise fully exploit its most valuable resources, human resources, to enhance its own competitiveness. Firstly By analyzing the psychological mechanism and theories of motivation, this thesis studies the motivation system in China’s state owned enterprises. First, it reviews the history of motivation in state owned enterprises. Then it analyzes current motivation practice in state owned enterprises with the example. It is pointed out that current motivation level is relatively low at state owned enterprises due to insufficient attention, as well as loose and rigid management under the influence of old traditions, though there are some adjustments in the process of reform. Then By analyzing the problems occurred in the motivation practice on state owned enterprises, this thesis intends to offer suggestion to our state owned enterprises on enhancing motivation.