The Research On Performance Compensation Allocation Mechanism Of Cell Production Team

With the successful application of Lean Production, an increasing number of manufacturing enterprises vie in using Cell Production with the purpose of shortening production cycle and improving production efficiency and benefit, according to different processing centers or production flows.However, performance evaluation and incentives of employee is emphasized in traditional performance compensation system, based on the positions establishment, but performance evaluation and incentives of enterprise is usually neglected. What’s more, as a whole, the job range of the Cell Production team is widely increased, which makes the traditional compensation system can’t be applied to teams. Therefore, the establishment of an adapted team performance compensation system becomes an urgent requirement. And the research should focus on the performance compensation allocation mechanism of the Cell Production team.The performance compensation is an important incentive method. And team’s performance compensation incentive scheme in this paper focuses on the allocation mechanism of Cell Production team. Firstly, it analyzes the background, significance, the basic idea and contents and puts forward the research framework. Secondly, the paper summarizes the previous study and concepts on team’s performance compensation, which provides the theoretical basis for the research. Based on the field research and depth study of job characteristics of Cell Production team and its’members, the paper discusses influences and design principles of the team and proposes the overall concept of the team’s performance compensation allocation mechanism, that is, a first assignment of the enterprise’s performance compensation how to assign to the Cell Production team and a second assignment of the Cell Production team’s compensation how to assign to team members. On the basis of which it establishes Cell Production team’s performance compensation system according to the team’s performance by constructing the Cell Production team’s performance evaluation system and evaluating the indexes’weight values by Analytic Hierarchy Process. Further, based on the individuals analysis of the Cell Production team, it establishes a second assignment of Cell Production team’ performance compensation system according to the contribution evaluation among the team members by Total Evaluation Method and the ratio of the team’s working hours and the individuals’. Thirdly, this study applies the theoretical results to the compensation practices. It constructs a new allocation system of the Cell Production team performance compensation for KH Company according to analyzing the basic situation of KH Company and its Cell Production department and the existing compensation system, which is the application. Finally, the whole dissertation is summarized and the article’s innovation is pointed out, that is the theoretical and empirical research of the team’s performance compensation allocation mechanism, which fills up the gaps in the previous study.