Study On The Incentive Mechanism For Knowledge-based Employees In H Management Consulting Company

As the era of knowledge based economy comes, the human resource element, instead of the capital element, has progressively become the main factor in companies’ core competition. The change of the main factor in companies’core competition brings evolutions on ideas of enterprise management. The way to establish an effective human resource encouraging mechanism has become a major task for all companies in their human resource management.Focusing on the consultants, the paper carries out a study on the incentive mechanism for knowledge-based employees in H Management Consulting Company. The essential problem encountered with H Management Consulting Company is the consultant turnover rate which is much higher than the industry average figure. They either join the competitors or start their own businesses to compete with H Management Consulting Company which has impeded its business development and caused negative effects on enthusiasm of the retained employees. How to inspire work enthusiasm of the knowledge-based employees has become the key question confronting the company.Based on the traditional theory of motivation and knowledge-based employee incentive theory, combined with the characteristics of the consulting industry and consulting employees, this paper has conducted empirical investigation on the consulting employees’ motivation demands and the effect of the current incentive system by questionnaire survey and staff interview. On the analysis of the data, the paper outlined the existing problems and made improvement suggestion and specific measures. The paper aims to help the company improve human resource management level on attract talent, cut turnover rate, retain talent and enhance competitiveness. The study on the incentive mechanism of H Management Consulting Company has significance on other small and medium consulting companies to improve their talent incentive system.