A Design For Key Employee Shareholding In Company A

Company A has been in education and training industry for more than twenty years. At present, a core issue for this company is to develop a system which can hold and constantly motivate its key members of staff in order to maximize their creativity and initiative. Employee shareholding policy is regarded as the most effective equity incentive and has been benefiting the enterprises and played a big role in the market economy in developed countries since such a system was developed and implemented half a century ago. Then, various enterprises in China began to try this system and, to some extent, have witnessed positive outcomes from such experiment. This dissertation, taking Company A as the research target, aims at designing a key employee shareholding scheme which may satisfy the mutual interests of the company as well as its staff during their development and growth.First, by describing the opportunities and intensive competitions in the training industry, the importance of sustainable incentives to the key employees in Company A is clarified. Secondly, this writer tries to figure out the outstanding examples and experiences by referring to relevant bibliography concerning theories and practices on employee shareholding. Thirdly, through analyzing status quo of Company A, the necessity of key employee shareholding in the company is proposed with regard to human resources control and staff innovation. Accordingly, a scheme of key employee shareholding in the headquarters and its branches is designed by using the research methods of site investigation, questionnaires, and interviews. Finally, The impacts of such a scheme on those who fail to enjoy the privilege and possible barriers against the implementation of the scheme are also explored.The recommendations are made with regard to human resources and financial aspects which can further support the full execution of the key employee shareholding model.