State-owned Coal Enterprises Employee Incentive Mechanism

With the rapid economic development and the constant improvement of the marketsystem recently, crises and challenges faced by enterprises grow grimmer by the day. Thecompetition for talent is increasing. State-owned coal corporations in our country shoulder theresponsibility of energy exploration and development. The business condition has a greatimpact on our country’s economy. Talent is the most important and vivid factors of production,as well as the important resource which should be paid great attention to. With the newsituation of the coal industry and the transition from labor-intensive industry to capital andtechnology intensive industry of coal mining enterprises, how to retain talent and attract talent,how to mobilize the enthusiasm, initiative and creativity of employees is state-owned coalcorporations’ top priority. Whether business managers could pay attention to the importantrole employees play in the development of the corporation from the height of strategy,whether they could control the developing direction of the corporation from a globalperspective and whether they could adopt an effective incentive mechanism to motivate thestaff and let them throw themselves into the job are the most significant questions that areworth considering and resolving for managers of state-owned coal corporations.In this paper, the object of the study is the incentive mechanism of the employees in thestate-owned coal enterprises. The study situation in our country and abroad is summed upand the related theories of incentive mechanism are summarized and explained; the currentsituation and characteristics of the incentive mechanism of employees in the state-owned coalenterprises are analyzed; the main problems are analyzed from seven aspects, respectivelythey are limited management ideas, unscientific incentives, imperfect mechanism forpromotion and ignorance of corporate culture, etc. The main reasons for these problemsinclude: the difference of cognition, disconnection between reality and system, inadequateexecutive power, etc.In this paper, the related theory of motivation is served as a guide to set principles andgoals for designing the incentive mechanism for the staff. Three-dimensional integrated structure of the incentive mechanism for the staff in the state-owned coal enterprises is builtfrom three dimensions, respectively they are objective management, compensation incentiveand job design. The countermeasures are put forward to make sure the implementation of theincentive mechanism from four aspects, respectively they are the transformation of ideas,perfection of the structure, paying attention to the importance of non-material incentives, andintegration of incentives, etc. It is of great importance to motivate the staff and excite theirpotential, develop all-round employees, and ensure the safe and effective operation andstrengthen core competitiveness constantly.