A Study On Performance Management And Compensation Design Of The Knowledge-type Staffs Based On Expectation Theory

Nowadaysthe world has entered the era of knowledge-economy.In the society ofknowledge-economy, knowledge replaces capital, land and other physical resources, hasbecome the active force which promotes economic and social development. Meanwhiletalentedstaff who depend ontheir knowledge and skills to create wealth and value havebecome a critical force to promote enterprise development. With the rapid development of theglobal knowledge economy, knowledge-type workers are playing an increasingly importantrole in the enterprise, knowledge and talent arethe core protection to occupy the markets andto get profits. Facing the increasingly fierce competitive environment, how to attract andretaintalented workers;how to fully stimulate their potential, in order to improve theirmotivation for enterprises to create more efficiencyhave become a key issue that the businessmanagers must be considered.Knowledge workers are these work-force groups who have some special characteristicsand needs.Therefore, in order tostimulate their enthusiasm and achieve their laborproductivity, to build a scientific and effective performance management and compensationsystem has become more and more important.Taking Vroom’s Expectancy Theory and it’s Three-Relationship notion as the theoreticalfoundation model.Building a scientific and effective performance management system allowsknowledge workers’individual effortstoget a fair and impartial evaluation and an equivalentrewards. Building a salary system which serves the knowledge-type staffs’needs,and linkingreward according to performance will provide diversity, differences compensation andbenefits system to strengthen the relationship between reward and personal needs.These waysreally can help businesses to attract and retain the qualified personnel.