Research Of Executive Compensation Pricing Model Based On Three Dimensional Value-oriented

With the development of economic globalization, it is impossible for enterprisesto survive in the competitive environment only by materials and simple labor. Theymust make full use of human resources which carry lots of information andknowledge. Therefore, it is of key importance for enterprises to hold a number ofoutstanding senior managers.The salary is pour which motivates the enthusiasm and creativity of managers.Currenttly, there is a big conflict between results acquired by empirical research onexecutive compensation pricing and theoretical basis. The key to conflict could be thatserious defect exist in value contribution measurement. The value of human capital,which is the basis for executive compensation pricing, doesn`t contain completely thevalue created by top manager’s contribution to companies. So it could screens humancapital value better and comprehensive that the research results of human capitalpricing is applied to the executive compensation pricing.In this study, the senior management personnel from the manufacturing industrywere chose as the research object to discuss measurement of executive compensation.There are three main aspects as follows: first, according to the relative researches ofhuman capital measurement, executive compensation pricing model based on3Dimensional value-oriented is put forward, which shows that the executivecompensation pricing be consist of three aspects: knowledge value, financial valueand social capital value; second, this paper discusses the value contribution tobusiness executive and proposes three hypotheses about the executive compensationand corporate value; Third, on the basis of formers, the relationship betweenexecutive compensation and corporate value is tested, using correlation analysis,regression analysis.The results showed that: the Relationship between value created by executives and compensation is mainly shown in two aspects. on the one hand,the financial value and social capital has a positive impact on executive compensation;on the other hand, the impact of knowledge value on executive compensation is notobvious. The conclusion of this study will have a certain guiding for the measurementof the executive compensation, and has some theoretical and practical significance toperfect the incentive mechanism of the enterprise.