The Research On Incentive And Restraint Mechanism Of Professional Managers In Private Listed Companies

It’s well known that private enterprises play a significant and irreplaceable role in the development of Chinses macroeconomic, make unique contributions to Chinese economy and deliver social benefits.With the rapid development of economy and integration into the world economy, private enterprises are confronted with increasingly fierce competition environment in national and international market. In the other hand, the lack of good managers, as well as the incomplete management mechanism for managers, has seriously restricted the development of enterprises and the improvement in their competitiveness.With the establishment of modern enterprise system and the continuous improvement of the human resource market mechanism in China, an increasing number of private enterprise shareholders prefer to hire professional managers as senior managers. These professional managers are often equiped with rich knowledge and excellent management capabilities; they grasp the overall enterprise strategy and carry on the important decisions, which exert a direct influence on the economic profits of the enterprise; they play a pivotal role in the development and expansion, orderly operation and target acquired of the company; they are increasingly becoming the core power to promote the development of private enterprises.Professional managers become increasingly important to private enterprises. On the one hand, their work enthusiasm and management level directly affects the survival and development of the enterprise. On the other hand, restricting their short-term behavior favorably guarantee enterprises to maintain stable, sustainable and healthy development. However, because of the still imperfect modern enterprise management system, undound professional manager market, the problems of invalid incentive and improper constraint emerge in certain degrees after introducing professional manager, which have attracted increasing attention.In order to establish an effective Chinese reality based incentive and constraint mechanism for the professional managers of private listed companies, this paper analyzes the actuality and problems of the professional managers of private listed companies’s development and incentive; reveals the influence of the professional managers of private listed companies’s incentive and constraint mechanism on enterprise performance; deeply discusses the instability of principal-agent relation between bailor and professional manager, comprehensively analyzes the impact of cooperation stability factors between bailor and professional manager on professional manager’s incentive and constraint mechanism, and then puts forward the methods of optimizing professional manager’s incentive and constraint mechanism; based on market-prestige model, analyses and discusses the role of establishing the incentive and constraint mechanism for professional manager’s prestige. Based on the above research results, the paper proposes the methods of optimizing professional manager’s incentive and constraint mechanism, that is:to establish scientific and reasonable, legal and standard material incentive system; to establish and improve the spiritual incentive system; to improve the constraint mechanism; to reconcile the incentive and constraint.