A Study On Total Compensation Incentive Of HY Company Based On Psyehological Contract

At present, China’s steel industry is entering the depth adjustment phase, around the fierce price competition, cost-saving and profit-increasing has become the mainprofit source of steel industry. Management guru Peter Drucker thinks human resource has not been taken good use of, the core competitiveness of the enterprise will be the enterprise knowledge and talent. For iron and steel enterprises, therefore, how to discover their potential human resources and fully motivate staff to reduce costs and improve production efficiency, become a major topic for the sustained and healthy development of enterprises.This paper based on the research about the present situation of HY company human resources, defined the "first-line technical staff’ as:takes the majority percentage of HY company staff, has a certain technical and skill levels, work is given priority to producing a line of repetitive manual labor. They are guarantee of the advancement and quality stability of the company’s products, and the creator of enterprise’s core competitive ability. Their work attitude and work quality directly affects the production efficiency of the enterprise. So research on this group is of great significance to the H Y company.This article based on the psychological contract and the total compensation theory, using the method of semi-structured interview to figure out the HY first-line technical staff’s present situation of the psychological contract, explore the existence of psychological contract violation. If so, what is the root cause and if it is involved in the existing incentive system. On the basis of analyzing the problems, put forward the comprehensive compensation solutions and strategies. Total compensation strategy attaches great importance to the external compensation and inherent compensation, with the characteristics of comprehensive motivation, it can not only meet the material needs of the basic technical staff, but also their spiritual requirements, and therefore is a effective way to solve basic technical employees’ psychological contract violation. At the same time, in the process of design and implementation of comprehensive compensation system, we’ll constantly satisfy the basic technical staff with the transaction dimension, development dimension and relation dimension of psychological contract to strengthen the overall incentive and effective management of basic technical staff of HY.In this paper, we use the psychological contract theory to guide the comprehensive incentive system design of HY company and has made some exploration and innovation on how to apply psychological contract theory to human resource management practices.At the same time, this article provides a case support for the following argument:Employees’ psychological contract is an important content of enterprise human resources management, and with the development of the era, will play a more and more important role. Therefore, modern enterprise’s salary incentive system design should not only attaches great importance to the economic contract, but also should pay attention to the psychological contract of employees. Accordingly, should not only use material motivation, but at the same time, pay more attention to spiritual incentive.This article takes every effort to make theoretical innovation. From the information I have, many domestic scholars have made relevant discoveries of incentive system on perspective of psychological contract, they often take knowledge staff or technical staff as an object for research. In this paper, the target population is subdivided, so that the research results have certain realistic guiding significance.