Analysis Of Salary Motivation Of Ping An Bank Executives

The rapid growth of China economy also promote the rapid development of banking industry,domestic and foreign banks are competing with business and market share at the same time.The competition of banking talents also starts,especially for senior management talent.In order to attract,retain and develop excellent management people,it is an inevitable choice for banks to design a reasonable and effective salary motivation mechanism.At the same time as the management and ownership of modern company are separated,in order to encourage and restrict the senior management people of the bank to make beneficial business decisions,banks need to accurately reflect the operating performance in the design of executive incentive pay.The purpose of this paper is to study the salary motivation mechanism of bank executives and try to put forward some feasible suggestions to optimize the salary motivation mechanism of executives.This paper selects Ping An Bank as the research sample,analyzes its executive compensation motivation mechanism and compares it with compensation motivation mechanism of other bank.The relationship between executive pay and bank performance was explored by selecting the related indicators of profitability,risk control and corporate value.Data analysis concludes few problems of Ping An bank executive compensation motivation mechanism: incentive pay mainly reflect short-term performance,the evaluation of long-term performance is missing;bank risk control is not reflected in evaluation index system of executives,which will easily lead to operational risk.In order to improve the compensation motivation mechanism of executives,Ping An Bank need to solve the above problems from the following aspects:perfect the compensation disclosure system,strengthen external supervision;construct comprehensive performance appraisal system of executive compensation;establish and improve the long-term incentive system.These measures will optimize executive compensation motivation mechanism of Ping An Bank finally.