Research On The Optimization Of Equity Incentive Scheme Of Guangdong Group

Since the last century,equity incentive has been carried out in developed countries.By 2021,the disclosure number of equity incentive of A-share listed companies has increased by 82.74% year-on-year.Equity incentive has become an effective measure for major companies to retain core talents and boost performance growth.This paper takes the failure cases of equity incentive implemented in 2015 and 2016 and terminated in 2018 as the research object,and analyzes the incentive motivation and content of the equity incentive program of Guangdong Group.By means of financial index analysis,economic added value(EVA),and non-financial index human resources,industry position,growth and innovation ability,the author analyzes the implementation effect of the equity incentive of Guangdong Group.Its found that after the implementation of the two periods of equity incentive measures,no obvious effect has been achieved in the aspects of improving corporate performance,attracting and retaining talents,and improving development ability.Finally,it leads to the failure of equity incentive.Further rationality analysis of the elements of the two periods of equity incentive plan of the Province Guangshi Group found that the reasons for its failure were that the scope of incentive personnel changed greatly,the incentive model tended to be conservative and unchanged,the performance appraisal setting was single,and the relevant time points of the incentive plan were not perfect,leading to the equity incentive plan was not suitable for the situation of the company.Then on this basis,based on the enterprise strategy as the guidance,to achieve talent attraction and retention and improve the long-term incentive mechanism of the enterprise as the purpose of equity incentive,and based on the exercise index based on reality,enterprise management follow the differentiation of subdivision and safeguard the interests of shareholders as the principle.This paper optimizes the equity incentive scheme of Guangdong Province Group from four aspects: reasonable planning of the object range of equity incentive,trying to update the mode of equity incentive plan,paying attention to the relevant time points of equity incentive plan and setting multidimensional performance evaluation indicators.It can bring inspiration or reference value to other companies that plan or are implementing equity incentive.