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Design of a Broading-Banding Compensation System for YS Group

Author: ZhaoJie
Tutor: ChouXueQin; LuoGuoQuan
School: Yunnan University
Course: Business Administration
Keywords: Compensation Broad-banding Compensation Job Evaluation Compensation Management
CLC: F272.92
Type: Master's thesis
Year: 2011
Downloads: 109
Quote: 3
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Abstract


Human resources are the first resource for the survival and development of an enterprise. As the process of the economic globalization, the key competition is the Human Resources competition. Compensation management is one of the important parts of human resources management. Scientific and rational compensation system is a direct factor to stimulate the initiative and creativity of the employees and could provide strong impetus to help the enterprise to realize the development strategy and improve the core competencies. It could also help the enterprise to build a solid foundation for the long term development by attracting, retaining and motivating the core human resources.In this paper, guided by the theory of compensation management, an analysis is made on the traditional compensation system in the state-owned enterprises. The problem of restructuring the compensation system for the YS Group is aroused during the process of merging and reorganization. A new theory as Broad-banding compensation System is introduced. Based on the principles and methods of compensation design, a Broad-banding compensation system is completely designed for YS Group, mainly including the determine of the compensation strategy, dividing different job category by job analysis, establishing a factor scoring method for the job evaluation, determine the level and the range of each band of the compensation system by combination of the job evaluation results of salary survey data, design a different proportion compensation structure between the basic compensation and variable compensation for different job category in order to stress the performance and value-oriented culture. Some adjustment measures are also mentioned. Finally, the advantages and disadvantages of the compensation system are listed.A solution is provided for the design and establishment of the compensation system in a High-tech state-owned company during the merging and reorganization process. The process and results are useful references for the other enterprises when facing the same situation.

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CLC: > Economic > Economic planning and management > Enterprise economy > Enterprise planning and management decision - making > Corporate Administration > Personnel Management
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