Salary Structure
The salary structure of modern enterprises has three main components: salary, performance, bonus (year-end bonus and special bonus) and welfare (statutory welfare and enterprise supplement benefits).
1. Enterprise Average Performance Award refers to a certain proportion of profit revenue from a month or a quarter of the enterprise.
2, the position performance award is generally a proportion of a proportion of departments in the department's profit income, and there is no income to equilibrate with a certain standard.
The principle of issuance
The business decision layer should be noted when deciding whether to adopt performance salary. The performance salary system has no violation of the organization's purpose, which is conducive to realizing the strategic goals of the enterprise, can improve the performance of the company, as long as the program is appropriate, performance salary can have benefits to enterprises.
During the design of the KPI index design application in accordance with the SMART principle, due to the understanding of the SMART principles, the deviation of the indicator can cause overall refining, key indicators and "medium" and assessment target deviations and assessment cycles are too short. problem.
At the same time, although KPI has highlighted the key points of the company's development, and implement an assessment of results-oriented. However, the equilibrium effect between the sectors is not obvious, and the relationship between the department and the weight is ignored. Moreover, the elements of KPI are basically independent of each other, and there is no connection to each other. There is no advance and lag in the dimension of time. Its decomposition and implementation are at the heart of the established target, so it cannot highlight the characteristics and functions of the department or individual.
Main features
Advantages
1. Put personal income with its own work performance directly, will encourage employees to create more benefits, and Do not increase the fixed cost of the company.
2. Strict, long-term performance salary system is an effective way to continuously improve employee's work ability, working methods, and improve employee performance.
3. This method has rewarded performance of employees, and also acquires and reserves the performance of employees.
4. When there is no bonus, although there is no bonus, due to the low salary cost, the company can not speculate, less spectrum, let employees have a sense of security, increase the loyalty of employees; When the economic recovery, the company also has sufficient talent reserves.
Disadvantages
1. Performance salary encourages the competition between employees, destroying the trust and team spirit between employees. The employee will block information, conservative experience, and may even compete for customers. This approach is not applicable to companies that must have good outputs that must be part of the team.
2. Performance wages encourage employees to pursue high performance. If the employee's performance is inconsistent with the interests of the organization (department, company), there may be a case where individual performance is improved, and the organizational performance is reduced, and this method will lose value. For example, in order to reach a transaction, the salesperson may make a lot of free service commitments to customers, and the company may invest high costs in order to fulfill their commitments.
3. Employees may harm the interests of customers in order to pursue high performance. For example, the insurance company's salesman, in order to achieve over-exaggeration of the policy. When you are broken by the customer, it is possible to ask for an exemption. At the same time, the Baoda will also have no trust in the insurance company. Another kind of doctor may give the patient to the patient to high the drug, do unnecessary expensive examinations. This approach has the purpose of violation of the hospital, and it will also damage the image of the hospital.
4. In the administrative institution, performance salary is issued by the unit leaders, but will make the unit leaders more power, which is likely to lead to a more serious corruption.