dc.description.abstract | With the continuous development of the social economy and the salary improved, the labor resource in mainland China is not as many as ever before. The increased personnel cost is one of the problems that the Taiwan-owned enterprises have to face, and the most serious problem is that the Taiwan-Owned enterprises in mainland China can barely satisfy the requirement of the new-generation rural workers on their thinking patterns, value concepts and behavioral motives. The research of case company (M company) is to build up the related talent incentive system based on the background that the value concepts of rural workers changed is a fundamental transform in mainland China.
M company is a typical representative of Taiwan-owned enterprise that it presents a useful effort not only for the new-generation rural workers’ incentive system but also for the researchers and staffs on the management of the new-generation rural workers with reference value. The purpose of this study is to help M company to improve its salary system of new-generation rural workers and set up with a really practical solution on the base of its actual situation analysis so as to give suggestions on how to improve its performance management and redesign its incentive system from various aspects.
Therefore, our study is based on the current situation of Taiwan-owned enterprises face in mainland China and the practical analysis of the case company. According to the rural workers turnover rate statistics of M Company from the year 2002 to 2011, we can find that the turnover trend of M company is increasing year by year and the rate in 2011 is 5.5 times of the rate in 2002 with an average increased by 22%. Based on the turnover rate of 303% per year and the rural worker manpower of 2693 in 2011, the average turnover headcount of M company in 2011 is 680 per month and 8160 in total per year.
As to our investigation and research, we do the turnover analysis of M company from the aspects of external factors, internal factors and personal factors to find out the solution for proposal. M company has taken actions on salary structure adjustment, performance evaluation based on PPS Efficiency, training and career development improvement, position allowance based on skill developed by grades. M company also has set up some programs to develop employee relations such like outstanding staff selection, general manager open day and employee assistance programs.
Through the above improved actions, M company received a significant effect that the rural workers’ turnover rate of the first quarter in 2012 has decreased by 23.24%. However, M company is doing a manufacture process change from labor-intensive to automatic production so that the standard job requirements of the rural workers are also changing from the human-input to profession-input accordingly. Because of that, with the talent structure changed, M company also need to improve its incentive system accordingly on which aspect that our study doesn’t explore a lot but suggesting for further research in the future.
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