Discussion on Marginal Incentive Effect Descending Issue in Staff Salary Administration
Junyi Chen
Abstract
Junyi Chen
Abstract
This article constructs a new salary model with the theory of expectation effect,it can overcome the problem of diminishing incentive marginal utility issues existing in the traditional salary plan.Owing to the new overall salary plan consisting of many kinds of different salary components,staffs can choose one of salary plans according to their personal preferences so as to realize the salary individuality,which can maximize incentive results of salary management.
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This article constructs a new salary model with the theory of expectation effect,it can overcome the problem of diminishing incentive marginal utility issues existing in the traditional salary plan.Owing to the new overall salary plan consisting of many kinds of different salary components,staffs can choose one of salary plans according to their personal preferences so as to realize the salary individuality,which can maximize incentive results of salary management.
Key concepts: Salary, Incentive, Business, Plan (archaeology), Incentive program, Marginal utility, Actuarial science, Economics