In the era of knowledge economy, em

In the era of knowledge economy, employees have higher quality, with multi-disciplinary, multi-level needs. With the progress of the times, these needs in addition to material, higher and deeper needs are reflected in the spiritual aspects. Therefore, we should establish effective incentive mechanism to meet the needs of employees. To establish effective incentive mechanism, we must first understand the needs of employees, grasp their personality, control their behavior process, evaluate their behavior. Because incentives are the process of comprehensive use of various incentives, in practice, should be combined with the use of various incentives in order to play a greater role. Such incentive mechanism can enable employees to regard the enterprise goal as a cause of personal struggle, their own development and the fate of the enterprise linked, in giving full play to the wisdom of individuals at the same time, so that enterprises get rich benefits, and ultimately achieve common development of individuals and enterprises.