In the era of knowledge economy, employees have higher quality, and have many-sided and multi-level needs. With the progress of the times, in addition to material needs, higher and deeper needs are mostly embodied in spiritual aspects. Therefore, it is necessary to establish an effective incentive mechanism to meet the various needs of employees. To establish an effective incentive mechanism, we must first understand the needs of employees, grasp their personality, control their behavior process, and evaluate their behavior. Because incentive is a process of comprehensively using various incentive methods, in actual operation, various incentive methods should be used in conjunction to play a greater role. Such an incentive mechanism can enable employees to regard corporate goals as personal struggles, link their own development with corporate destiny, give full play to their personal talents, and at the same time enable the company to obtain substantial benefits, and ultimately achieve the common development of individuals and the company .
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