Reasonable and effective compensation and incentive mechanism is key to maintaining and stimulating incentives of the staff.By means of defining the main problems and defects in the current hospital compensation system in China,performance management is used as the cornerstone for designing the public hospital compensation and incentive mechanism.Resource-based relative value scale(RBRVS) assessment system is called into play to build a compensation management system,which features workload as the basis,technical competency and risk assessment as the reference and balance scorecard as the means.This can build a fair,scientific and reasonable salary distribution system and performance evaluation system,which maximize incentives of the compensation system,and in the end maximize the economic and social benefits of the hospital.

Executive power is the driving force of hospital development and the core competitiveness of the hospital. This article introduces the theory and methods of modern enterprise and business management, analyzes the malpractice and insufficiency of hospital administration by referring to the pattern of business management, analyzes the core of each process, and aims to build the system of hospital administration management based on executive culture and improve Hospital administrative processes and management systems to enhance the implementation of the hospital to promote a more healthy development of the hospital.