This study reviews relevant literature about the issue of
basis for pay and did an empirical research. The major objects
are three folds: (1)to conclude the categories of basis for pay,
(2)to explore the control functions of basis for pay, (3)to
examine the relationships between organizational technology and
basis for pay, and the mediating effect of performance
information. After reviewing the relevant literature, this
study conclude three categories of basis for pay: performance-
based pay, job-based pay and skill-based pay. In the
perspectives of organizational control, this three pay basis
have output control, behavior control and input control
functions respectively. We collect 141 department data from
87 companies on electronic industries as study sample. Among
three pay basis, we find performance-based pay is the most
emphasized pay basis, then job-based pay and skill-based pay the
last. To test our hypothesis, we choose LISREL as the
statistical analysis technique. Overall, our theoretical model
get some empirical support. The direct relationship between
technological characteristics and basis for pay was not very
significant. But the mediating effects of performance
information were found very important. Specifically, We found
the following: exception frequencies will affect performance-
based and job-based pay, mediated by the outcome measurability
and knowledge of transformation process ; analyzability will
affect performance-based and job-based pay, mediated by the
outcome measurability and knowledge of transformation process ;
interdependence will affect performance-based and skill-based
pay, mediated by the outcome measurability and behavior
observability. Finally, we make some suggestions for management
practice and future research.