Theory And Empirical Study On Group Enterprise's Performance Evaluation Systems Based On Strategic Policies

Along with the economic integration of the world and the internationalization of competitions, more and more large-size enterprises begin to arise in China. After the expansion from the individual enterprises to group enterprise (hereinafter called the Group), the management mode of these originally individual enterprises can no longer suit the needs of efficient control, as the management magnitude increases. Therefore, in order to achieve further development, the attention of the mother companies begins to turn to the realization of the efficient operation and the high-profit management within the Group through efficient supervision and stimulations.Based on the need mentioned above, the establishment of a performance evaluation system, which may be used by the mother company to evaluate the performance of its subsidiary companies (or strategic business units), and to provide the support and control information for the its strategic management, has become an important problem in the management of the Group.Starting from the analysis of the position and the functions of the performance evaluation in the operation systems of the Group, this paper points out that the performance evaluation is in fact an important link in the strategic management of the Group. The fundamental purpose of the evaluation is to provide the support information for the strategic analysis, and to provide the control information for the realization of the strategic policies. Therefore, the evaluation systems should be established under the guidance of the Group's strategic policies. Bases on the above analysis, the studies on the theories related to performance evaluation, by making use of the available research work on performance evaluation, this paper proposes the component elements of the performance evaluation based on the strategic policies of the Group. At the same time, this paper further puts forward the concepts for the construction of the models of target systems and target determinations. For verification purpose, this paper, with a specific enterprise group taken as an example, analyses the composition of its internal operation mechanism, the establishment and development of its performance evaluation system, exposes the problems existing in its current evaluation system, and proposes the possible solutions for improvement in the light of the available research literature.