Study Of Executive Bonus Scheme Base On EVA

In order to solve the agency cost that exists in Corporate Governance, since 1990's, there emerged three types of innovation which are known as EVA, the Balanced Scorecard and Intellectual capital evaluation system. Such innovations represent the advanced practice in corporate performance management, and EVA has been regarded as "an innovation in modem corporate management". But it is not long since the EVA system was introduced to China, which is in continuous revising and developing by absorbing the latest work of other theories, so people know partly to the EVA system ,especially to its core section— Executive Bonus Scheme Base On EVA.The dissertation use the method of theory analysis and case analysis, the research emphasizesthe essentials other than the theory itself, efforts are made to get a panorama of the research topic"study of Executive Bonus Scheme Base On EVA", I hope this dissertation can offer somereferences for the companies that want to improve their competence by implementing the EVAsystem.This dissertation divided into four Parts. Chapter one, the Preface, the author expounds the significance of this thesis, the way he approaches the problem, the main contents of this article.In the second Part we give the introduction to the economic added value theory. This chapter mainly includes the concept of EVA and the original background, the economics foundation of EVA and the theory frame of EVA, the applied field of EVA.In the third Part we focus on Executive Bonus Scheme Base On EVA, research its theory foundation, its development history, its practical operation procedure and its application both at home and abroad.The fourth part has probed into the application of Executive Bonus Scheme Base On EVA in China. Have analyzed the internal and external prerequisite, the realistic applied environment when the enterprises of our country want to apply this scheme, have analyzed the limitation of EVA itself and put forward the countermeasure to dealt with all the limitation.