The Performance Evaluation On Chinese Insurance Companies

Peter · Deluk ever said, "If you can't evaluate the enterprise performance precisely,you will not manage it well" . The article stands for the insurance enterprise managers ' point of view. Based on the definition of performance, we part the enterprise performance evaluation into two aspects ,financial and synthetic performance evaluation. The former is to stress on financial ratios,which does help to compare with other companies in this field .But single financial performance evaluation will lead to more risks and hazards.In order to avoid it ,we introduce the latter-synthetic performance evaluation,which synthesize financial and non-financial operational effects and make up the former's flaw. Involved in costs and commercial secret ,synthetic performance evaluation isn't perfect. So we synthesize the two aspects.In order to select the right performance evaluation methods, we probe in abroad methods and try best to think of native insurers conditions .In my views ,factor analysis and the balanced-scorecard(BSC) are two good choices.We use factor analysis method to evaluate insurance company financial performance and use the balanced-scorecard to devaluate its synthesis performance. In this article ,we provide two examples .We list 15 financial ratios of 16 assurance company in 2002 which market share locate at front row. By SPSS 12.0,we draw four primacy factors and performance scores.The balanced-scorecard include four aspects—finance ,customers,internal operate and development. We fabricate an assurance company and analyze it's the balanced-scorecard from quality and quantity characters.The article is divided into five parts except for introduction and conclusion. In the firstpart, we prescribe the definition of performance and performance evaluation .At the same time, we discuss their history and deduct the principle from it;The second and third part focus on financial performance evaluation. In the second part, we review the traditional and modern performance evaluation methods from which we find a good method -factor analysis. The next part ,we use SPSS 12.0 to carry through factor analysis on 17 assurance companies in 2002. And we deduce four primacy factors and calculate the scores of financial performance. The fourth and fifth part centralizes on synthesis performance of insurance companies. The fourth part tells us the phylogeny of synthesis performance evaluation methods which enlighten us a method -the balanced scorecard. In the fifth part ,we fabricate an assurance company and list trategical indexes and son-indexes. Based on this ,we calculate the scores of synthsis performance.