Study On The Performance Evaluation System Of State-controlled Commercial Bank Based On Balanced Scorecard

Considering the current status of performance management in state-controlled commercial banks, the paper analyzes KPI and EVA methods being used currently and then stresses existing problems of balances score card (BSC) in the branch of China Construction Bank where the author worked. Combining the author's practice, it modifies the model of BSC and builds revised BSC performance evaluation system based on general strategic objectives with three levels that involve company, department and employee. It raises personal study and development plan and tries to find out an effective and efficient BSC performance evaluation system with the goal of realizing the strategy, balancing and reaction characteristics of BSC and finally raising performance management level of state-controlled commercial banks.The paper includes mainly three contents. The first two charters comprise the first part that generalizes performance evaluation in state-controlled commercial banks. The third charter mainly analyzes the performance evaluation methods currently being used. The above first two parts are the basis of the third part which is the main one. The third part mainly analyzes the disadvantages and weakness of BSC model used by state-controlled banks and then rebuilds revised BSC system with three levels. It verifies the revised model with real performance evaluation data of the branch. The result proofs that the revised model can identify the existing problems of operation and management in the state-controlled banks and can also fasten the realization of cycling improvement and strategic objectives. Literature research, investigation, observation and modeling analysis methods are mainly used in the paper.Building BSC index system from practice stand point is the main innovation of the paper. As everyone knows, BSC should match with practical environment and can not be abused. It didn't work in the state-controlled commercial banks in the past and this paper aims to improve performance management in state-controlled commercial banks with revised BSC.