Expansion Of The Enterprise Performance Evaluation System And Applied Research

With the coming of the information age, the traditional enterprise performance evaluation system which only focuses on the financial side cannot meet most companies' requirements in these days. So the enterprise should strengthen the management on the non-financial side besides on the financial side. In order to evaluate the enterprise operation performance comprehensively, we have necessarily to expand the present evaluation system further, especially the non-financial side. Only through this way, we can combine the evaluation on the financial side with the non-financial side more closely and strength the evaluation system's science, objectivity as well as pragmatism, then we can establish a set of evaluation system which fits for Chinese enterprise. My paper includes four parts:Part-One he basic theory and development of the enterprise performance evaluation system. In this part I introduce the origin and implication of this system firstly, and then discuss its basic theory and development in practice. The basic theory includes three aspects: the principal-agent theory, the management theory and the maximum & minimum principal. Finally, I describe the development of the evaluation system in the western country and our country.Part-Two he design thinking, process and method of the evaluation system. Firstly, I introduce the whole design train of thought; secondly, I expound the components of the system and evaluation process; lastly, I describe the main methods of performance evaluation in the western country and china these days, such as the Balanced Scorecard and National Capital Performance Evaluation Rule.Part-Three he expansion of the evaluation system. In order to solve some problems in our current evaluation system on the financial and non-financial sides, I put forward my opinion 梩he evaluation system needs to be expanded further. On the financial side we should supplement some new indicators, and we can still use the present evaluation method. On the non-financial side I suggest to divide the eight indicators into four parts, which are production (service), customer, innovation and staff, and then classify them into fixed quantity indicators and quality indicators. We can evaluate the quantity indicators by the function-effective coefficient method, at the same time we may use the blurred information comprehensive evaluation method to evaluate the quality indicators, then putting the results of this two aspects together, we can gain the total evaluation on the non-financial side. At last, we integrate the financial and non- financial results into the whole enterprise performance evaluation.Part-Four he application of expanded evaluation system. In this part, I explain the application of expanded evaluation system by a case. I select some main indicators of this system to evaluate two smelter manufacturing companies' performance, and draw an evaluation conclusion. Through this case I want to expound the practical significance of this evaluation method for Chinese enterprise.Enterprise performance evaluation system plays an very important role in business operation, so we should try our best to develop it continuously.