Improving China's State-owned Assets Management System

Each country over the world has some state-owned assets. The management of state-owned assets is discussed globally. The ownership of the state-owned assets is entrusted by the people to the government. Through continuous reform and exploration of the management system of state-owned assets, a management mode that suits the practice of China has been developed gradually. The conception of"to establish a management system of state-owned assets that the central government and the local government respectively exercise the responsibility of the contributor on behalf of the country and enjoy the interest of the owner, the rights and responsibilities come together, the management of the assets, of the people and of the affairs combine with each other"is raised in the 16th CPC National Congress. The State-owned Assets Supervision and Administration Commission (SASAC), which is dedicated to the management of state-owned assets, have been set up in the central government and most local governments, and the mode that"owned by the state as a whole, the ownership is exercised by the local government of different levels"is established.As a dedicated organization that supervised the management of state-owned assets, despite that the SASAC has been set up, the arguments and questions on how the SASAC effectively manage the state-owned assets, how the SASAC is positioned, and how to solve the tricky problem worldwide that state-owned enterprises are hard to manage and are with low efficiency never cease. Scholars from the central government, local governments and colleges have discussed them widely.Temasek Holdings is a dedicated management company of state-owned assets from Singapore. Its excellent achievements and successful experiences in managing state-owned assets has enlightened the management of state-owned assets of China. The success of Temasek Holdings depends on that it strictly comply with the business principles and has a robust manager market, detaches the management of the managers from the government and on the high efficiency of the Board of Directors.From the actual situation of China and the initial aim of the establishment of the SASAC, in order to better exercise the management function of state-owned assets, the author thinks that the SASAC may take the following steps to improve itself:(1) to modify relevant regulations to suit the function position of the SASAC, or to amend the attribute of the SASAC to suit relevant regulations, for a better exercise of the function of contributor of state-owned assets.(2) to establish a three-level management system, and set up assets operating companies like Temasek Holdings to male up for legal defects of the SASAC as a contributor.