Performance Evaluation Of Chinese Commercial Banks And The Study Of Performance Influencing Factors

In2006, China’s accession to the WTO ended the transition period of banks,commercial banks faced increased competition: foreign banks’ enter China market causedpressure; the same industry competition、the marketization of interest rate and the reformof exchange rate formation mechanism and so on brought challenge. Commercial banksare required to combine the effectively control risks and enhance self-developmentcapability, to strengthen their competitiveness, and the basis is scientific evaluation of bankperformance, scientific performance evaluation system can lead commercial banks tocontinuously improve their competitive advantages, form and develop the values ofcommercial banks.But in reality, because of the restrictions of cognition level and the current system,majority of China’s commercial banks exist the phenomenon of multiple performanceevaluation indicators, there is difficulty to play the core guiding role of performanceindicators; and commercial banks still mainly use the performance evaluation system,which regards profit as the core, but the profit under GAAP usually distorts the economicfacts of enterprises: it does not consider the operating risks and the cost of capital. TheAmerican subprime mortgage crisis profoundly reminds us that commercial banks are notonly the enterprises which operate and manage the monetary, but also the enterprises whichmanage risks, however, commercial banks of China are easy to neglect the control of risks.Therefore, how to construct a scientific bank performance evaluation system, promptingcommercial banks to update target concept, putting emphasis on the management of riskand capital, to become a practical and urgent research topic.And because of the big gap between Chinese commercial banks’ performance and theinternational commercial banks’, while the introduction of scientific performanceevaluation system, also should actively explore the internal factors of Chinese commercialbanks, which affect their performance evaluation, according to these influencing factors,take effective measures to enhance the performance of the commercial banks, shorten theperformance gap between Chinese commercial banks and the international commercialbanks.The article introduces a new performance management tool-EVA performanceevaluation system to solve the above problems, through the introduction and advantageanalysis of this system, constructs the EVA evaluation model for commercial banks inChina on the basis of reference relevant theories, estimates and analyses EVA performanceof the commercial banks according to this model; at the same time, the article focuses onthe research of the internal factors of Chinese commercial banks, which affect their EVA performance evaluation, according to the analysis of relevant theories, builds an empiricalmodel, ratio of EVA is the dependent variable, the indicators of total assets、loan-to-depositratio、NPL ratio、the loan loss reserve ratio、the proportion of fixed asset investment、thecapital adequacy ratio、cost-to-income ratio、non-interest income ratio are the independentvariables, the article makes the empirical analysis of the commercial banks EVAinfluencing factors, and proposes suggestions to effectively enhance the operatingperformance of commercial banks, according to these influencing factors.The main innovations of the article: learning from the research results at home andabroad, scientifically constructs the EVA evaluation model for commercial banks in Chinaaccording to the actual situation of commercial banks, uses statistical analysis methods tomake empirical analysis against the2006-2011data of commercial banks, and obtains theinternal operating factors that affect banks EVA, provides references for commercial banksto effectively improve operating performance.