Application Of The Balanced Scorecard Performance Appraisal System

Since the changes with our domestic and external environment, particularly the China’s accession to the world trade organization, the foreign banks have been entered,domestic commercial banks has began to face new challenges, Competition among the organizations win in the strategy, but lost in the implement. The ultimate goal of all strategy will be concentrated to the "people",specially the grass-roots implementation of each individual unit. In the organizational strategy implementation strategy in the process of performance evaluation been undertaken the functions such ad Strategic orientation, Strategic track and Strategy evaluation. The organizational strategy is the key to effective implementation. Bank is a special finance trade of managing risk., the strategic orientation and strategic evaluation directly determines the direction and mode development of organization. How to realize the unification of speed, scale, quality, benefit? How to solve the problems of traditional appraisal, such as be a loafer or sponger? And how to use performance management to stimulate employee creativity and fighting capacity? Becomes a difficult problem for the performance management of commercial banks.The commercial banks was continued to expand the scaleand improve the quality of assets. The business management and internal control have been significantly improved, become to the one of regional banks has the most vitality and the vigor in the Shandong area. But the competition in the banking idustry has intensified. The commercial banks has gradually exposed the problem of unreasonable ownership structure, ability of Risk prevention, the backward management system, the shortcomings in innovation ability and low-gravity of high added value business, these forcing the commercial banks rethink its strategy, expand the space for development. Under these circumstances, commercial banks demand for an advanced performance appraisal system more urgent. Only to measure performance accurately can make to development their own accurate evaluation; Only to accurately understand the trends of development, can correctly grasp the trend and potential of development; Only an accurate grasp of its development trend can choice its own development strategy correctly. At the same times only the correct development strategy, can make effective strategic management of bank. Therefore, the performance appraisal has become one of the most fundamental stage in the development of commercial banks. We can say if the commercial banks can’t do anything to achieve leapfrog development without the scientific and effective performance appraisal system.This article start from the actual demand of WF bank to comprehensive exposition of the Balanced Scorecard as the core with the process and practical reasons design of Commercial Bank Strategic Performance Appraisal Model. To explore the application of Balanced Scorecard Model in small and medium-sized financial institutions. At the same time, be directed against the showing of BSC application in diversity, diversity, timeliness and variability characteristics to summary the technical realization of innovative design and Application. In order to provide a useful reference for the design, construction and Application of performance appraisal system for medium and small financial institutions.