Research On Real Estate Company Operating Indicator System Based On Value Chain

The acceleration of Chinese urbanization process has brought out unprecedentedopportunities in the real estate industry, the output value of real estate industry accountsfor a growing proportion of Chinese economy. However, the market of real estate is notalways clam,the industry’s competitive landscape has changed dramatically showing“The strong will be strong forever”. Therefore, the managers are gradual paying moreattention on operational management capabilities. On this background, this papercombined theories and practice.The paper propose a index system of real estate businessoperations based on value chain, defining indicators, putting forward operationalmeasures to ensure the functions of indicator system. The aspects of this paper’sresearch are as follows:Firstly, the article reviewed the development process of the value chain theoriesand operation management theories, analyzing the essence connection betweenenterprise operations management and value chain management, which providedtheoretical support to build a operational metrics system based on value chain.Secondly,Modeling a value chain of real estate company based on their ownbusiness activities.The model vividly demonstrated the value activities of real estatecompany, Providing reference for the monitoring value business activities of the realestate company.Furthermore, the article formulated a operational indicators system based on thedetail value chain of real estate company.The operational indicators system is dividedinto four levels,which including two indicators of level one, night indicators of leveltwo,thirty indicators of level three,fifty-eight indicators of level four, clearly definingthe measurable indicators of level four, determining the threshold rangeindicators,standardizing processing and index weights establishing procedures.Finally,the paper summed up the index system of three operationalfunctions:pre-warning and control and assessment through the operating mechanisms ofindicators. The article put forward four security mechanisms to make sure the accurateand in time of indicator system.the mechanisms are information security mechanism、operational security mechanism,the value chain adjustment mechanism,the indexsystem security mechanism.With the help of security mechanisms，the functions ofindicator system can be exerted on the daily operation management activities. This article aims to provide an operational indicator system based on value chain.The paper builded each level of indicators and measurable indicators through thedecomposition of the real estate company’s value chain activities.In order to achievedthe purpose of enhancing the operation and management of real estate enterprise,thispaper put out the mechanisms for running the indicator system smoothly.