The Research Of Performance Evaluation System Based On The Balanced Scorecard For HZ Real Estate Company

The real estate industry which is the pillar industry of national economy plays a key role in theeconomic development of our country. At present, with the mature of the real estate market, the real estateindustry is getting more and more competitive, which puts forward higher requirements for the real estateindustry. The real estate enterprises which want to achieve the sustainable developments, not only need tohave the distinct competitive advantages, but also set up a scientific performance evaluation system tomeasure the achievement of strategic objectives. The performance evaluation based on the BalancedScorecard which combines the evaluation processes and corporate strategies is a part of the strategicmanagement, and it has been widely used.The paper, by combining the theoretical analysis and case analysis, designs a performance evaluationsystem for HZ company. In terms of theoretical analysis, after introducing the related theories aboutperformance evaluation, Balanced Scorecard and Strategy Map, the paper elaborates the framework ofperformance evaluation system based on Balanced Scorecard. The framework mainly consists of six parts:strategy development, strategy description, strategy measurement, setting target, performance evaluationand incentive mechanism. In terms of case analysis, firstly, the article outlines the industry feature andoperating characteristics, introduces the basic situation of HZ and analyzes its strategy environment, theperformance evaluation status and the problems of its performance evaluation. We think it is necessary toimplement the Balanced Scorecard as its performance evaluation tool. Secondly, after explaining thefeasibility and design principles, the paper designs performance evaluation system based on the BalancedScorecard for HZ Company. Concretely speaking, by determining the corporate strategy objectives andStrategy Map, the paper establishes the performance evaluation system, uses the AHP to design the indexweight, decomposes the company-level into departments and individuals, develops the method of settingreasonable target, the calculation methods and general process of performance evaluation. The BalancedScorecard and enterprise’s incentive mechanism is necessary to be linked to ensure the consistency betweenthe enterprise’s objectives and personal goals. Improving and updating the performance evaluation systemis the last step of the design. Finally, the paper proposes safeguards, which include the strengthening of communication and education plans, the establishment of IT platform and the improvement of internalenvironment, Building implementation organization of the Balanced Scorecard and other aspects to ensurethe effect of the Balanced Scorecard.Performance evaluation of real estate enterprise continues to be a challenging task. The paper is toestablish the performance evaluation system based on Balanced Scorecard for HZ company to help HZcompany strengthen its strategy management, raise the level of performance evaluation and achievelong-term development. At the same time, the paper hopes this study can provides a reference value forother real estate to implement the Balance Scorecard.