Research On Construction Of C Survey And Design Institute’s Performance Evaluation System And The Implementation

EVA(Economic Value Added) is vividly called a revolution in modern management. It is a rational performance evaluation index, also can profoundly influence the manager’s incentive mechanism, and more is a system of company governance structure. Economic Value Added can affect a company’s decisions at all levels, from the board to the management, from the upper, middle to the grassroots.The largest difference between EVA index and traditional financial index is the full consideration of the opportunity cost of invested capital. In recent years, the opportunity cost of the concept has been widely accepted by people, but it has not been reflected in the performance evaluation and assessment practices. Evaluate the company’s performance with EVA, and linked to incentives and decisions will help to establish shareholder value-oriented corporate governance and the implementation of value management with the goal of maximizing shareholder value. EVA-based performance evaluation than traditional accounting profit-based performance evaluation more truly and objectively reflect the performance of the company. At the same time the use of EVA can guide the company pay more attention to long-term development, more attention to the development of their core business, so as to ensure the sustainable and healthy development of the company.This paper focused on the construction and implementation of the performance evaluation system based on EVA analysis of C Survey and Design Institute. First, this paper introduced the existing performance evaluation system of C Survey and Design Institute and analyzed the existing problems, proposed the establishment of performance evaluation system based on EVA analysis. The evaluation indices and their calculation methods are determined by analyzing the key drivers of the new performance evaluation system. Index weights are identified by using the AHP method. The performance evaluation system based on the EVA analysis of C Survey and Design Institute has been established.Then, this paper introduced the initial implementation of the performance evaluation system based on EVA analysis of C Survey and Design Institute. Calculated the evaluation results of years 2012-2014, and analyzed the expected effects of the implementation. Finally, this paper summarized the research and found the relevant enough for follow-up research.