Fitting Financial Indicators And Non-financial Indicators Of Internet Enterprise

The traditional performance evaluation mostly use financial indicators, financial indicators to evaluate the performance of simple and clear, and this is the main content of the listing Corporation performance report. But financial indicators are mainly three aspects: 1) for the past to future, not conducive to the evaluation of enterprise performance in the ability to create value in the future; 2) financial indicators can be manipulated easily, too much emphasis on enterprise financial report accounting profit, the enterprise management accounting methods operating profit; 3) the main financial index from the information in the financial statements, does not contain the factors most affect the enterprise long-term competitive advantage, such as quality, staff skills and quality, customer satisfaction.Non financial indicators on the contrary, they are often more strengthened the prediction of future enterprise management; management process of the company timely tracking, once found to solve the problem can be timely; the responsibility of the non-financial indicators more easily, so the control can play a more effective; non financial indicators there are few obvious: 1) and correlation effect of small profits, management initiative; 2) between the various departments to coordinate; 3) evaluation methods are not consistent; 4) pay too much attention to the non-financial indicators, which may be due to the financial indicators of financial failure is lack of elasticity.From the above two sections can be seen, any company will report the results to the shareholders or the board of directors, if only to report any of the above is not comprehensive, shareholders and the board of directors also hope to understand the company’s past and future development. Therefore, assessment of application of financial indicators of a company and the non-financial indicators of management is very necessary, is a necessary factor in promoting the healthy development of the enterprise.Since twenty-first Century to enter the Internet industry rapid development, such as Amazon, Baidu, Taobao, Jingdong and other enterprises, these enterprises in the early development of the 3 and 5 years are at a loss, why is there so much fund and the investment of billions of dollars to them? The start-up phase of the Internet Co has resulted in losses, many investors do not care about the financial indicators, the main thing is to see the non-financial indicators of investment object. Why some investors in the next few years will be able to earn tens of times the profit, some investors will lose everything? They are based on what kind of indicators to determine whether a company promising? In addition to the use of financial indicators is very mature for dozens of years, they are still concerned about what the non financial index? So the establishment of the Internet industry and non- financial index system, application research and analysis of financial indicators and non-financial indicators of the Internet industry is very important.