Research On The Financial Performance Evaluation Of Power Generation Companies Based On DEA

With the further reform of the electricity companies and the gradual improvement of China’s market economy, electricity production and operation environment in enterprises are facing tremendous changes, which gives China’s power enterprises unprecedented opportunities and new challenges, but also gives the new mission, puts forward higher requirements on the performance evaluation of power enterprises. In this current situation, how efficient, reasonable and fair assessment of performance management level of China’s electric power companies, is an urgent problem in theory.This paper first describes the basic background of the power sector reform, the review of the status of domestic and foreign enterprises performance evaluation studies. Describes the meaning of performance evaluation, features, functions and related influencing factors; then describes the performance evaluation methods, such as KPI, MBO,BSC,EVA. Performance evaluation of the current situation of China’s enterprises conducted a brief summary, forecast its future trends, and in-depth introduction to the DEA specific method and its advantages. Combining the characteristics of China’s power industry enterprises, the existing status quo and disadvantages, building a new performance evaluation system to adapt to China’s power companies, combined with DEA model, especially the C2R model, BC2 model, selecting 53 power enterprises listed companies the empirical analysis, the 24 companies listed in the DEA effective state power, and take HaTou shares, Huadian Power International for example, analysis the differences between the DEA effective and non-DEA effective listed companies, give the non-DEA effective listed company improvement program. Finally, this paper proposes improvements from the following two aspects:internal to the appropriate diversification of property rights, right to non-financial indicators in the company’s reports and performance evaluation system, and to focus on research and development, appropriate investment; outside the enterprise to create a fully competitive market environment, the government should continue to fade negative interventions, institutional strengthening stock market.