The Value Management Of Enterprise And Effect Analysis Based On EVA In Company N

Development and opportunities coexist in China's market economy,and meanwhile,it also has to face more fierce challenges,therefore,for long-term lasting effective operation,enterprises need to regard business scale and market share as the foundation and select the value management regarding value maximization as the target,so as to realize the improvement of enterprise value.The effectiveness of value management has been proven by the successful application in lots of well-known enterprises in the world,and after the deep study of scholars and the improvement and application of enterprises,the economic value added(EVA)theory proposed by Stern Stewart Corporation overcomes the deficiencies of the traditional evaluation criterion for enterprise value,which also can evaluate enterprise value more objectively and correctly and enhance enterprises to create more value.The value management theory of EVA has had a history of more than 30 years in other countries,and both their theoretical study and practical experience are more perfect in comparison with the study level in China.The study on EVA value management in China starts relatively late,and China has not established a perfect theory system.The paper hopes to provide theoretical guidance for the specific application of EVA value management in China's listed companies through learning from advanced Western theories and the implementation experience about EVA value management in Company N in China,so as to realize the goal of improving enterprise value.The paper analyzes the positive influence of EVA value management on enterprise value through introducing the theories about enterprise value and EVA value management,and finds out the crucial reasons for the successful implementation of EVA value management in enterprises through combining the successful cases about the implementation of EVA value management in China's listed companies,hoping to fasten the process for the wide application of EVA value management in China.The paper mainly includes the following six parts:The first part introduces the research background and research significance through the theoretical explanation about enterprise value management,sets forth the theoretical support and research methods in the paper,and gives literature review about the study on the three aspects in China and other countries,including investment management,performance evaluation and salary incentives.The second part reviews and summarizes the research achievements of many scholars about enterprise value management,draws forth the economic value add(EVA)theory based on the deficiencies in the traditional value management pattern,and finds out the deficiencies in the traditional value management pattern and the advantages of EVA value management system from the comparative analysis on the three aspects including investment decision making,performance evaluation and salary incentives.The third part focuses on the specific cases in a listed company named Company N in China,analyzes the special project design and entire implementation process about the EVA value management in Company N in details through combining with the implementation background and current situation in N company,and introduces the application process of EVA in Company N.The fourth part gives a deep analysis on the promotion of enterprise value in the following four aspects in Company N,including financial management,investment decision making,performance evaluation and incentive mechanism.Among them,the analysis on the effectiveness of financial management is the basis of EVA value management,and enterprises' investment decision making,performance evaluation and incentive mechanism are the three aspects used widest in China's study.The fifth part summarizes the suitable experience for the implementation of EVA value management in Chinese enterprises,to provide practical technical guidance for its specific application in Chinese enterprises.The sixth part is complimentary close,and it mainly sums up the paper based on theory elaboration and case study,to obtain the conclusions of this paper and introduce the deficiencies in the paper.Through the theoretical study in China and other countries and the practical experience about the successful application of EVA value management in China's listed companies,the paper hopes to provide the bases of theoretical analysis for enterprises to promote enterprise value,improve the scientificity and practicability of enterprise value management better,and fasten the application process of EVA in Chinese enterprises to the greatest extent.