The Study On Classified Management Of JISCO Group Subsidiaries

China's state-owned enterprises reform is implemented along with the development of the socialist market economy.The SOEs has undergone the change of rebirth,reinvigoration and the integration with the market-oriented economy through these policies: the power granting to state-owned enterprises and the implementation of firms' contract responsibility system in the early 1980 s,the establishment of the corporation reform targeted at the modernization of SOEs in 1994,the three years reform that focused on difficulty relief of SOEs in 1998,and the state-owned assets management system reform and corporate governance reform in this century.The constant improvement of SOEs operation quality and efficiency has contributed a lot to economy and social development,people's living standard,and the comprehensive national power.In the process of reform,however,there has not been a clear and specific classification on state-owned enterprises,leading to an undifferentiated measures and policies towards SOEs.As a result,the management is not conducted in a scientific,specific and effective way.The third plenary sessions of the 18 th CPC Central Committee made the significant decision to further deepen the reform of state-owned enterprises,and at the first time mentioned to accurately define the function of all kinds of SOEs and push ahead reform on the basis of that classification.The accurate classification and tailored reform should be given high priority.At present,the majority of SOEs face the situation of huge amount of assets,wide business,long corporate chain and large number of subsidiaries designed for various business fields.But due to the lacking of systematic classification and differentiated management,the ?one size fits all? problem is existed in the parent-subsidiary company management,which limits the stimulation of subsidiaries vitality.In the new normal of economic development,how to define the function and classification of subsidiaries,take measures tailored to different subsidiaries and increase the targeted and effective management are the urgent problems in the development of SOEs.Given the reasons outlined above,this paper started with the study on classified management of a large provincial corporation,Jisco Group,based on its practice and the target of subsidiaries in the group development.According to research on market position,function,equity structure and operation pattern of 49 wholly-owned and holding subsidiaries in Jisco Group,the paper proposes a fundamental model of subsidiaries classification.Measures to improve corporate governance,assess performance of SOEs and optimize the configuration of state-owned capital on the basis of subsidiaries classification have been specified in the paper.The study on management of Jisco Group on the basis of SOEs classification is the first time been conducted in this paper,which proposes the measures mentioned above.The paper is expected to help promote the reform and healthy progress of SOEs Group.