Research On The Performance Evaluation Of Baosteel Based On Green EVA

Based on the limitations of traditional financial indicators,the management guru Peter F.Drucker proposed the concept of EVA in 1995 to measure the value created by enterprises for shareholders.Although this concept addresses some problems existing in traditional financial indicators,there are also some limitations.Therefore,the concept of green EVA appeared in the research field of green financial management at the present stage.For these reasons,the author tries to build a more comprehensive,objective and scientific performance evaluation system based on the traditional financial indicators to avoid the defects caused by traditional performance evaluation indexes and EVA indexes.Against this background,the author tries to demonstrate the performance evaluation system with Baosteel as an example.This paper is based on the green EVA performance evaluation index system which put forward by professor Ding Hui-ping and Yang Tingrong,and based on the case of high pollution industry company Baosteel,to construct a performance evaluation index system which includes the traditional financial indicators and green EVA.Then researching and debating this performance evaluation index system of practical with the case method and comparison analysis,validating feasibility and applicability of green EVA index.Initially,based on the relevant theories of environmental protection and EVA,the research results of domestic and foreign scholars in green financial management,EVA and green EVA are reviewed and summarized.On this basis,the characteristics and calculational methods of green EVA performance evaluation are described.Secondly,the author selects Baosteel company as a case company to conduct a performance evaluation index system which includes the traditional financial indicators and green EVA to experiment and analyse.In the second place,the paper introduces the present situation of the environmental protection input of Baosteel and the current performance evaluation and assessment system,and proves the drawbacks of the advanced nature of Baosteel's environmental protection and the existing performance evaluation indexes.Then,the "national greening advanced collective Baosteel company was selected as the case company to construct,simulate and analyze the green EVA system.Analyzing the application status of the performance evaluation system which includes the traditional financial indicators and green EVA in the case company by the changes of traditional performance evaluation index,green EVA and green EVA's adjusted value.At the same time,the advanced nature of green EVA is verified by comparative analysis,so as to explain the system effect of the author.Then combined with the results of performance evaluation,the management and management of Baosteel is proposed.Finally,through the performance evaluation system of the traditional financial index combining with green EVA index,the simulation application of Baosteel is concluded,and the enlightenment to the whole steel industry is obtained.Through the research of the performance evaluation system of the traditional financial index combining with green EVA index in Baosteel,show that the performance evaluation system is operable and the environmental performance of the enterprise is quantifiable.And the evaluation of enterprise's operating condition is more comprehensive,objective and scientific.Although there are still deficiencies in the accounting process,the performance evaluation system of green EVA considering ecological efficiency can more objectively reflect the economic benefits of enterprises.the performance evaluation system of green EVA considering ecological efficiency can more objectively reflect the economic benefits of enterprises.This system by supervising and encouraging the eco-environmental behavior of enterprises,can becomes an important measure to promote the green development of enterprises,which has certain practical significance.