Research On Optimization Of Financial Performance Evaluation Of Y Company From The Perspective Of Stakeholders

In the report of the 20 th Party Congress,General Secretary Xi Jinping pointed out that people’s health benefits should be given top priority and that one of the most important indicators in modern development is people’s health.In recent years,General Secretary Xi Jinping has issued several important instructions on the work of Chinese medicine,calling for good work in the innovation,transfer and development of Chinese medicine,and actively promoting research and innovation in Chinese medicine to provide better healthcare for the people.Coupled with the issuance of various circulars and blue books by the State Council.In the context of such a succession of dividend policies,the development of the Chinese medicine industry will be influenced by the favourable policies and the development of enterprises will take a further step forward.The evaluation of a company’s development can be reflected in its financial performance,which helps the company to make the best decisions for its development at the moment.The results of a company’s development can be directly reflected in the financial data,and the development of a company is supported by the stakeholders,without the participation of any one of them,the company cannot develop.Stakeholders therefore provide a new perspective for the study of corporate financial performance evaluation.This paper takes Company Y as the research object,mainly based on stakeholders as the theoretical basis,and uses a combination of entropy method and gray correlation method to evaluate the financial performance of Company Y.Specifically,the financial data of Company Y for five years from 2017 to 2021 were selected to analyze the current situation of Company Y’s financial performance,from which some shortcomings were derived.In order to evaluate Company Y’s financial performance more comprehensively and systematically,a new financial performance evaluation system was then constructed from the perspective of stakeholders using a combination of entropy weight method and gray correlation method to re-determine the financial performance evaluation score of Company Y.The study leads to the following conclusions: the company’s previous evaluation method cannot comprehensively evaluate financial performance,its financial indicators are scattered,there is no systematic financial performance evaluation system,the evaluation is based on net profit,which may lead the company to pay more attention to short-term interests,and Company Y’s financial performance evaluation does not consider each stakeholder.This paper puts forward the following specific suggestions to address the shortcomings of financial performance evaluation of Company Y: improve the financial performance of Company Y;strengthen the importance of financial performance evaluation by each stakeholder layer;establish an organization for financial performance evaluation;and improve the feedback mechanism of financial performance evaluation.