A Research On Business Strategic Performance Evaluation System Based On Value Chain

According to the Value Chain Theory created by Michael E. Porter, a competitive advantage a enterprise owns can't be recognized as they are seen as a whole, so we divide the enterprise's Value Chain into four strategically connected links, they are Research and Development, Production, Marketing and Service, and measured the Key Success Factors in each link, thus established a Strategic Performance Measurement System. Using this System will help enterprises distinguish the competitive advantages and disadvantages in each link, thus helps the enterprise improve its Value Chain accordingly, and make strategy that will help it gain competitive advantage.This dissertation begins with the introductions of what the selection of the subject is based on, the position of this study and the thinking of this study. Then is the commentary on the nowadays' achievement of performance evaluation related to Value Chain., mainly about their contributions and shortcomings. The third chapter is the theorization of this article, the Value Chain theory. In this chapter, the concept of Value Chain and Porter's competitive strategy is discussed, and the resource of competitive advantage and the KSFs is expounded. Then is the Value Chain model of this dissertation, and the discussion of the KSFs of each link of the Value Chain. Chapter Four is the construction of the Performance Evaluation System. In this chapter , the performance evaluation indexes is raised, and their influences on the strategic advantage and function is somehow deeply explored, then is the discussions on the weights of each indexes. In chapter five, the performance evaluation standard is probed, mainly about the functions of different types of Benchmarking, that is the rivals benchmarking and the function benchmarking. The conclusion is that competitive benchmarking is beneficial to the resource re-allocation of the value chain and the business' competitive position, the function benchmarking is beneficial to the cultivation of core competence. The last chapter is the limitation of this article and prospective of the future study.