Analysis And Suggestions Of BOC's Subsidiary Performance Evaluation

Since the entry into WTO, China's financial institutions faces keen competition, especially for those state owned commercial banks. As one of the Four-Bigs, Bank Of China is reforming towards a joint-stock bank. To improve its competitive ability, BOC has to make more effective the internal management. How to evaluate its subsidiaries' performance, establish a reasonable stimulation system, are important to BOC in converting its operational mechanism.Through introducing and analyzing BOC's subsidiary performance appraisal system at present, this article points out the existing problems and tables a proposal on how to reform it. The new performance evaluation system should be established on the Balanced Scored Card framework. Furthermore, the article selects some key performance indictors for the PE system.The Balanced Score Card is not only a performance evaluation system, but also a useful strategic management tool. The author believes that the new PE mechanism will be of great help to BOC's operation, accelerating its management amelioration, enhancing its efficiency as well as establishing the stimulation and restriction mechanism.