The Study Of The Use Of Nonfinancial Performance Indictors In Enterprise Evaluation System

Good performance is the base for the survival and development of an enterprise.How to evaluate the managers'performance appropriately is the difficulties many owners face.The traditional financial indictors cannot reflect the actual situation of the enterprise as a whole, it can only reflect the enterprise's past development and operation results, and cannot reveal the future. Therefore, if to appraise enterprise's overall performance only according to short-term financial performance, it is possible to make mistakes in decision-making and management.Investors and other stakeholders can not get sufficient information, so as to increase the degree of information asymmetry. The researchers both of the theory and practice begin to pay more attention to use financial indictors as well as financial indictors to evaluate enterprise's performance.Most of them think applying non-financial indictors to performance evaluation system can remedy the defects of non-financial indictors.So the performance evaluation system can be more reasonable and get wide application.This paper firstly introduces the current research status of performance evaluation,then reviews relevant research achievements both at home and abroad from three aspects:the revelance of non-financial indicators and financial performance, prediction ability of non-financial indicators and the principal-agent theory,and analyzes the present application situation of the non-financial indicators in our country.The next part introduces related concepts of performance evaluation.The third part compares the financial indicators and non-financial indicators.The fourth part uses the principal-agent model in information economics and proved integrating financial indicators and non-financial indicators can improve the effect of performance evaluation; The fifth part is empirical analysis, and through issuing questionnaires to listed companies who use non-financial indicators in performance evaluation,we get the actual data of the use of non-financial indicators in listed companies.We established three models according to the relationship of non-financial indicators and return of equity, then using SPSS software for multiple regression analysis,and at last draw a conclusion that the application of non-financial indicators not only have significant positive correlation with financial performance in the very year,but alse in the next two years The sixth part put forward some suggestions according to the above conclusion.