Research On Performance Evaluation System Of Policy Bank Based On The Balanced Scorecard

The establishment and using of performance evaluation system has been the core issues of Chinese banking industry to strengthen internal management and improve the competitiveness. In recent years, China's policy banks began to develop a comprehensive restructuring of financial institutions. With the scope of its operations expanding and the volume of business increasing, the establishment of a set of policy banks operating evaluation system which is characteristics, scientific, effective and easy-to-use performance has become an urgent need. The existing performance evaluation system of the policy bank is the main draw on the commercial bank only focus on the history of operating results reflection, not on the bank's comprehensive level of performance to conduct a comprehensive evaluation, which has been unable to meet the new situation. Therefore, the policy bank's performance evaluation system is of great significance.Combined with China's policy banks performance evaluation systemof the status quo in this article, we established the policy bank performance evaluation Index system by using the Balanced Scorecard approach to development-oriented strategy, finance, customer, internal, learning and growing, risk control, etc. Also, we apply entropy method and factor analysis method to evaluate the policy bank's performance.As an example to Agricultural Development Bank of Hunan Province, the paper selected the data of city-level branches from 2005 to 2007 as samples. The empirical results more accurate reflect on the Hunan Branch of the Agricultural Development Bank and the operation and management of the status quo, and show non-financial indicators' ability to support the policy bank's objective. It reflects that the building of performance evaluation system in this paper is more scientific and rational. The choice of performance evaluation method and the establishment of performance evaluation index system in this article for achieving the policy bank's overall strategic objectives have advantages. Therefore, the research in this paper will certainly be able to provide the referenced operation of the program for the improvement and development of Chinese policy banks performance evaluation system.