The Performance Evaluation Study Based On EVA Of The Central Enterprises

State-owned enterprises (especially the central enterprises) are the mainstay of China's economy and the core strength for the stable and healthy development of securities market, and thus it is necessary to evaluate operating performance of the central enterprises. The current performance evaluation system of central enterprises based on primarily on financial indicators ignoring the quality of profit. SASAC will fully implemented economic value added assessment in 2010, from the development of central enterprises point of view, the EVA can not only reduce its operational risks but also promote the healthy development of enterprises. Economic value added that is different from the traditional calculation of company profits, includes all costs and the cost of capital after deducting the residual income. EVA means a real profit of the evaluation; Comparing with traditional business indicators, EVA is stressed to accelerate revenue-generating enterprises, and meanwhile reduce the financial cost, cost of resource consumption, which means to create value.The purpose of this research is based on two aspects:one is to use empirical research to analyze whether the eva evaluation for the central business is superior to the traditional methods of evaluation, the other hand is to give some useful suggestions for the central enterprises on how to better applicant the eva.In this paper, eva targets the main line, the method of theoretical analysis and empirical analysis are used. This paper is divided into five chapters to expand. ChapterⅠintroduces a research background and significance of thesis, research structure and content, research purposes and methods, the main contribution. ChapterⅡis China's central enterprises Analysis of performance evaluation. This chapter first reviews the evaluation process of the central business, pointing that the traditional performance evaluation criteria such as profit targets can not give a valid reflection and resolution, there is an urgent need to introduce a new performance evaluation system, such as eva performance evaluation method.ChapterⅢis based on eva of central enterprise performance evaluation and analysis. First of all, there is the introduction about the method of calculating economic value added, adjusting events. Then, the studies of eva at home and abroad are reviewed. Followed by this, the advantages and disadvantages of eva evaluation methods are presented. And at last it is discussed the necessity of applying the eva for central enterprises. ChapterⅣis the core part of the full text, first of all the eva of sample is calculated based on ChapterⅢ.And then the method of principal component analysis is used to analyze the traditional indicators of performance evaluation. According to this method, we can get a comprehensive assessment of financial indicators. Regression analysis is used to analyze the relevance between eva and the enterprise value, comparing with the relevance between comprehensive assessment of financial indicators and the enterprise value. It is to verify whether the eva can explain the performance of the enterprise better than the traditional indicators of performance evaluation method. On this basis, the sample enterprises use the eva to conduct its performance analysis and evaluation,and the sample's position of using the traditional indicators is analyzed, comparing with economic value-added. Chapter V is to study the conclusions and recommendations. The suggestions on how to apply eva for the central enterprises are given.The contributions of this article is not only use the theoretical analysis of the central enterprises to explain the applicability of EVA performance evaluation methods and necessary nature, but also use the principal component analysis, linear regression and correlation analysis, empirical research methods to analyze the use of EVA evaluation.Because of research capabilities and the domestic markets, this article exists the following two shortcomings:firstly, the amount of the sample is not large enough; Secondly, the value of eva is not precise enough. This is the direction of future research that needs to work.