Defence Industry Financial Targets And Eva Performance Evaluation

Enterprise's financial activity always is an important element in a business management activity. At present, how to determine company financial targets has been a hot topic to theorists. It is to maximize profits or shareholder wealth maximization, or maximization of enterprise value. Through the analysis, the author believes that enterprise value maximization is the enterprise's financial target reasonably. Similarly, the military enterprises are also in this way. Economic Value Added (EVA) is the emergence of value management-oriented and it is a best measurement tool of corporate financial performance compared with the traditional indicators. It can provide a clear picture of whether a business is creating or destroying enterprise's value.EVA management system, is established by the international well-known management consultation enterprise Stern Stewart company in 1982.At present the global 300 big companies take the economical value added as a evaluation target into company internal management for weighting enterprise achievement, and take the economical value added maximization as the company's goal, with more than 20 years development, this management system to have been fully utilize in the overseas business management. But the EVA value management system introduces into our country short time ago, therefore the enterprise utilizing this method into the business management also have few in number, most articles primarily introduced the EVA theory, the articles that systematically utilize EVA to the value creation of the domestic well-known enterprise are extremely few.The paper uses the method which unified a case study with theory discussion to research EVA-oriented military industry enterprise financial evaluation system. Based on some researches about the domestic and foreign EVA research results, according to our country enterprise's special details, combined EVA achievement evaluation target system with the Balanced Scorecard ,it is proposed a overall conception on establishing the EVA-oriented military industry enterprise financial evaluation system. This set of achievement appraisal system not merely paid attention to the short-term finance achievement, even more paid attention to the military industry enterprise value creation on the entire process, and it thus can more comprehensively appraise the military industry enterprise management achievement.