Economic Value Added And The Balanced Scorecard As A Management Tool To Enhance The Bank Value

EVA is the abbreviation for Economic Value Added in English. BSC is the abbreviation for Balanced Score Card in English. Economic value added (EVA) systems and the balanced score card (BSC) have generated a tremendous interest in corporate recently as approaches to performance management, Implementation of these methodologies has not proven to be easy. This paper introduces the analytical hierarchy process and shows how this methodology addresses the limitations of EVA and BSC by integrating them into one comprehensive system. Maximized bank value. Management of market value, design for salary incentive system, budget control, strategy planning are carried out on the base of EVA management. EVA unifies the wills and behaviors of shareholders, manager and staff at its maximum and makes a wonder in management. Thus it becomes the basis of creating fortune. BSC is a type of performance appraisal and management program for enterprises, which makes manager and staff have a clear understanding on development strategy for enterprise and facilitate converting from development strategy to operational practice by keeping concerns over short-term performance from financial perspective and clearly indicating how to maintain long-term finance and competition performance. AHP combines EVA system and BSC, which becomes a kind of synthetical monitoring system for overall performance appraisal for enterprises, analyses the importance and its potential limitation and cause to maximize values ultimately.