Research On The Effectiveness Of The Listed Companies’ Corporate Governance In Jilin Province On DEA Model

As an institutional arrangements to operate and control the company, corporate governance can contribute to the improvement of the company’s supervision system, the balance of power system and the incentive and restraint mechanisms, it can also protect the legitimate rights and interests of the stakeholders. In recent years, several listed companies’ problems of corporate governance are becoming more and more prominent, which also remind us of the importance of effective corporate governance mechanism. Correct evaluation of corporate governance is an important aspect of corporate governance theory research, evaluation and diagnosis of the status of corporate governance for mastering the basic situation of corporate governance and timely detecting of problems that exist in corporate governance, and then to promote the parties concerned to take effective measures to address the problems, which is important to help improving the corporate governance structure and also will have a positive impact on the direction of the development of the corporate governance. In this paper, listed companies in Jilin Province are selected for the study of corporate governance effectiveness evaluation by the models of DEA method, the input indicators are mainly from the corporate governance structure of the general meeting, the board of directors, the board of supervisors and the managers. The output indicators are selected from the company’s profitability, operational capacity, solvency and ability to grow for the model. The overall effectiveness analysis, technology and scale effectiveness analysis, input redundancy analysis, Evaluation of the effectiveness of corporate governance are done, and also with projection analysis for the relatively governance invalid companies and the proposal of the use of super-efficiency DEA model to compare the relative efficiency of the companies with the effective corporate governance. Finally, the problems of the governance structure of listed companies in Jilin Province are analyzed, and target the way to improve corporate governance effectiveness.