Research On Performance Appraisal For Channel Sales Of YM Fund Management Co

Securities Investment Fund, as a special commodity to meet the people’s demandfor investment, is the inevitable outcome with the development of capital markets. InChina, the Fund industry has experienced vigorous development in the past10year,achieving the asset size over RMB2.6trillion. At present, majority of the fund has beensold through commercial banks, therefore, fund sales are specifically refer to the fundchannel sales in the industry. While working in Sales and Marketing Dept of YM FundManagement Company,(named YM below) the author aware that the performance of thechannel sales is highly impacted by overall security market environment and theinvestment performance. As a result, the final performance can’t be well reflected thecontribution of the sales person. In addition, because the current performance appraisalsystem is unable to effectively adopted, the channel sales person could not be given a fairand impartial evaluation. Even worse, under extreme conditions, the performanceappraisal process may also be unable to carry out. It will not only seriously block thenormal implementation of performance management; it may also affect the morale of thechannel sales, which finally limit the sustainable growth of the company performance.Base on the research of several fund management companies’ performanceappraisal process and policy, it’s found that team performance is assessed in mostcompanies instead of individuals’ in order to avoid the issues mentioned above. In somecompany, complex measurement indicators are listed to minimize the gap betweenperformance vs contribution. However, none of the approaches can be effectively solvethe issues. References lots of previous research findings, the author attempts to develop amore scientific and practical evaluation system through an in.depth analysis of theexisting one.The thesis is target to the study of the existing performance appraisal system of YM.By analyzing the internal and external factors which might impact the sales performance,the author attempts to identify the root cause of the mismatch between the sales person’scontributions of their final performance. Base on the previous research findings, theauthor intends to develop a performance appraisal system with relative measurementindicators and dynamic variables in order to well align with the characteristic of the fundindustry. The author expects a fair and transparent evaluation to be conducted under thissystem and finally to realize the company’s strategic objective.