Study On J Group Co.’s Internal Performance Appraisal System

A scientific and logical evaluation system can improve the overall performance andthe economic benefits of the enterprise. The paper takes the J Group Co.’s PerformanceManagement and Appraisal System as the research object to analyze the current problemsin this system and design a new performance appraisal system. The new system can bereferenced by the large and medium-sized state-owned enterprises.Through the research of domestic and foreign performance appraisal systems andlearning of various appraisal theories, the author believes that the use of management byobjectives in designing of the performance appraisal system is more appropriate forChina’s national conditions. Based on this, the author applies various methods such asquerying management documents, interviewing, sending questionnaires and adopting bothqualitative and quantitative methods to analyze the current internal performanceevaluation system of J Group Co.. According to the Group’s strategy, core mission, howeach subsidiary in different operation mode adopts different appraisal, J Group Co. havedone lots of exploration and practice, but there are still many problems in the targetselection, social responsibility, staff assessment, long-term goal, impartial evaluation etc..The paper presents curtain effective and pertinent management measures congruent withthe principles of achieving unanimous goals, taking development-oriented actions,reaching bilateral agreements, flexible adjusting and creates a performance appraisalsystem suitable for state-owned enterprises with deferent characteristics. The new systemmainly consists of the basic management, economic contribution, social responsibility,special project. The system founds a more objective assessment by using zero-basedbudgeting and establishes a target selection mechanism to make full communicationbetween appraiser and appraisee. Intensifying and quantifying social responsibilityappraisal is also added to the system to promote the social contribution of the state-ownedcorporation. In addition, it introduces long-term indicators which can avoid short-termbehavior. It furthermore exerts a great important on the long-term contribution to guideenterprises to focus on continued ascension. Besides, the system implements overallassessment and appraisal counseling to strengthen the management of the appraisalprocess. Overall, the system merges short-term goals, medium-term objectives, and strategic targets into the company performance appraisal system, to ensure achieving thecompany performance goals and promote sustainable development of the company.