Shandong Expressway Company Limited Performance Management

To a certain extent, enterprise management is equivalent to performance management. Thequality of enterprise performance management system influences the vitality of the integraloperation and management system of an enterprise profoundly, and has far-reaching significanceto the enterprise development. Therefore, it becomes a key problem of management scholars allover the world to find out how to evaluate organization performance and employee performancein order to achieve rational resource allocation and form a scientific and effective performancemanagement system. The goal of comprehensive performance management system study is tooptimize management procedure, improve work efficiency and make the management morescientific, allocate resources reasonably, perfect incentive system, and consequently realize thegoal of the enterprise better and faster, where the enterprise could be excelled in fiercecompetition.Since1980s, reform and opening policy has stimulated rapid economic development inChina, and as the life line of transportation, expressway was arisen at the historic moment.Shandong Expressway Company Limited has been listed at SSE successfully on18Mar2002(stock code:600350), with registered capital4.811billion Yuan. The main products of theCompany are road and bridge operating services, including investment, management,maintenance, obstacle removing and rescue, transportation information and license fee servicesfor high-level roads, bridges, tunnels, etc. The Company is the only large-scale State-controlledlisted company which investing, operating and managing transportation infrastructure such asexpressways and bridges in Shandong Province, with its core competences in road and bridgeoperating service capability achieved by abundant management experience and resourceadvantages. During the years of development, the Company has employed advancedmanagement theory, introduced scientific methods of domestic and international similarenterprises to optimize and perfect the inner performance assessment system of the Company,while exercising application practice within a limited scope. Combined with the practiceresults, the Company summarized operable comprehensive performance assessment system and used in the Company. The adoption of the system attained the result expected, whichstandardized the operation management of the sub-companies, improved HR management, andpromoted the faster and better deveopement of the Company.As the confirmation and execution of diversified development stategy, realization of thestategic goals of the Company needs more support from the current performance managementsystem. To meet the need for the new development stategy of the Company, it is highly necessaryto make comprehensive analysis of the current institution system, establish better perfected,more effective, scientific and advanced performance management system.Hence, this thesis takes performance management sysytem of the Company as an example,researching and analysing the current status of the system, analysing its strength and weakness,finding out its problems and limitations, comprehensively using the advanced performancemanagement theories, optimizing plans, and further perfecting the supervision and incentivemechanism of the Company in order to provide support for the realization of the overallenterprise stategic goals, and provide reference for other enterprises of the same industry.