The Research Of The Performance Evaluation System Of TSME Based On The Life Cycle

Since the21st century, China’s economy has achieved rapid development. In order toachieve the sustainable development of our economy, we must pay more attention oninnovation’s key role in economic development. Recently, We have recognized theimportance of innovation and regarded it as a major factor in promoting economicdevelopment. For example, The Third Plenary Session of the18th Central Committee putforward some reform proposals related to science and technology system, the meetingproposed to establish a science and technology system which composed of originalinnovation, integrated innovation and re-innovation, and play the company’s key role ininnovation development. Tech-based Small and Medium-sized Enterprise (TSME) is aspecial type of enterprise, its operating characteristics determine its inherent advantages ininnovation. The government begin to recognize the TSME’s important position in theeconomic development and independent innovation, they regard TSME’s development as amajor strategic task, and make some policy measures to encourage and support thedevelopment of TSME. Therefore, in order to help the government and investors selectobjects, it is necessary to build a performance evaluation system which is suitable forTSME’s development characteristics.Firstly, this article defines the concepts of TSME and describes the characteristics ofTSME, according to Research of scholars, this paper proposes a new concept of TSME,and then reviews some domestic and foreign researchers’ articles about corporate life cycleand performance evaluation. The article provides the criteria for the classification of TSMElife cycle on the basis of combining academic studies, and curve TSME’s life cycle into theseed time, establish time, development time, mature time and the decline time, and selectsperformance evaluation index according to the characteristics of the first four life cycles,constructs four sets of performance evaluation system, and then determines the weight ofthe specific target by questionnaires and YAAHP software. The article selects75TSMEslocated Shandong province to test and analyze the performance evaluation system. At first,the article divides the samples into four types in accordance with the life cycle, such as theseed time, establish time, development time, mature time and the decline time, and thenuse the four sets of performance evaluation system to evaluate four types of enterprises.Lastly, the article analyzes the results of the performance evaluation period for eachenterprise and provides conclusions and advises Government departments, external investors and business managers three angles according to the analysis of the results of theperformance evaluation.