Study On Optimization Of Performance Management System In ZH Company

Referring to the operation and management of an enterprise based on the perspective oforganizational performance, the core essence of it would be performance management. Atpresent, the ultimate effect of the performance management in domestic enterprises is mostlyunsatisfying. While the reformation of the state-owned enterprises is going in depth, the topicof maintaining and increasing the value of the state-owned property is continuously beingfocused and concerned by relevant parties.This paper is based on a real case of the optimization process of the performancemanagement of “ZH Company”, one of the industrial typical state-owned enterprises which isof long history and located in Guangzhou. This paper focuses on the issue of how to set upand improve the a continuously optimized system of organizational performance managementand an evaluation system of enterprise value, based on current structure of the management ofstate-owned enterprises. Under the effect of such systems, the performance managementwould be able affect the operation by guiding, inspiring and restricting relevant behaviors,insuring the achievement of the enterprise’s objects. Meanwhile, to set up a robust evaluationsystem of enterprise value, staff would be inspired to positively create value, enhance theirown working capacity and devote themselves in the construction of the enterprise.This paper is starting from the industrial features, company strategic objects andproblems found in the process of design, execution and evaluation of performancemanagement of ZH Company. The performance management problem of ZH Company wouldbe analyzed in four aspects, regarding to the strategy orientation, system design, staffinvolvement and inspiration structure. Based on the history and real operation of the company,This paper would jointly take the theories and methods of performance management intoaccount, select the key performance indexes(KPI) of enterprise strategies, re-structure theperformance evaluation system of ZH Company based on the respects of basic evaluation,major evaluation and specific evaluation, which can be used as a standard of the evaluation ofthe performance quality and effectiveness of the organization and the management. Theevaluation result could be reference to the promotion of the position or staff salary. Theresearch result of this paper is expected to provide valuable reference to the performancemanagement and practice of the domestic state-owned enterprises.