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Research And Application Of Enterprise Financial Strategy And Planning Guided By EVA

Posted on:2018-10-21Degree:MasterType:Thesis
Country:ChinaCandidate:Y ZhouFull Text:PDF
GTID:2359330518460760Subject:Accounting
Abstract/Summary:PDF Full Text Request
With the continuous development of our country’s economy,the reform of state-owned enterprises in China never stops,and the corresponding evaluation system is in constant progress as well.As China’s economy steps into a "new normal" status,state-owned enterprises(SOEs)reform is in deep water area,the status of economic value added(EVA)which is used by State-owned Assets Supervision and Administration Commission(SASAC)to evaluated SOEs performance is further improved as a result.In the face of the uncertainty of future economic development and system reform,SOEs themselves should prepare and plan in advance.And this kind of planning is not only based on the enterprise overall strategic level,but also based on the enterprise financial strategic level.The existing related research and literature mainly focus on financial strategy research,ranging from the finance within the corporate strategy,financial enterprises in the strategic stage,to the symbiotic financial strategic stage,but relevant corporate financial strategy planning is overlooked.And thus,this thesis redefines the financial strategic planning on the basis of the traditional definition of financial strategy after numerous literature reading.This new definition of financial strategic planning covers corporation-objective-oriented performance indicators planning and performance-implementation-oriented management planning.While the traditional planning focuses on the sales,revenue,or profit,this paper designs EVA-oriented financial strategic planning with the support of relevant EVA theory to adapt to the SASAC’s evaluation requirement.Through the analysis and dismantling of EVA,as well as combination of the main three financial activities,this paper puts the investment,operation and finance plan under financial strategic planning together in a coherent manner.And also,on the basis of indicators planning and the summarized main problems faced by SOEs,related management planning is designed from the perspective of EVA improvement.Improved management level and better-devised indicators contribute to the implementation of corporate objectives,leading to the achievements of financial strategy and corporate strategy.This paper is roughly divided into four parts.The first part is the introduction section,mainly introduces the research background and significance,review historical documents related literature concerning financial strategy and economic added value(EVA),and some basic research about the two theories.The second part is the theoretical research,studied financial strategy and EVA theory,given the definition of this paper’s theories,and proved that EVA could be applied to the financial strategic planning.The third part is design part,which design the economic value added(EVA)under the guide of financial strategic planning system with the definitions introduced in previous chapters.The fourth part is application case study.Based on the formulated system and the practical situation of the power grid company,EVAoriented financial strategy planning is devised.And in the end,conclusions have been drawed,insufficiencies have been summarized and advices have been given on the future research accordingly.
Keywords/Search Tags:EVA, Financial Strategy and Planning, Power Grid Company
PDF Full Text Request
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