Research On EVA-based Value Creation Path Of HBDL Company

In 2010,EVA was widely implemented in the performance assessment of all central state-owned-enterprises(SOEs)by SASAC.In 2013,the proportion of EVA has accounted for 50% in the annual performance evaluation index system.The purpose of the promotion of EVA by the SASAC was to guide the operating activities of the central SOEs through inoculating the value creation concepts of EVA,to boost deepened reform,impel rapid transformation and upgrading,and to cultivate the sustainable capacity of central SOEs.In2014,the SASAC again released a notice requiring central SOEs to improve EVA value based management system construction so as to enhance value creation ability.This shows EVA has not only been a core index in performance evaluation,but also become the key to propel central SOEs to create value.This thesis discusses the advantages which EVA brings to enterprises’ value creation activities based on theoretical research method,and induces five main paths to create value based on EVA through decomposing EVA financial value drivers.HBDL Company is selected on behalf of central SOEs for case analysis.The thesis introduces the EVA calculation method and the pilot project of power transmission-distribution pricing reform of HBDL Company.Using SWOT model and based on the impacts on HBDL company’s key value drivers brought by the power transmission-distribution pricing reform,the thesis diagnoses problems existed in HBDL company’s value creation activities.With the perspective of EVA key value driver,the thesis put forward four value creation paths which is applicable for HBDL Company to enhance its value creation capability.The innovation of the thesis include: advantages of applying EVA in enterprises value creation have been systematically clarified,and 5 main effective value creation paths for enterprises have been concluded from the perspective of EVA key value driver.Moreover, the thesis prospectively analyzes the impact on HBDL company’s EVA key value drivers from the pilot power reform and design four paths to strengthen the value creation capability of HBDL Company.The solutions for HBDL company would provide references to other provincial power grid companies to accustom to the undergo pilot power reform.