The Research Of Iron And Steel Enterprises Performance Evaluation Based On EVA

Iron and steel enterprises have an important position in the national economy.The development of the iron and steel enterprises can drive the development of other companies which is related to steel industry.However,the development of iron and steel enterprises is not satisfactory,the reason is that the traditional performance evaluation methods can give person a little information,managers can not get real results in enterprise performance evaluation,and this situation affect the development of the iron and steel enterprises.In order to get more real information in performance evaluation,manager needs find another way.EVA performance evaluation has a unique advantage of the traditional methods do not have in enterprise performance evaluation.In the process of calculation of EVA,it can avoid the behavior of whitewash financial statements,reduce the possibility of financial information distortion.Based on the study of the EVA performance evaluation,this paper introduces the current situation of iron and steel industry in detail.Taking Z Iron and Steel Company which is a representative enterprise in the iron and steel industry as an example,this paper will study the differences between the traditional performance evaluation system with Du Pont analysis as the core and the EVA performance evaluation system.At the same time,this paper will focus on the necessity and feasibility of introducing EVA into iron and steel enterprises,calculating the EVA value of Z Steel Company from 2013 to 2017,This paper will comparing with traditional performance evaluation methods from three aspects,this three points are:a comparison between the EVA and the net profit;a comparison between the EVA per share and earnings per share;a comparison between the rate of return on investment and net interest rate.Based on the study of the calculated data,this paper tries to find a basis for the conclusion that EVA is superior to traditional performance evaluation methods in performance evaluation,in order to obtain the following conclusions: first of all,establishing EVA performance evaluation is conducive to long-term development of enterprises;secondly,establishing EVA performanceevaluation can help people get more real information in performance evaluation;finally,establishing EVA performance evaluation can effectively make up for the deficiencies of the traditional performance evaluation.