Research On Performance Evaluation Of Overseas Construction Enterprises Based On EVA

EVA assessment system is introduced to central enterprises in 2010 by the SASAC.The reason why the introduction of EVA assessment provokes different opinions is its late development and research in China.The carried EVA system is still under"localization" trial period.Construction enterprises are the basic industry of the people's livelihood,and they also have become the first batch of enterprises to introduce the EVA assessment system.Domestic scholars have made many researches on the EVA introduction of construction,steel,coal and other industries,but research on the introduction of overseas construction enterprises is seldom.If the overseas construction projects continue to use the traditional performance evaluation indicators,the long-term benefits will be damaged by purchasing short-term benefits blindly.Therefore,this paper attempts to introduce the traditional performance evaluation indicators and the EVA performance evaluation indicators into the overseas construction enterprises in order to establish a scientific and applicable EVA comprehensive performance evaluation system to promote the improvement of its value creating ability.This paper adopts both specification research and case analysis to introduce research background,significance,method and main innovation points firstly;secondly,the advantages and disadvantages of EVA and other performance evaluation methods are introduced,and the relevant literatures at home and abroad are collated and reviewed,and then the theoretical basis for case analysis is made;thirdly,make research on the existing performance evaluation system of overseas construction enterprises and find out its shortcomings;fourthly,establish EVA-based performance evaluation system for overseas construction enterprises;finally,introduce the EVA performance evaluation system to the Company A,and then compare and analyze the data before and after introduction of EVA performance evaluation system.The main contributions of this paper include following three aspects:1.Analyze the shortcomings of the existing overseas construction enterprises assessment indicators,such as ignorance the cost of equity,vulnerable to short-term business objectives,vulnerable to the impact of human factors and ignorance of the relationship between stakeholders and so on.2.Combine the EVA performance evaluation indicators with the existing assessment indicators of the overseas construction enterprises,and establish the EVA comprehensive evaluation system from both financial dimension and the non-financial dimension to evaluate the management of the overseas construction enterprise effectively.3.Use the newly established EVA comprehensive evaluation system to evaluate the performance of Company A.The results show that Company A achieves A-level performance for two consecutive years after application of EVA in 2014.It shows that the use of EVA comprehensive evaluation indicators will help improve the ability of enterprises to create value.