Research On Optimization Of Performance Evaluation Of Bank A Based On EVA

With the globalization of financial market,the development speed of China's capital market is gradually accelerating.Investors are increasingly concerned about the investment value,market performance and value-added capabilities of commercial banks.The construction of a scientific and effective performance evaluation system has increasingly attracted the attention of shareholders and managers of commercial banks.Under such a situation,an analytical tool which based on EVA indicators for evaluating and analyzing the value-added capability of commercial banks was born.It compensated for the defects of traditional financial management tools and analytical indicators in assessing the performance of commercial banks and became a kind of advanced and superior scientific performance evaluation model.At present,only a few China's commercial banks use EVA as a performance evaluation indicator.Therefore,this paper took Bank A as the research object,and tried to apply EVA to the performance evaluation system of Bank A to make up for the deficiency of Bank A 's traditional performance evaluation and optimize its performance evaluation.This will further improve the management level of Bank A.Based on the relevant concepts and theoretical basis,this article summarized the domestic and international related literature from the performance evaluation of commercial banks and the application of EVA in the performance evaluation of commercial banks.It is found that the existing research still has too many theoretical analysis but inadequacies in the case analysis of banks.Therefore,this paper took Bank A as the research object,and analyzed the status quo of its performance evaluation system,from the perspective of profit-oriented to the interests of shareholders,and then to the current value maximization.The current performance evaluation system of Bank A is dominated by financial indicators.It does not well reflect the business objectives of maximizing value and has many problems.According to this,the paper gave an introduction of the necessity and reality of the EVA performance evaluation in Bank A.We adjusted the related indicators with the specificity of the banking industry,and constructed the Bank A's performance evaluation model based on EVA.Therefore,the change of EVA index of Bank A from 2011 to 2016 was calculated and analyzed.At the same time,EVA was compared with traditional performance evaluation indicators,and an evaluation method combining EVA and EVA momentum was proposed.Finally,the paper put forward five suggestions on the application of performance evaluation system based on EVA in Bank A to provide reference for the optimization of performance evaluation methods for other similar commercial banks in China,and to provide a scientific basis for the development of enterprise performance management practices.