Research On Performance Evaluation Of Employee Stock Ownership Plan In State-owned Enterprises

The employee stock ownership plan is an incentive mechanism that combines the interests of employees with the interests of the company,thereby mobilizing the enthusiasm of employees and alleviating the conflict of interests between the employees of the company and the shareholders of the company.The employee stock ownership plan makes employees more proactive to improve the company's operating performance.In 1993,China began to carry out mixed ownership reform of state-owned enterprises.As one of the ways to reform the ownership of stateowned enterprises,the employee stock ownership plan has been widely used in China,but in fact the purpose of the employee stock ownership plan was to raise funds to expand production at that time.However,since then,the employee stock ownership plan has experienced many problems such as short-term employee stock arbitrage and serious loss of state-owned assets in the implementation process.This has directly led to the limited development of the employee stock ownership plan in China,and experienced two emergency stops.Nowadays,the market competition is becoming more and more fierce.The reform of China's state-owned enterprises is deepening,and the position of human capital in economic development is becoming more and more prominent.In 2013,the Third Plenary Session of the 18 th CPC Central Committee once again proposed that state-owned enterprises can adopt employee stock ownership to develop mixed ownership economy,and mixed ownership reform of the state-owned enterprise is mainly aimed at diversifying the equity of state-owned enterprises and improving the management of enterprises through the improvement of governance structure.In the context of a new round of mixed reform of state-owned enterprises,the employee stock ownership plan is both an incentive method and a governance approach.Whether it can play its role to solve the governance problems of state-owned enterprises and exert its incentive role needs further study.Based on the above background,this paper takes the employee stock ownership plan implemented by GRGBanking Co.,Ltd.(hereinafter referred to as “GRGBanking”)as the research object.Firstly,this paper reviews the relevant documents of mixed ownership reform of the state-owned enterprises and reviewing relevant theories.Secondly,this paper introduces the implementation background and implementation content of the first employee stock ownership plan of GRGBanking,and then focuses on the analysis of performance evaluation.And finally concluded that the implementation of the employee stock ownership plan will produce good governance performance and incentive performance as a whole,and this paper also puts forward relevant suggestions for other state-owned enterprises to implement the employee stock ownership plan.The main contribution of this paper lies in two aspects.Firstly,the topic is combined with the topic of social hotspots.Under the background of deepening reform of state-owned enterprises and China's vigorous development of mixed ownership economy,it is important to study the performance of employee stock ownership plans.Secondly,The present performance evaluation research of shareholding plan mainly focuses on two aspects: financial indicators and market reaction.This paper studies the performance of employee stock ownership plan and incentive performance from the purpose of implementing employee stock ownership plan.This paper focuses on performance evaluation of the seven aspects,such as equity structure,business structure,market performance,financial performance,employee structure,management efficiency and innovation ability,which included a wider range and more suitable for the characteristics of this case.The shortcoming of this paper is that this paper is a case study,and the case study itself has certain limitations,and the research conclusion authority Insufficient sexuality;together with the relevant data are all from the public disclosure of listed companies,so the research data is not complete,the level of data analysis is limited,and the research conclusions are limited.