Research On The Performance Evaluation Of Company X Based On ESG And Finance Perspective

As China enters a new stage of development,enterprises also need to transform to high-quality development and sustainable development,and performance evaluation as a wind vane can reflect the development direction of enterprises.Traditionally,enterprises have mainly judged their own development ability based on financial performance,but excessive attention to financial performance may lead enterprises to focus only on short-term performance and engage in behaviors that undermine the sustainable development of enterprises.ESG is gradually recognized by more people internationally because it pays attention to the performance of enterprises in terms of environment,corporate governance and social responsibility fulfillment,and pays attention to the sustainable development of enterprises.Therefore,it is necessary for enterprises to pay attention to both their ESG performance and financial performance when evaluating their own performance.Therefore,this paper considers both ESG and finance to evaluate the performance of listed company X.First of all,taking the leading enterprise X listed company in the optical fiber manufacturing industry as the research object,it is found that the current performance evaluation of Company X is mainly based on financial indicators,and lacks attention to ESG indicators,which will have a certain impact on the decision-making of Company X,which is not conducive to the sustainable development of the enterprise and the improvement of core competitiveness.Based on this,the reasons for Company X’s performance evaluation based on ESG and financial perspectives,that is,the necessity and feasibility are analyzed.Secondly,according to the development status of Company X,considering both financial performance and ESG performance,representative indicators are selected,the weight of indicators is determined by entropy method and analytic hierarchy method,and the performance evaluation model is scientifically determined.Then,the ESG and financial performance data of 2019～2021 are obtained from the corporate social responsibility report and annual report of X company,and the performance evaluation results of company X are analyzed by applying the performance evaluation model constructed in this paper.Finally,this paper concludes the following three aspects: First,enterprises should pay more attention to ESG performance indicators in the performance evaluation process,and performance evaluation based on ESG and financial perspectives is feasible and necessary,and can make a more comprehensive,objective and accurate evaluation of enterprises from the aspects of finance,environment,society and corporate governance.Second,enterprises should adopt more scientific and reasonable performance evaluation methods,and this paper selects 32 indicators in 4 dimensions based on ESG and financial performance to evaluate the performance of Company X.Third,through the analysis,it is found that the overall development of Company X is good,but its sustainable development ability still has room for improvement.Then,based on the analysis of the results of the performance evaluation,recommendations are made from four aspects: financial,environmental,social and corporate governance.This paper provides a theoretical basis and decision-making reference for enterprises to evaluate their performance more objectively and comprehensively,and promote enterprises to attach importance to sustainable development and high-quality development while pursuing short-term interests.