Research On Financial Performance Evaluation Of T Company Based On DEA

Electric Power Resource is an important driving force to promote the development of social economy.The electrical equipment manufacturing industry shoulders the heavy responsibility of the equipment in many fields in our country,the electric energy production,the transmission,the exchange,the distribution and the application and so on all processes all need the electrical equipment to realize,the sustainable development of national economy depends on the extensive use of electrical equipment,which plays a vital role in the sustainable supply of electric energy to the society.The research target of this paper is T company,which is listed in electric equipment manufacturing industry.T company is a participant and maker of electric power product technical standard in China.Through the comprehensive analysis of the financial performance of the enterprise to find out the defects and deficiencies in the management and resource allocation,and then set up a new evaluation system for further analysis of the enterprise,to explore the enterprise management optimization direction and improvement suggestions.First of all,this paper summarizes the research status of various financial performance evaluation methods at home and abroad,makes a brief comment on the research results of experts and scholars,and expounds the relevant theoretical knowledge of financial performance,from this,the concept and theory of DEA method are introduced.Secondly,this paper briefly expounds the present situation of financial performance evaluation of T Company,and puts forward the problems existing in its current management,finally decided to build a new financial performance evaluation system based on DEA model.The construction process of the system includes the determination of the evaluation target,the selection of the decision-making unit,the design index system,the establishment of the evaluation model and the solution.Thirdly,in the selection of input and output indicators,14 index factors are initially determined,the factor analysis method is used to reduce the dimensionality of the original index,the input-output common factor is extracted,and its score is calculated,and the common factor score is substituted into the DEAP 2.1 software as the final index for calculation,and then the financial performance of Company T from 2012 to2021 and the financial performance of 20 electrical equipment manufacturing enterprises including Company T in 2021 are compared and analyzed based on the vertical and horizontal perspectives.The effectiveness of the decision-making unit is judged and the efficiency values and projection values are analyzed.Finally,according to the results of financial performance evaluation,this paper puts forward some suggestions for T company to improve: establishing a complete organization of performance evaluation,implementing DEA evaluation method,improving the professional quality of performance evaluation personnel,following the national policy closely,establishing a reasonable capital structure,etc.,the purpose is to improve T company’s financial performance evaluation level and enhance its competitive position in the industry.