Application Research of Non-financial Indicators in the Evaluation of Enterprise Performance
Gang Chen, Wendong Zhao
Available Online 6 February 2021.
- https://doi.org/10.2991/assehr.k.210206.022How to use a DOI?
- Performance evaluation, non-financial indicators, financial indicators, strategic principles
- To combine financial indicators with non-financial indicators to evaluate corporate performance is increasingly valued by the theoretical and practical circles. It is generally believed that the inclusion of non-financial indicators in the evaluation system can make up for the shortcomings and deficiencies of financial indicators, thus making performance evaluation more scientific and reasonable, and the scope of application more extensive. This paper studies the motivation of the reform of corporate performance evaluation mechanism, analyzes the advantages and disadvantages of non-financial indicators, and reveals the four principles of non-financial indicators selection: strategic principles, key principles, weak collinearity principles, strong consistency principles. Finally, it puts forward the non-financial indicator measures to improve the enterprise performance evaluation system: increasing the enterprise’s comprehensive competitiveness indicator, growth performance indicator and cultural performance indicator. This research enriches the literature on the use of non-financial indicators in China’s performance evaluation system, and also contributes to the overall comprehensive performance evaluation of Chinese enterprises, thereby improving the operational efficiency and development potential of enterprises.
- Open Access
- This is an open access article distributed under the CC BY-NC license.
Cite this article
TY - CONF AU - Gang Chen AU - Wendong Zhao PY - 2021 DA - 2021/02/06 TI - Application Research of Non-financial Indicators in the Evaluation of Enterprise Performance BT - Proceedings of the 2020 International Conference on Modern Education Management, Innovation and Entrepreneurship and Social Science (MEMIESS 2020) PB - Atlantis Press SP - 103 EP - 108 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.210206.022 DO - https://doi.org/10.2991/assehr.k.210206.022 ID - Chen2021 ER -