The Path to Creating Enterprise Value: Economic Value Added Performance Assessment in Practice

Author: Li Shousheng
Publisher:
Publish Date: 2005-06-01
Features: The book is divided into six chapters. Chapter 1 introduces the economic value added (EVA) management system. It begins by defining the criteria for identifying excellent enterprises, leading to the basic concept of EVA. Then, it addresses the current state of state-owned asset management in China, proposing solutions to existing problems. It highlights the management philosophy advocated by EVA and the "4M" management system, as well as the relationship between EVA and other performance evaluation systems. Chapter 2 focuses on the calculation methods of EVA, explaining the indicators and adjustments involved in the relevant formulas. Chapters 3 and 4 analyze domestic and international case studies of EVA implementation. They propose key elements for successful implementation of performance appraisal and management, while comparing the current state of EVA application in domestic enterprises to identify major challenges and solutions in promoting EVA in China. Chapter 5 discusses the implementation plan for the EVA performance appraisal system and core issues during implementation. It offers recommendations for advancing and implementing EVA. Chapter 6 introduces how to sustainably enhance a company's long-term value creation capability. Centered on EVA, it comprehensively elaborates on its application in improving long-term value creation and enhancing core competitiveness, covering aspects such as corporate strategic management, value driver analysis, benchmarking, establishing a robust corporate risk management system, and effective compensation incentive schemes. The book's major feature is its comprehensive solution tailored to China's national conditions, demonstrating strong practicality and operability.