文档介绍：本科毕业设计(论文)
文献综述
原文:
Modified TVA-based Performance Evaluation
With the increasing popularity of value-based management systems, companies have started aligning pensation with shareholders’ wealth. A survey by Hewitt Associates shows that 85% of panies in the West have variable pay schemes. The variable pay is related to the performance of the management. The Economic Value Added (EVA)-pensation system is one of the most popular pensation systems being used in the corporate world. Popular by Stern Stewart pany during the 1980s, EVA is widely accepted as a measure of corporate performance. Though it has gained popularity only recently, as a measure of corporate performance it is centuries old. For years, economists have been arguing that a firm earns true profit only if it earns more than the investors expect. And EVA is just another name for this economic profit.
More and panies are using EVA to measure the performance often management. Fernandez reports that the number panies using EVA-based performance measurement systems has increased from 25 in 1993 to 250 in 1996. Biddle, Bowen and Wallace report that since its introduction in the 1980s, more than panies worldwide have adopted EVA-based performance measurement systems. In India, some of the most panies, including Godden Consumer Products, Tatar Steel and Tatar Consultancy Services, use EVA-pensation systems to measure the performance of the top management. An increasing number panies, including several essful panies, have also started reporting the annual EVA to investors. EVA primarily serves three purposes. Apart from being used as a performance measurement tool, it is also used as a valuation and a reporting tool. Mathematically it can be derived that the value of pany can be expressed as the
sum of the operating invested capital and the present value of future expected Eva.
EVA is however often criticized as an incorrect measure of corporate performance. It is argued firstly, that the market forms e