A Model for Measuring Banks Financial Performance Based on value creation analysis

Document Type : Original Article

Authors
M. E. Pourzarandi 1
M. Alborzi 1
F. Hosseinzade Lotfi 2
M. Shahriari 3
1 Department of Industrial Management, Islamic Azad University, Science and Research Branch
2 Department of Mathematics, Islamic Azad University, Science and Research Branch
3 Department of Industrial Management, Islamic Azad University, Science and Research Branch (Corresponding Author)
Abstract
There is a strong relationship between a bank performance and the way it finds the utility of applying their resource. This can be another word for value creation ability. Although there are many ratios and models for analyzing the financial performance in a bank, but in absence of an aggregated approach, finally makes it an empirical analysis for managers. This paper proposes a model to analyze banks performance in an aggregated and effective way according to creating value strategies. It considers two main parts: a model for measuring the financial performance and a comparative structure. By using the results of the model in a commercial bank, it provides an analysis for its ability to create values.     
Keywords
Bank
value creation
Financial Performance