The Korea Local Administration Review

This study suggest alternative index and measurement method to measurefinancial performance for facilities management corporation established by localgovernment. Public character should be emphasized rather than profitability tofacilities management corporation in comparison with other public corporationand financial condition should be judged based on a long-range view instead ofassessment business profit result of pertinent year of year on year.So, financial ratio analysis including profitability, activity and safety isreflected in the assessment. Meanwhile, when financial statements analysisresult is used for assessment, assessment result should not become permanentout of institute control. Therefore, the fact affecting valuation is separatedintrinsic and environmental fact. Financial standing is seriously influenced byelement which is out of instrument control, measurement method applyingaverage of environmental factors is suggested to supplement it.Finally, assigned objective assessment method using three years deviation issuggested since financial performance should be evaluated in the long terminstead of comparison of short period of time.
□ Keywords: facilities management corporation, assessment, measurement,financial performance