The performance evaluation and management system has been implemented since 2002. Considering the international development trend and referring to the specific practices of the system of USA and other advanced countries, RDEC revised the techniques of performance evaluation and form of performance annual report in 2006. The author will state the feature and status of the system by means of three functional stages of performance management system, which are formulation of strategy, performance measurement and evaluation. Also, the following issues will be discussed: not all the tasks wrapped by the measure indicators, the goals lacking in challenge by agencies, the relationship between strategy goals and indicators not tightly connected, output and outcome replaced by activities, the hardness to evaluate outcome, the problem about quantification indicator, information asymmetry between evaluators and performers, associating global competitiveness index, and difficulties of dealing with the feedback of the evaluation results. Furthermore, the author tries to afford some strategy and discuss how to improve the system for the future.