The starting point of cost control, or the platform of cost control process, is the basic work of cost control.
1, quota formulation. Quota refers to the quantitative limit reached by the consumption of various resources such as manpower, material resources and financial resources under certain production technology level and organizational conditions, mainly including material quota and working hours quota. Cost control is mainly to formulate consumption quota, which can only play the role of cost control. The formulation of working hours quota is mainly based on the income level of each region, enterprise wage strategy, human resources situation and other factors. In modern enterprise management,
2. Standardization work. Standardization is the basic requirement of modern enterprise management and the basic guarantee for the normal operation of enterprises. It promotes the rationalization, standardization and high efficiency of enterprise's production and operation activities and management, and is the basic prerequisite for the success of cost control. In the process of cost control, the following three standardization tasks are extremely important.
The process of finished product control
1, product control before production
This part of the control content mainly includes: product design cost, processing technology cost, material procurement cost, production organization mode, material quota and labor quota level. These contents have the greatest impact on the cost. It can be said that 60% of the total product cost depends on the quality of cost control at this stage. This kind of control work belongs to the ex ante control mode, and the real cost has not yet occurred when the control activities are implemented, but it determines how the cost will occur, which basically determines the cost level of the product.
2. Control in the manufacturing process
Manufacturing process is the main stage of actual cost formation. Most of the costs occur here, including the consumption of raw materials, labor, energy and power, various auxiliary materials, the transportation costs of materials between processes, and the expenses of workshops and other management departments.
3, control in the process of circulation
Including product packaging, remote transportation, advertising promotion, sales organization expenses, after-sales service, etc. At present, it is easy to take all kinds of promotion measures regardless of cost when emphasizing the strengthening of enterprise market management functions, which offsets the increase of profits, so we should also make a quantitative analysis.
The above briefly introduces the matters that the company needs to pay attention to in controlling costs. In fact, there are more detailed and systematic knowledge to learn. When it comes to cost control, the analysis of cost, cost, profit and cost difference are all cost management items. Friends who have time can learn more about it, and this website also has detailed and wonderful explanations.