Keywords: cost management, analysis and control
China Library Classification Number: F234 Document Identification Number: A
Article number:1004-4914 (2012) 09-129-01.
With the development and perfection of the socialist market economy, the market competition in the construction industry is becoming more and more fierce. Whether a construction enterprise can occupy a place in the competition mainly depends on its reputation and strength. Externally, enterprises should ensure the construction period and quality; Internally, enterprises should strengthen economic accounting, strive to control costs and improve the profitability of engineering projects. Cost management is an important work in project management of construction enterprises. The quality of cost management directly affects the economic benefits of enterprises and is the key to the rise and fall of enterprises. Therefore, how to strengthen the project cost control, ensure the realization of the target cost, effectively reduce the project cost and improve the economic benefits of enterprises has become an urgent task for enterprises.
First, the current cost management problems in China's construction enterprises
The project construction of construction enterprises has the characteristics of fixed construction site, programmed production process and one-time construction project. Therefore, the construction period of construction projects is generally long, and construction enterprises conduct separate accounting according to the project. The cost management of construction enterprises refers to the management of controlling the actual cost of construction enterprises through a series of special theories and methods such as budget, control, accounting and analysis, and taking effective management under the condition of meeting the project quality and construction period to continuously reduce the cost so as to achieve the expected cost control goal. Although some construction enterprises have made a lot of efforts in cost management and gained some economic profits, the effect is not obvious. To make the cost control of construction enterprises achieve good results, we must first analyze the problems existing in the cost management of construction enterprises:
1. Not paying enough attention to cost management. Due to fierce market competition, business leaders blindly pursue output value and focus on bidding activities. Once the project is contracted, they will speed up the construction period, often ignoring the cost budget in advance and the cost control in the process. Blindly complete the output, increase the input and realize the cost profit, ignoring the enterprise's goal of maximizing the profit. By strengthening cost management, enterprises can maximize profits and develop in a virtuous circle.
2. There is no scientific and systematic cost management method. Some enterprises didn't work out the construction cost budget reasonably before the project started, and didn't set the goal of cost control. Therefore, there is a lack of effective management and control over the arrangement and use of labor, the purchase price and quantity of materials, and the rational allocation and scheduling of machinery in the construction process. In addition, it is impossible to scientifically and effectively collect, sort out, store and analyze the cost information in the construction, use the true and correct cost information to control the cost, find and deal with the mistakes and omissions in the project construction in time, and minimize the cost of enterprises.
3. The quality of managers is not high and they lack cost consciousness. The cost management of construction enterprises is a complicated work, and the level of cost management depends largely on the management means and methods of managers, which requires that cost managers must have certain professional knowledge and comprehensive quality. Today, with the development of information technology, most managers of construction enterprises still have problems such as low quality, slow information transmission and low level of modern management. If the cost management work is not implemented and the cost lacks authenticity, the project cost will not be well controlled, and the cost management work can only become a mere formality.
Second, to strengthen the cost management methods of China's construction enterprises
1. Improve the awareness of cost management and improve the cost management organization. Actively publicize the importance of cost management within the enterprise, enhance the responsibility cost awareness of all employees, and make every employee realize that reducing costs is his own responsibility. At the same time, it is necessary to set up a project management department according to the actual situation, appoint the person in charge of cost management in each project department, enhance their sense of responsibility for cost management while giving managers certain authority, analyze and evaluate the performance of project cost management in time, establish a perfect reward and punishment system, and implement effective cost control.
2. Use advanced management methods to improve the level of cost management. (1) Before the construction of an engineering project, the cost budget should be prepared, reasonable targets should be set and the cost should be controlled. (2) In the process of construction, fully control the labor, materials and machinery costs. First of all, labor cost is an important project of project cost control. According to the usage quota, a fixed amount of labor is calculated, and then according to the construction progress and technical requirements, the number of workers in each type of work is reasonably arranged, so as to reduce and avoid invalid labor, reduce the waste of working hours and minimize the labor cost. Secondly, the amount of materials used in construction accounts for about 70% of the total project cost, so the control of material cost is the focus of project cost control. The cost control of material expenses includes the control of material purchase price and the control of material usage. In terms of material procurement, we should first investigate the market situation, then select the best material through public bidding, and at the same time reasonably determine the procurement batch, batch number and payment method, so as to minimize the material reserve fee and capital use cost. In the use of materials: strictly follow the quota, analyze the reasons in time when the quota is exceeded, correct the deviation, and implement the reward and punishment system for management. Thirdly, in the current construction, the use of construction machinery has become an important guarantee to improve the construction progress and complete the construction project on time. It is necessary to rationally allocate and schedule the use of various machinery, reduce the idle time of machinery, improve its use efficiency, and strictly control the use cost of machinery.
3. Improve the cost management ability of managers. To improve the overall quality of cost managers, we must first have a good sense of cost management. Secondly, we should have high professional quality and strong comprehensive ability, because cost management is an extremely important content in construction enterprises, which requires the management of all employees, the whole process, the whole construction period and the whole project, and needs to be managed by scientific means and advanced technology. Therefore, we should actively learn new management skills, improve the business ability of enterprises, be competent in management work, continuously reduce the cost of enterprises, and make enterprises achieve greater economic benefits.
Three. Concluding remarks
The cost management of construction enterprises is both important and complicated, and it is an important measure for the sustainable development of enterprises. Therefore, how to improve its own cost control ability has become a research topic that every enterprise can't ignore. In the process of project construction, construction enterprises should strive to tap the potential of cost control and constantly sum up the experience of cost control, so that enterprises can be in an invincible position in the increasingly fierce market competition.
References:
1. Qian Lingling. On the cost management of construction enterprises. Architecture, 20 1 1(5)
2. Zhang Yan. On the cost management of construction enterprises. Finance, 20 10( 1)
(Author: Taiyuan Chenyu Municipal Engineering Co., Ltd. Taiyuan, Shanxi 030024)
(Editor: Ruojia)