Construction project cost development?

The construction cost of the construction unit is the total cost of completing the project. In this case, if an enterprise wants to make profits and realize the goal of maximizing enterprise value, it can only be achieved by strengthening the control of project cost. In China, project cost management has always been a weak link in project management. In the early stage of the project, due to the lack of in-depth research, it is inevitable that it is impossible to accurately estimate the resource cost required to complete the project activities, resulting in insufficient open source, and even some projects have not been scientifically predicted and analyzed at all, making mistakes in decision-making and being unable to make profits.

The contract price of the construction unit, that is, the winning bid price at the time of bidding. According to the promulgation and implementation of the Bidding Law of People's Republic of China (PRC), the development of China's construction engineering field has ushered in an important turning point, which has played an important role in the standardized management of bidding in China's construction market. In recent years, China's engineering cost system and bidding system have been continuously improved, and the standardized management in the field of engineering construction in China has achieved good results.

Main problems in cost management of construction projects

The construction project cost system is not perfect. China's legal system is gradually improving, and relevant policies in all aspects have not yet been promulgated, which is also reflected in the field of construction engineering. There is no unified standard for cost management in various management departments, with unclear powers and responsibilities and inadequate supervision. These imperfect legal systems lead to the slow development of engineering cost in China.

Regional differences With the rapid development of China's construction projects, there have been many large enterprises' cross-regional construction. However, different levels of social development in different regions lead to great differences in cost, budget and fees. This geographical difference has caused differences in work.

The construction market is imperfect, and the development of China's construction market is relatively slow. The subjects involved in the construction have low credibility and lack effective means of restriction. Everyone takes the interests as the ultimate goal. In order to get your own interests, you can sacrifice the price of quality and progress, and the final result is that the progress can't go up, the quality is unqualified, and all kinds of losses are caused.

Opinions and suggestions on doing a good job in construction project cost

Relevant departments should establish an adaptive normative mechanism, make up for the temporary vacancy of the legal system with normative measures, and manage the cost of the construction market with industry norms. Develop a unified market information system, eliminate regional differences, and standardize the impact of regional differences on the cost of China. Establish a national cost information system platform, establish a credit system and improve the credit system of the construction market.

Risk management measures

Risk Avoidance is the method of eliminating risks or conditions for the occurrence of risks by adopting new technologies, new materials and scientific and reasonable means. From the perspective of risk management, risk avoidance is the first choice of the project. For high-risk projects, measures need to be taken to reduce the degree of risk.

Risk transfer Risk transfer is to transfer the risks that you may bear to others through contracts, so as to achieve the purpose of reducing your own risks. The premise of risk transfer is legality. We must abide by the relevant laws and regulations of our country and must not violate the relevant clear contents.

Risk retention and risk retention, also known as taking risks, refers to the irrational or rational initiative of enterprises to take risks, that is, enterprises use internal resources to make up for losses. Insurance and risk retention are two main financing methods for enterprises after losses, and they are both important risk management means. Any investment has certain risks. For those with little risk, the construction unit can use its own means to maintain the risk. The construction unit needs to prepare some expenses for a rainy day. If there is no risk, this part can become the profit of the enterprise.

Risk Utilization For ordinary enterprises, in terms of risk management, it is generally enough to take the above measures, while for some mature large enterprises, they can take advantage of some risks and use their own management, organization, technology and other means to gain more profit space.

With the rapid development of the world economy, the construction market in China is constantly improving, and the industry competition is becoming more and more fierce. If the construction unit wants to be in an invincible position in the market, it must improve the management level of cost work and innovate constantly. Scientific and effective cost management can not only reduce the construction cost of the construction unit, but also improve the economic management level of the whole enterprise. Nowadays, China has begun to implement dynamic cost management in the whole construction industry, and formulate feasible cost management systems and strategies according to its own actual situation, so as to improve the competitiveness of enterprises and the overall level of cost work in China's construction market.

For more information about project/service/procurement bidding, and to improve the winning rate, please click on the bottom of official website Customer Service for free consultation:/#/? source=bdzd