Cost control management objectives must first control the whole process should not only control production costs, product life-cycle costs should be controlled in its entirety.Practice has proved that only when the product life cycle cost effective control, the cost will be significantly reduced.
Cost leadership is the company win in the competition one of the key strategies, cost control, all enterprises must face an important management issue.No matter what kind of enterprise reform, incentives are no substitute for cost management and cost of this work, it is the most important aspects of successful business one.Effective cost control management is every business must pay attention to the problem, it can seize the overall lead.
(A) cost control management objectives
In the enterprise development strategies, cost control is an extremely important position.Cost control management objectives must first control the whole process should not only control production costs, product life-cycle costs should be controlled in its entirety.Practice has proved that only when the product life cycle cost effective control, the cost will be significantly reduced.
In addition, enterprises in cost control Di also must take account of product innovation, in particular, ensure and improve product quality never one-sidedly To earn 降低 ignore the cost of the product strains and quality, better not to pursue immediate Pianmian, takejerry, counterfeit or shoddy replacement to reduce costs such as dishonest; Otherwise, not only harm consumers, enterprises will eventually lose credibility, or even bankruptcy.
(B) cost control and management of content
Corporate cost control management, including cost allocation and cost control are two links.Cost allocation to address how Guiji, distribution, cost of products or services, its core content is costing; cost control problems facing was how to achieve cost minimization, including the enterprises to make all efforts to reduce costs.
l. Cost Allocation
Cost allocation, that is, indirect costs, allocation of common costs or joint costs to different departments, processes or products.
Cost allocation include the following basic steps:
(1) determine the cost of the object.Enterprises must determine to what departments, products or processes distribution costs.Quite often, the cost of the enterprise division.If an arm of the enterprise was awarded a number of decision-making, and become cost object, then the accounting system will be performance evaluation of the division.
(2) Guiji common costs and allocated to cost objects.
(3) Select the basis of cost allocation.Cost allocation is to be allocated based on total cost or the cost of the object the operation of common indicators.Common cost basis is usually allocated through the cost allocation included in the cost of the object.The basis of cost allocation can broadly reflect the cost of common resources, objects of consumption.
2.Cost Control
Cost control is the use of cost accounting-based ways, intended to limit the cost, of the limit expenditure costs, the actual cost and the cost limit Bi Jiao, Heng Liang Ye Ji Hu effect of business activities, in order to improve efficiency, achieve and even exceed Yu Qicost limit.
(C) the principles of cost control management
* Competition is the benchmark for cost control.
* Full control of the entire process.
* With the ultimate goal of maximizing enterprise value.
* Fine management, from the details of the staff.
* Integrate and optimize internal and external resources.
(D) the implementation of cost control management, enterprise role
* Cost control management is the fundamental way to increase profits, direct services to corporate goals
* Cost control management is to resist external pressure, the main protection to survive.
* Cost control and management of enterprise development.
(E) Summary
Cost control in the modern enterprise cost more to change based on changes in the cost method should be implemented in the future, to strengthen the internal management of enterprises generated.In theory, its more in line with the accounting of "matching" principle demands, help to strengthen cost control and performance evaluation, emphasis on marketing to promote business links, so that to market ability.But there are also disadvantages:
(1) does not meet the cost of the product concepts of financial accounting and external reporting requirements.
(2) can not meet the long-term decision-making.