First, the traditional lack of cost accounting
Market competition, globalization and the formation of a buyer's market, to the operators generated unprecedented pressure.Bode salesman in front of a single flame, but worry about the price too low and lose money save yell, the whole no idea because the current cost; market prices of production materials and finished goods volatile, sales orders or quotes have been identified, noknow whether there are profits produced.
The face of such market environment, enterprises need to grasp their own production process orders at the cost of each processing, timely grasp of the marginal contribution of the sales order to dynamically control the business risk.However, traditional cost accounting can not be well supported, because the traditional historical cost accounting can only receive a monthly cost of the current market is difficult to obtain immediate cost, standard cost and the cost of the establishment of a quota system is also multi-point adjustment to the accounting period,there is no corresponding mechanism to ensure that the cost of dynamic real-time access.Construction job cost system is to solve the cost of the project structure, particularly manufacturing costs related projects, the rational allocation problem, is part of the improvement, but still based on historical cost accounting and the accounting period as the prerequisite.
Second, the dynamic demands of the cost of system construction
Sales of control, either by a single production or spot sales, in order to discuss the process, in the end the order is profitable, how the profitability of orders, not looking at historical cost, but look at the current market price for immediate purchase of materials production and processing of the productmaking money.For orders by a single design, but also the BOM structure based on the actual cost structure analysis.
Production control, production for stocking, the price of finished basically unchanged in the case of implementation of the plan to fully monitor the production process, all production costs of price changes on a single form of manufacturing.
The current implementation of the dynamic cost management enterprises are no longer uncommon, such as Qingdao Iron and Steel Holding Group's "five day" full control of joint management ideas and management models, Tianjin Li Fengyuan Dari cost accounting management, the cost elements of Jiangxi Copper Groupmarket analysis, East Hope Group's feed category contribution margin analysis of sales orders and sales prohibited without the contribution margin.
Previous cost management, are built on the basis of accounting period, research and application.Break the shackles of accounting period, highlighting the cost to the timeliness of decision-making, real-time access to information on cost structure, this is the dynamic cost.
Third, how to implement the dynamic cost
Dynamic cost is different from the historical cost, dynamic cost the strict sense should be a real replacement cost, that is, the material according to the current market price and the current work of the actual cost of the approved cost, with the dynamic changes in the market environment changes.The actual cost of the project little change in the circumstances, in particular, according to the needs of a single custom, they can be dynamically according to the standard cost accounting analysis.
Cost structure of its constituent elements should be registered as the basis of market changes, the core of a dynamic cost accounting to support decision-making and whether the orders the cost of monitoring the production process.
Figure 1: Dynamic cost architecture
Fourth, cost management into the fourth stage
Cost management from the traditional historical cost accounting period, the development of cost projections, cost accounting, cost control, cost analysis, constitute a complete procedure, emphasizing the standard cost and fixed cost management of the stage, and then developed to account for the exact cost of the core during thestage of the operating costs.But modern enterprise management to cost management put forward higher requirements to more accurately guide management.
Figure 2: The stage of development of cost management
To better support the management, cost management to improve the timeliness of management support, cost management as the next stage, will cost management is the theme of the dynamic stage of development.
Figure 3: Structure of the new cost management system
From now on a variety of business practice and the ability to support information management perspective, a new cost management system construction and development milestone has arrived.