Research On Dynamic Cost Control Of Shipbuilding

Shipbuilding cost is the key factor to decide the shipbuilding industry competition. Because of shipping possesses the characteristics of complex structure, long production period, uncertainties, the cost control is difficult and timeliness. With the support of ERP, on the basis of target cost and combined with activity-based cost, this paper proposes an entire process cost control model of shipbuilding which includes design stage, purchase stage, production stage. The contents are as follows.Firstly, this paper constructs a dynamic cost control model of shipbuilding. This model creates a cost control system which through a line of"design cost—purchase cost—production cost—cost analysis"to implement whole process, timely cost control. Secondly, this paper analyzes the four stages of cost control in shipbuilding. At the stage of design, based on target cost management, this paper use activity driver analysis to improve and analyze cost, and combining with value engineering to make the design cost control within target cost. At the stage of purchasing, this paper put forwards fuzzy analytic hierarchy process to solve multiple suppliers choices, then choose activity-based costing strengthen the management of single supplier. So it can control purchasing cost under the precondition of materials'quality and delivery date. At the stage of production, we control cost through four aspects which is direct materials, direct labor, special expenses and manufacturing cost. Among them for manufacturing cost, we adopt activity-based costing to accurately calculate and control manufacturing cost. At the stage of cost analysis, by comparing actual cost with target cost, we can find the differences and improve them timely, guarantee the timeliness of cost control. Finally, we make an empirical study for the dynamic cost control of A shipbuilding Co. LTD. This paper analyzes the cost control situation of this corporation, after that apply the model to the corporation. According to the shipbuilding's characteristics of complexity and timeliness, this model can control cost effectively, and enhance the company's competitiveness.