Sh Real Estate Company Development Projects, Project Cost Management Model Study

The parlance of Entire Process Management of Construction Project Cost (EPMCPC) is a bran-new ideology in the engineering cost field proposed by former State Planning Commission in No. 30 file of Planning Standard (1988), and afterwards, scholars of the engineering cost management world home and abroad began to study this field. After all those years research, though the basic ideology for EPMCPC was already established, this management method cannot be widely spread and used due to many existed problems on relevant specific theory and method for EPMCPC. Real Estate Development belongs to profitable construction project, and the engineering cost management is with the 1st priority.This paper dissected the problems and reasons existed in their engineering cost management with comprehensive analysis to the current situation of project engineering cost management development by SH company. In order to solve the existing problems, this paper provide detailed study to the development of EPMCPC mode of SH company, build confirm mode and control mode of EPMCPC development on the basis of flexible real estates development project cost accounting and technique of breakdown structure of management theology and method, work and activity. Meanwhile, this paper provide comprehensive analysis and study on ancillary method mode of EPMCPC development as value management mode, full factor management mode, firm-wide risk management mode, total engagement management mode and etc. Article 5 of this paper provide example of A project developed by SH, described in detail the application of EPMCPC in project A. Confirming the design plan and invest estimate with lifetime value management at policy definition stage, promoting quota design strictly during design stage to ensure that the design budget is controlled within the investment estimate, execute bidding process and audit signature process to project changes during the bidding and construction stage, employ total engagement management mode, full factor management mode, firm-wide risk management mode to manage the project to control the construction drawing budget within design budget, and strictly audit the completeness, rationality and legality of the settlement data during the balance stage, so as to effective control the cost of project A, and control the completion settlement within the construction drawing budget, realize the cost control purpose composed by SH company during the decision stage and make good investment profit.