Study On The Improvement In The Cost Management Of The Subway Project By Aotong Company

With the continual depth of the economic system reform in our country, varied patterns and different kinds of structures have been appearing not only in the form of capital but also in the patterns of management adopted by the architectural construction enterprises. At present, architectural construction enterprises have to make contracts with some firms that hold some building projects by public bidding. Further more, the lowest bids for some projects have become the rules widely accepted by the units in charge of the construction because of the daily-acute competition in domestic building markets. In this way, entering a bid at a reasonable price is mainly adopted by the domestic constructors. That is to say, the competition of traders will surely get into a good order and the markets will become riper and riper so that the profits made by traders are getting clearer and clearer, which is so close to the profits accepted by both buying and selling sides. From this, we can draw a conclusion that construction enterprises have entered the times of the lowest profits. If they want to exist and develop themselves, they have to cut down the cost of their profits and strengthen their project management scientifically so that they can raise their competitive force apart from their abundant capital, fine talented groups and advanced technology and equipment. All this above, particularly, must be paid more attention in the building fields of the the projects for the city's subway-building. We are sure that with the rules and regulations of building perfected continually, market competition has become fiercer and fiercer. Making better technological designs, carrying out the cost management and raising the management level are all getting more and more important, which is only one way for the construction enterprises to raise their competitive force of the core. In a word, the cost of the project is an eternal theme of the management and it's also the core content of the project for lowering the water to make subways.As an enterprise directly under the former Ministry, Aotong company has accumulated a wealth of experience and also has better superior in technology and advanced constructual designs in basic building fields. It is Aotong that first used the technology of water-lowering and water-oirigating back in building subways, which not only protects the underground water resources but also reduces the difficulty in popping-up. It is known to all that one of the main engineerings in Beijing, the project of water-lowering for No.10 Subway-building is approved by the traders in the same fields. In the meantime, the attempt and putting new ideas into practice in the project management have made great achievements, in which we have trained a large number of technologists working for subway-building and accumulated the experience in the cost of the project management and laid a fine basis.As a member of finance management, I've collected a lot of data and much information by means of practical observation, consulting the materials and comparatively analysing after I studied the cost management of Aotong company's projects, According to the theory of management combined with the policy and the markets the construction enterprises face, I've made a deep investigation into the cost management of the project for the subway water-lowering and found out some problems in it and then I've made a careful study on the causes of them. I've also approached a subject from different angles such as purchasing management, contract management, budget management and efficiency check. In order to solve the problems, I've put forward some improving measures for the organization management and the model management. In this way, the purchasing management of the project has been strengthened and the budget management has been combined with contract-fulfilling and cost management. We have also set up a fine and efficient system to evaluate the result of the project and laid down some encouraging and rewarding rules so we've reduced the cost and got more profits. To our satisfaction, Aotong company is widely admired and needed by daily-competitive markets. We are sure that Aotong will have much more excellent future.