Research On Strategic Cost Management Performance Evaluation Of Xi'an Equipment Manufacturing

With the intensifying competition of market and the increasing changes of economic environment, the defects of the traditional cost management are increasingly evident. Companies only concerned with the internal production and operation cost reduction target can not adapt to the vagaries of the environment and begin to pay more attention to changes in the upstream and downstream links, and internal and external environment. Strategic cost management come into being and domestic scholars of strategic cost management and performance appraisal have started to research the issues from different perspective, of which the most studied confined to the theoretical level and the evaluation system established lack of emphasis on strategic cost management features anddid not reflect industry characteristics and regional differences. Above all, there is still a blank area in the research of the equipment manufacturing industry and horizontal comparison within the industry in the implementation of strategic cost management performance evaluation appraisal. For this reason, this paper will select the equipment manufacturing industry in Xi'an as a research object, conduct field research on the basis of the literature study and build the strategic cost management evaluation system that is suitable for equipment manufacturing industry in Xi'an and the evaluation model using fuzzy comprehensive evaluation method.In this paper, the author firstly reviews strategic cost management and performance evaluation in detail and comparative analysis. Secondly, the author analysis the overall status and industry status of the equipment manufacturing industry of Shanxi Province and Xi'an in 2009 and the Xi'an equipment manufacturing strategic cost management learned from today's most widely used Shank model including strategic positioning analysis, cost driver analysis and value chain analysis, then discussed the factors that affect its strategic cost management performance.Again, the author analysis the characteristics of 76 equipment manufacturing enterprises in Xi'an, build the strategic cost management evaluation system including financial and non-financial indicators filtered and clustered the indicator using factor analysis combined with the special nature of strategic cost management, and finally due to the three-dimensional degree evaluation system based on the financial, value chain and strategic move.Finally, the author build the evaluation model using fuzzy comprehensive evaluation method, test the model selecting representative examples of M 2009 and 2010 data,2008-2010 data time series within the industry and horizontal analysis.The results show that the strategic cost management performance evaluation system and evaluation model is feasible for the equipment manufacturing in Xi'an and valid by the instance of enterprise using of self-comparison and industry comparison result evaluation model is. At the same time, the effect is quite satisfactory, which is an important basis for business decision-making and enhance the competitive position.