Research On Cost Control Of Real Estate Enterprises In New Economic Situation

The real estate industry has become increasingly mature in china, relevant laws and regulations have gradually improved, the real estate enterprise management mode will be more and more close to internationalization. As countries the limit price policy, the price level enhances unceasingly, the project development costs increased significantly, industry profit margins is gradually reduced. Small and medium-sized real estate enterprises are facing some problems, such as financial strain, the limit of profit space, financial exposure,the survival and development in the increasingly competitive market becomes more and more difficult. Mature real estate developers in China such as Vanke, Poly real estate can obtain relatively stable earnings due to its mature cost control system. The cost control level affects directly the survival and development of real estate enterprises. Company A is a small and medium-sized real estate enterprise, it has competitive disadvantage compare of mature real estate enterprise management experience in the capital scale. Cost control is vital for the survival and development of small and medium-sized real estate enterprises.In this paper, the author based on the analysis of present condition of cost control of company A, grasp the overall development level of cost control, and find the shortage and omissions. The author read the related literatures of domestic and overseas, studied a preliminary of the real estate industry in the advanced concept of cost control. Mature real estate enterprises internationally are worth learning and using for reference, such as the construction system, the post responsibility system, the process control, and the accounting methods. In this paper, in according to introduction of the natural conditions and the current situation of cost control of company A, found suggestions and solutions to improve the cost control, the organization and management, the cost control process, the deficiency of cost accounting control method and reasons. To ensure the effective cost control in the system, including perfect cost control system, clear and definite the subject of liability,strengthen the budget constraint, and improve the mechanism of internal control. No one can be accomplished without norms or standards, it is necessary continuously strengthen the system construction, for the cost control to lay a solid foundation, to seek improvement in stability. In terms of institutions and staffing assignments to ensure the smooth enforcement cost control system, the rational allocation of human resources, optimize personnel structure, giving full play to the advantages of professional, inspire staff potential, arouse the enthusiasm of staff. The cost control can not only control the engineering cost, it can not be ignored of strengthen the organization and management, in terms of compensation and incentive mechanism to the cost control performance appraisal to tilt. The feasibility, strategic development planning study into companies such as the cost control process, it can control the project risk, reduce unnecessary spending and losses,transverse strengthen supervision and collaboration between departments, longitudinal smoothness and closely to ensure that the business process. Accounting subjects to improve cost accounting control is more scientific, and easy to fine management. The dynamic cost control into the accounting system, can make the company to better grasp the situation of cost to modify the dynamic cost in time, the change of the target cost factorinto the dynamic cost control. Assisted to establish accounting archives is advantageous for the company in a variety of caliber of statistics and analysis of historical data, in helpful of science and project cost fast collation and summary of the same attribute.There are many links need urgent perfection of small and medium real estate enterprises cost control, the author hope this paper can have reference significance for cost control of company A, help to improve the level of cost control, and sustained profitability.