An Application Research On Target-Activity Cost Management Mode In Construction Project Of HongKun Enterprise

With the integration of the world economy, China’s construction enterprises faced the engineering project management system reform deepening, production mode and organization structure changing. China’s construction enterprises generally have low level of cost management, cost of waste is serious, poor economic benefit, construction enterprises for survival and development, the concept and method of cost management must have innovation to adapt to the changing situation, take various measures to reduce costs, so as to improve market competitiveness. Target cost management and activity-based costing management as today’s advanced cost management mode, have been widely used in Japan and the European and American companies. Therefore, the combination of target cost management and activity-based costing management mode of cost management for construction enterprise cost management theory and practice research are heavy Great guiding significance.HongKun enterprise is a large-scale construction enterprise through investigation and analysis, found the company’s cost management concepts backward, not accurate cost budget, cost accounting and extensive, cost information distortion, single indirect cost allocation standard and unreasonable and so on, therefore, HongKun enterprise in order to make the price advantage of the basic platform, continued to gain market competitive advantage, the need to introduce a new cost management method to implement scientific cost management. This article as a starting point, on the basis of previous studies on the HongKun enterprise goal-the homework cost management mode of application research.Thesis mainly for the following research work:first, the target cost management theory and activity-based costing management theory has carried on the detailed research, and on this basis to target cost management and activity-based costing management both the advantages and limitations of a deeply analysis the feasibility of the combination of these two, from theory to construct the target-activity cost management system. Then in view of the problems existing in the cost management of HongKun enterprise proposed the goal homework cost method in the necessity and feasibility of its implementation. In HongKun enterprise ocean pearl foundation engineering project as an example, under the mode of pricing by bill of quantities is discussed in detail the determination of the project target cost and operation cost of business accounting, and analyze the target cost and operation cost, put forward the corresponding control measures, such as trying to solve the problem of its cost management, finally based on the scheme proposed target-activity cost management mode of safeguard measures.