The Research Of Control Cost Of A Enterprise Groups

With the progress and development of the society, the supply of material resourcebecomes more and more plentiful, people face various choices, and they increasinglylike the cheap and fine commodities. For manufacturing enterprises, the moreimportant is technologically innovating to get cost down and efficiency, exceptdeveloping new market channels widely. The enterprises need to earn more incomeand cut down expense continuously, so as to survive from the competitive market.How enterprises control their cost reasonably will be an urgent and important study,which deserves further research and discussion for all the scholars and administrators.This article briefly states the concept of cost and cost-control in the language ofaccounting, reviews domestic and overseas theory for cost control, also introduces thegolden rule and methods of cost control. The article emphasizes on A group, describesA group’s operating status, strategic change, organization structure, etc, relates itsgood virtue on cost control, and explains in detail that the cost accounting system setup by the A group is its core value. Meanwhile, by all the way of analysis likestudying the cases, comparing the data and on-site observation, the article reveals theproblems of cost control among the administration of personnel, equipment,procurement, organization, inventory, system, engineering, technical innovation, etc,in order to solve which, after deeply analyzes from the5sides of4M1E(man、machine、materials、method、environment） by combining with practice, the articlestresses that the right key for cost control is the people, not the object, and substanceover form. Only when all the staffs take part in the cost control spontaneously andvoluntarily, it will be effective than hoped, and the article offers some specific andfeasible proposals on cost control.The article finds out that A group has proved highly successful on cost controlafter in-depth research on it, many cost control measures are feasible. But thereappears to be other deficiencies as well, so this article gives some reasonablesuggestion accordingly, in the hope of bringing few inspirations to A group, alsooffers the references for the Chinese manufacturing industry.