The Discussion Of Construction Company Cost Control Study

With the development of Chinese open market economy, all kinds of industriesare faced with reform. Monopoly industries which are controlled by state-ownedenterprises are also facing a wave of reform. The government will gradually gives lessfinancial support to state-owned enterprises and functional public institutions. Thestate-owned enterprises and institutions should be responsible for their operation.Only according to its own characteristics, economic power, service objective,competitors, they can reconsider the direction of development to face with changes, orthey will be weeded out.This paper does the research of management problems of T enterprise which isinvested by the government public institution, and analyzes the constructioncharacteristics of the industry and the internal factors of T enterprise, finally proposesmany targeted solutions to those problems. T enterprise is the municipal contractorenterprises in the construction industry, the management model types of state-ownedenterprises represented by T enterprises can not adapt to the development of modernenterprises. Although the local government has done the reform, the managementsystem is still old and superficial, especially in the control of key cost,so systemadjustment and cost control are very important to T enterprise.In this paper, a method of performance appraisal combined with cost control isintroduced to develop scientific and reasonable performance standards. It can achievethe company’s management and guide employee behavior simultaneously. Firstly, weshould comb corporate functions, optimize functions，highlight the market biddingand project site management and streamlining management and give full play to thecharacteristics of the trade unions through a mid-level technical management of theproject manager’s talent pool mechanism technical coordinator with the rotation oftechnical coordinator. And we also should organize staff training，establish the targetof performance appraisal, improve cost control management agencies， explicitmanagement method of the cost of labor, materials, machinery and measures based oncost control and standards of cost control with target responsibility system of projectmanagement level by level， draw up cost-control tasks of important technicaldepartments. Finally，a perfect management process is formed with the method above.Based on the cost leadership strategy， state-owned enterprises can transformsuccessfully with the combination of leadership, function control and projectmanagement.