The Application Of Strategic Cost Management Of A Coal Enterprise

A coal company is Coal Group Co Ltd is to integrate high-quality coal assets. In July 2009, the city initiated the establishment of the company. In recent years, along with the change of domestic and international economic situation and the coal enterprise system reform, the coal market competition has become more intense, for both A coal enterprise as an opportunity and a challenge for survival. The coal enterprise is to keep the top position in the market competition, and must pay attention to cost management. At present, A coal enterprises are using the traditional cost management pattern, however it is not effective in comprehensive cost control, therefore, through a combination of theory and practice, the establishment of a set of A coal enterprise strategic cost management methods has practical significance and value.In this paper, using ideas and methods of strategic cost management, collections of domestic and international strategic cost management theories and practice research, through field research and asking expert opinions, the cost management of coal enterprise A was studied. Using strategic cost management methods in the evaluation of four aspects to explore a suitable A coal enterprise strategic cost management system from the enterprise’s strategic positioning, value chain, cost and performance of A, has overcome the coal enterprises focus on cost control phase, the cost accounting methods of backward, motivation and cost into one single one-sided evaluation, thus to improve the A coal enterprise long-term development ability and cost management performance.First of all, this paper details the theory and the status of strategic cost management, expounds the present situation of domestic and foreign research of strategic cost management and comments on it, and introduces the basic contents of the strategic cost management. Then, it analyzes the present situation of cost management of A in coal enterprises, and the existing problems are discussed. Secondly, the four parts of the analysis and evaluation of construction of strategic cost management system A coal enterprises from the strategic positioning, value chain analysis, cost driver analysis, and performance. Also, analysis is provided of the strategic location of cost management in coal enterprises from A SWOT dimension and the dimension of competition, and according to this cost information develops strategies to eliminate cost disadvantages and makes cost advantages, determining the overall competitive strategy cost management of A coal enterprises. According to the theory of value chain, with the A coal enterprise, using external value chain as a guide, the implementation of value chain analysis, the structural cost and executive cost driver analysis, driving factors of cost were determined, to enable enterprises to further grasp the key of cost management, value chain, cost calculation of the enterprise cost management strategy and measures for development of these factors. Finally, through the performance evaluation and further enriching of contents of strategic cost management, the Balanced Scorecard performance of strategic cost management performance evaluation model of A coal enterprises provides evaluation.