The Optimization Research On Cost Control Of South Lake New Town Construction Project

With the entrance of new economic and the slowdown of fixed asset investment growth, the construction industry is under pressure from business and profit compression. Facing the new construction market situation, construction enterprises must strengthen their own project management capabilities, and therefore catch developing opportunities. Cost control is the core of management. Project cost control has a direct impact on economic benefits of the project, and therefore has impact on enterprise competitiveness. However, construction projects in our country generally have problems of high costs and low overall profit rates, and the cost control effects are not perfect. As a result, it is a matter of the utmost urgency to introduce scientific cost control method and improve the level of project cost control.A Project in Bureau 1 of CSCEC is the study case of this paper. This paper firstly carries on the literature review on the cost control theory and practice, and then on the basis of the cybernetics, system theory and construction project cost control method to carry out the case analysis. In case analysis section, this paper firstly introduces the Bureau 1 of CSCEC and South Lake New Town project, then describes the present cost control situation from the aspects of components of cost, influence factor, cost control organization system and process, analyzes the effect of the cost control of the South Lake New Town project, and then find out some problems exist in South Lake New Town project in the cost planning, cost control methods and the key factors of cost control. Lastly, for the problems which exist in South Lake New Town project, this paper put forward the following suggestions:working out the cost plans in detailed and explicit cost planning responsibilities; improving cost process control method, citing Earned Value to control the project schedule and cost, analyzing the reason of deviations and correcting the deviations; optimizing control system of direct materials, direct labor, subcontracting engineering cost.