M Cold Rolling Plant Diagnosis And Improve Cost Management

The prices of steel continued to fall in recent years, sales profit margins are getting lower and lower, face to this situation, more and more enterprises begin to reduce costs for expanding benefits by internal way. That is why, distinctive modern method of cost accounting attract all the attention, but also contributed to the continuous improvement and progress of modern management methods of cost accounting. In order to keep itself in the development of competition in the market tide, every business concern about these innovative cost management methods, combined with their own situation to study, develop their own cost management.In M-Cold Rolling Plant, most of cost management system comes from headquarters, is not suitable for cold rolling plant their own characteristics and needs, in the current situation of the cold rolling plant cost accounting, control and evaluation carried overview after the plant combined with existing information reporting, by analysis of conducting field research and data, after the diagnosis of the plant now cost management work is not smooth, under the market downturn,the defect of management gradually exposed, imprecise cost information increases the difficulty of cost control and cost assessment, and even cause failure assessment line benefits, the cost is also higher than the industry average. In response to these shortcomings, combined with its system requirements and begin the transmission of information investigate cases the underlying cause of these situations occur and circumstances, we found the cost of the plant is not conducive to scientific calculations less comprehensive, particular cost information, and on the entire value chain, have not control the costs on the key aspects, control of the hidden cost and budget is not made clear, assessment of incentives has loopholes, affecting the enthusiasm of staff, also provide cost information and business partial "disconnect" is an important reason for the plant cost management did not go well. On this basis, the author of these problems, combined with the introduction of new steel companies cost accounting regulations, proposed the solutions of the cost management which take the ABC Cost Method as the core, and the design of a pilot program at one of its plants in. He hoped that the cost management program will be more responsive to the development of the cold rolling plant, to make up for deficiencies of the current system, promote a new cost management system for enterprise to be formed.