Research On Cost Management Improvement Of M Water Supply Company

Water is the source of life.For a long time,water shortage has been the main factors restricting the development of Chinese cities,in recent years,water pollution events occur frequently,causing people's constant doubts for the water supply industry,at the same time,as enterprises with characteristics of public utilities,water supply industry face the situation of price increases difficulty and the rising costs.Due to the particularity of water,most of the water supply enterprise in our country are state-owned property,and about 35% of those companies are on the financial status of loss-making,M water supply company is such a state-owned water supply enterprises.So,facing the current situation,water price in China is not decided by the companies,in order to improve the water supply enterprise financial performance,cost control has naturally become the focus of the water supply enterprise's daily management,and also become one of the key factors affecting the development of water supply enterprises.This article will revolve around the theme of M water company cost management of M water company.First,I will introduce the basic situation of M water supply company,such as present development situation,operation and financial condition,and put forward the problems in the cost management,such as: the weak cost management consciousness,the cost information can't meet the needs of comprehensive cost management,the weak cost management effect.Next,take comprehensive cost management thoughts as the guidance,from four aspects analysis M water supply company cost management problems' s deep level reasons,respectively from the longitudinal namely,goal setting and incentive constraint does not reach the designated position,horizontal single enterprise cost control system,cost management methods lag behind,and the fragile cost management environment.Finally,from the target cost management and incentive mechanism,part of the cost management expansion,and the improvement of cost management methods,I will put forward the suggestions.In order to ensure the efficient of cost management work of M water supply company,cost management environment of the internal and external,including technical environment,human resources environment,financial environment and external environment,should be optimized,so as to lay a solid foundation of the cost management improvement work.At the same time,I also want to say,suggestions are not only to the cost management improvement of M waters supply company,but also to such state-owned water supply enterprises.In order to promote the improvement of the water supply industry cost management work,those theoretical basis and practical guiding may help those companies reverse the loss stations in the early future,and improve the overall level of service.