The Application Of Standard Cost Method In The Production Cost Control Of AT Company

AT is a wholly foreign owned enterprise established in China,and AT company is also the second wholly foreign-owned enterprise set up by M group in China.It is the leading high-end printed circuit board manufacturer in the industry.The products are widely used in the fields of mobile communication equipment,computer,automobile,aviation,medical machinery equipment,industrial electronic products and so on.The products are sold to the sea and outside.Since the establishment of the factory in 2011,two production lines have been put into production.The investment of AT company has reached 1 billion 800 million yuan,with more than 2000 employees,and the annual sales growth rate is about 16%.At the same time,because of the price pressure of mobile equipment,cars and so on,and the production line just put into production in the early stage of production,the short term capacity is insufficient,and the gross profit rate of the industry is lower than that of the same industry and other subsidiaries within the group.This paper uses literature research and case analysis to study the selected topics.First of all,this paper sorts out the research status of production cost control and standard cost method application at home and abroad,and clarified the research direction of this paper.The theory related to production cost control is expounded,which provides theoretical support for later.Then,the basic situation of AT company is described and the production cost control of SH company under the same control of AT company and M group is compared.The production process is the basis of the analysis,the status of production cost control is the research object,and the production cost data of AT company from 2015 to 2017 is combined with the field practice survey of AT company for half a year.To find out the problems in the production cost control of AT company: the construction of the cost control system is not perfect,and the cost of direct material,the cost of manufacturing,the cost of the loss of the waste are high in different levels,and the comprehensive quality of the staff is low.Through field investigation and interview,it is concluded that the reasons for the above problems lie in the imperfect production cost control system,low production capacity,low utilization rate of equipment,low yield of products,and lackof a perfect staff training system for AT companies.In order to solve the above problems,through the analysis of the feasibility and necessity of adopting standard cost method in AT company,we combine the PDCA cycle theory with the standard cost method,construct the standard cost control system,perfect the construction of the production cost control system of the AT company,put forward the measures to reduce the cost of the material,and raise the fixed assets.Measures such as utilization ratio,cost reduction of waste products and cultivation of comprehensive quality of production personnel.To help AT company to solve the problem of production cost control in a comprehensive way,to promote AT company to improve production efficiency and profit level,and to enter a good and sustainable production cycle.