Research On Cost Management Of Ty Company Based On Value Chain

With the development of economic globalization,the internal and external environment of enterprises is becoming increasingly complex.As a pillar industry of the national economy,the oil industry is facing increasing costs and competition.In order to occupy a certain market share,the cost management of enterprises becomes more and more important.However,at present,most Chinese enterprises still use the traditional cost management method,that is,they only focus on the production cost of enterprises,which leads to the disadvantage of Chinese enterprises in the international competition.Therefore,Chinese enterprises must strengthen the research on the theory and practice of cost management.As an important part of the petroleum industry,petroleum technology service enterprises are affected by the fluctuation of oil price,and the competition is also fierce.Therefore,cost management should be attached great importance.Due to the limitations of the traditional cost management method,its management effect is not great.After the emergence of the value chain cost management method,it can optimize the enterprise value chain,promote the enterprise to achieve the optimal total cost and form the competitive advantage by implementing the full link cost management through the value chain analysis and cost driver analysis.This paper mainly studies the cost management of TY petroleum technology company,which is divided into five parts.The first part introduces the research background of value chain cost management,the purpose and significance of this paper and the research status of cost management and value chain at home and abroad.The second part firstly defines the content of the company's cost and cost management,and then leads out that the value chain cost management needs to be combined with the internal and external value chain,and puts forward the procedures of value chain cost management.The third part introduces the general situation,operation situation,cost composition and cost management of TY company,and finds that TY petroleum technology company adopts the traditional cost management mode,with high r&d cost,procurement cost,production cost and sales cost,and is at a disadvantage in the market competition.The fourth part looks at the cost management model of the company from the perspective of value chain and finds that the internal value chain has problems such as incomplete procurement cost accounting content,inappropriate productioncost accounting method,weak warehouse cost control,and inadequate budget management of research and development cost.The external value chain cost management of the company has improper cost management of suppliers and customers,which adds a lot of hidden costs to the company,and the lack of analysis of competitors,resulting in the company's inability to clearly define the market positioning and make correct cost management decisions.In the fifth part,based on the market environment and the current situation of the company's cost management,and aiming at the problems existing in the internal value chain of the enterprise,corresponding measures are proposed to strengthen the budget execution,optimize the procurement process with the JIT concept,optimize the warehouse cost and modify the accounting range of sales expenses.In view of the lack of external cost management of enterprises,we should maintain the relationship between suppliers and customers,implement hierarchical management,establish strategic cooperative relationship with them,and improve the external value chain of enterprises.Through the comparative analysis with the enterprise competitors,the weak links of the enterprise can be clearly defined,its own management can be optimized,and the strategic objectives of the enterprise can be achieved.