Research On The Application Of Lean Cost Management In Hunan YF Cement Co.,Ltd.

As an important basic industry indispensable for national economic construction and social development,cement industry has suffered from serious overcapacity in recent years,with increasingly fierce product market competition and sharply reduced profit space.Under the strict restrictions of supply-side reform and environmental protection policies,the overall benefit level of the cement industry has rebounded since 2017,but the long-term extensive production and management method still makes most enterprises face the survival crisis.At present,cement industry is entering a critical period of transformation and upgrading.How to improve the internal cost management ability of enterprises,maximize the cost potential while ensuring product quality,and enhance the profitability,has become a real problem that every cement enterprise urgently needs to solve.This paper studies the application of lean cost management through the analysis of lean cost management theory and the problems existing in the cost management of Hunan YF Cement Co.,Ltd.Firstly,this paper discusses the influence of lean management theory,value chain management theory,operation management theory and strategic management theory on the lean cost management theory,and introduces the content and implementation tools of lean cost management.Secondly,this paper discusses the cost management status of YF Cement Co.,Ltd.and did the problem analysis on this topic as well.The result showed,due to the blurred goal,outdated perception,and the lack of cost management content,the company has inefficient knowledge of the cost for value chain nodes like design,purchasing,production and logistics,and lack of cost control over these links.There is a lot of waste in each link.At the same time,the production cost of the company is high due to the lack of effective management of the production site and the long equipment downtime.Then,this paper applies lean cost management to YF Cement Co.,Ltd.,and designs the overall train of the cost management from the cost management organization structure,enterprise value chain,cost target and cost responsibility.And we also explained the detailed measures based on the value chain nodes: design,purchasing,production logistics and service.Finally,this paper discusses the safeguards for implementing lean cost management and provides the basis for the effective implementation of lean cost management in YF Cement Co.,Ltd.Based on the actual situation of YF Cement Co.,Ltd.,this paper integrates the theory and practice of lean cost management into various value activities of the company,with a view to put forward targeted improvement plans and improve the company's cost management level.This paper will also provide reference for other small and medium-sized cement enterprises to apply lean cost management.