Research On Cost Control Of S7 Project Of SW Company Based On Earned Value Method

The rapid development of the global smart phone and the fast growing demand for the smart phone peripheral products have promoted the rapid development of the mobile phone accessories industry.As a professional manufacturer of mobile phone protection case,SW company,which was established in Singapore in 1998,ushers in new opportunities.However,due to the changes in the external competitive environment and excessively traditional internal cost control,the expected profit of S7 project fell from 35%to actual 19.85%,The total CPI less than metrical 1 start from Jul,2017 toMarch,2018.and,serious cost overruns caused the failure in achieving the expected profit goals,brought threat to the company's sustainable development.According to the investigation and analysis,there are four main reasons for the cost overrun of S7 project of SW company:Non sense of full scope to cost control,disordered workshop management,lack of the material monitor control,new process adding the cost control and imperfect management system of the cost control.Combining with the deviation analysis,this article uses earned value method,analyses the SW company's situation thoroughly,sums up the cost structure of S7 project,as well as the cost and progress situation at present,offers practical advises on how to solve the problem of cost overruns and cost control,including making comprehensive project dynamic cost control,enhance of the system construction to cost control,improve to product material monitoring,and focusing on construction of cost control support management system.Only make full use of its advantages and external opportunities,implement cost control actively,can SW company get differentiated competitive advantages,promote steady growth of sales and increase the project profits.This paper comprehensively does the research on the cost control of s7 project,puts cost control theory into practice,provides a practical basis for optimization and adjustment of cost control of SW company,enhances the consciousness of cost control of the company,has an important guiding significance on the implement of the sustainable development strategy;Meanwhile,this study has important implications on the development of other similar Manufacturing enterprises.