Research On Strategic Cost Management Of D Rubber Products Company Based On Value Chain

Cost management in any enterprise can’t be ignored,the current increasingly fierce competition environment makes the traditional cost management has been impacted,for the cause of improve the adaptability of market environment,strategic cost management came into being.Be different from traditional cost management,the typical difference of strategic cost management is that the strategic objectives of enterprises are taken as the guidance and basis of cost management.,which breaks the limitation of traditional cost management.The combination of value chain and strategic cost management makes cost management more scientific and reasonable.With the development of economic environment,the competition between enterprises will be gradually extended to the entire value chain.including not only the internal competition,but also the upstream and downstream enterprises and competitors in the same industry.The competition among enterprises no longer only includes the price,cost,quality and other aspects of products or services,but more about the competition for competitive advantages of enterprises.Therefore,enterprises should not blindly reduce costs,but should stand in the overall value of the perspective of cost management.Value chain strategic cost management combines value chain with strategic cost management,analyzes the internal and external value chain of enterprises,coordinates enterprise resources,makes enterprises more scientific and reasonable cost management,realizes the purpose of increasing efficiency while reducing cost,and effectively improves the competitiveness of enterprises.Starting with theoretical research,this paper synthetically uses two methods of literature research and case study.and selects D rubber product enterprise as the case for study.First of all,this paper summarizes the relevant literature on value chain and strategic cost management at home and abroad,from the perspective of theory and practice,this paper explores the application of strategic cost management in value chain,and provides theoretical basis for the research on strategic cost management based on value chain.On this basis,D rubber products company based on the value chain of strategic cost management application case study.This paper considers the company’s operation in an all-round way,finds out theproblems existing in the company’s current cost management,and then discusses the practice of the company’s value chain strategic cost management system from the perspective of necessity and feasibility.Aiming at D Rubber Products Company,the corresponding strategic cost management system is designed based on the value chain from the perspective of enterprise itself,industry and competitors,and further improvement measures and guarantee scheme is given,according to the characteristics of the D rubber products company to build a strategic cost management based on value chain system: Analyze all phases in the internal value chain of the company,improve research and development,reduce procurement cost,optimize production mode,strengthen after-sales service,manage development,procurement,production and sales,and raise the value output of the whole value chain;In the industry value chain,close links between upstream and downstream enterprises in the value chain to improve the quality of relationship management from both suppliers and customers,strengthen strategic cooperation with upstream suppliers,and optimize the downstream customer value chain;At the same time face up to the competitors,improve the competitiveness of enterprises,maximize the enterprise value.Therefore,enterprises can formulate scientific and reasonable measures to reduce the cost of each link,so as to expand economic benefits,and enhance their market competitiveness.