Research On Cost Management Of HS Real Estate Company Based On Target Cost Method

The level of cost control directly determines the cost of the project construction process,and further affects the profitability of the enterprise.China's commercial real estate industry still has some shortcomings,such as short development time,imperfect system and mechanism,and extensive management.Especially in cost control,there are no good cases of successful practice.Therefore,it is an urgent work to study and analyze the modern cost control methods of commercial real estate,combine with the actual situation of our country,and study the cost control methods of this industry according to the development of our real estate industry,reverse the original extensive cost control methods,and drive the cost control to the direction of refinement.This paper takes the cost control of HS real estate company as the research object,and probes into the problems existing in its current cost control and the measures to solve them.Firstly,the paper summarizes the research background and significance,the research status at home and abroad,and the related concepts and theories involved in the research process;then,through the research of HS Company,it summarizes the existing problems of cost control,which are mainly reflected in the following aspects: inaccurate target cost estimation,insufficient attention to target cost by all departments of the company,and neglecting the prior cost control,lack of target cost dynamic control.Then,in view of the existing problems of cost control in HS real estate company,this paper constructs corresponding cost control countermeasures based on the target cost method,which mainly includes four aspects: the prediction and determination of target cost,the decomposition of target cost,the implementation of target cost,the treatment of cost deviation and assessment.Finally,the cost control system is applied to m project,and the application method and specific operation of the system are explained in detail.Based on the theory of target cost method,this paper constructs the corresponding cost control system for HS real estate company,which is conducive to the continuous improvement of the cost control system of enterprises,and can provide useful reference for other real estate enterprises to use target cost control method,which has important practical significance.