Research On Cost Management Of XX Rubber Company Ltd.

Cost management is an important subject of accounting and one of the most complex areas of accounting.It has a long history for cost management,the traditional cost management is earlier than the strategic cost management.The Strategic cost management can cope with the problem of cost management from the perspective of long term,overall situation and wide range,it is the target for enterprises to improve the sustainable competitive advantages,so it is scientific and comprehensive cost management.With the rapid development of the economy,the competition among enterprises in the tire industry is increasingly fierce,the cost management carried out by XX rubber company Ltd.has been unable to meet the needs of market competition,and the lack of cost management has hindered the company's continuous and good development.Status of the enterprise is limited by the fluctuation of cost of raw material,as well as the insufficiency of technology and management,which leads to the situation that it has less product pricing power in the industry,and the development of the enterprise has reached a bottleneck.To solve the problem of cost management in the enterprise,it is important for the enterprise to implement the strategic cost management.Because the traditional cost management focus the problem on the process of manufacture,cost control has more limitations.For enterprises,r&d design,marketing and the coordination of external value chain are all the scope of cost control,only strategic cost management can effectively expand the scope of management.The traditional cost management to provide accounting information is not accurate enough to follow up scientific cost driver,so it is difficult to deeply solve the cost control problems.Modern cost management tools that break through the bottleneck of traditional cost management can be effectively applied to strategic cost management.Moreover,strategic cost management is based on traditional cost management,which does not negate the effective part of traditional cost management.Therefore,only the implementation of strategic cost management has become true can the enterprise improve the competitive advantage and break through the bottleneck,also change adverse situation.In this paper,XX rubber company Ltd.is selected as the object of study.The paper is divided into six parts.Firstly,the research background is given,the research theory achievements of strategic cost management among literature from abroad anddomestic are summarized and the main point of summary analysis is chosen.And then the strategic cost management theory analyzed in detail which provides the theoretical support for the research of strategic cost management.Thirdly,this paper analyzes the status of development and strategic cost management in XX company from both the enterprise background and industry conditions.Fourthly,according to the model of strategic cost management this paper analyzes the problems and shortage of strategic cost management in this enterprise.The financial comparative analysis method is applied to find the gap between companies,and realize the combination of the investigation of the enterprise,the main problems of cost management in this enterprise is analyzed in detail.Then,strategic cost management tools and methods are used to put forward the solution,from the improvement of the internal value chain,horizontal value chain and vertical value chain,methods of activity-based costing management are applied to solve the problems of the enterprise in strategic cost management.This paper also puts forward the evaluation system of futures preservation and strategic performance,and further improves the system of strategic cost management.Finally,the paper summarizes the research results and puts forward the shortcomings,and proposes the prospects for the future.This paper has 10 figures,34 tables and 89 references.