Research Of Cost Control Improvement Scheme Of ZC Electric Machinery Corporation

As an important pillar of the national economy,electromechanical industry plays a key role in connecting machinery with electronic power.In recent years,with the introduction of relevant national industrial policies and industry development plans,China’s rail transit market has ushered in a good development opportunity and gradually expanded its business to overseas markets.However,with the rapid development of industry,there is fierce competition.China’s railway equipment manufacturing industry is facing the pressure of high market saturation,increasingly strict environmental protection requirements and transformation and upgrading of enterprises.Effective cost control has become a favorable means for enterprises to obtain core competitiveness.At present,most enterprises tend to control the cost of production links and adopt lean production to reduce costs.However,this single cost control method has not achieved the expected results,even to a certain extent,overcorrected and hindered the normal operation of enterprises.Based on the in-depth investigation of ZC Electric Machinery Corporation,this paper introduces the cost control mode of value chain covering the whole production and operation,analyzes and puts forward the corresponding improvement scheme according to the current cost control situation of ZC Electric Machinery Corporation.Firstly,this paper analyzes the current situation of cost management and control of ZC Electric Machinery Corporation,and reveals and summarizes the problems and shortcomings in its cost management.Secondly,the internal and external value chains of the company are identified and confirmed respectively,the cost control mode of the value chain is constructed,and its cost drivers are analyzed.Then,the cost-value coefficient is used to find out the cost controllable point of ZC Electric Machinery Corporation,and the activity-based costing method is used to optimize the accounting process,and practical improvement measures are put forward in order to break through the limitations of the original traditional cost control methods Finally,establish a guarantee mechanism for ZC Electric Machinery Corporation’s value chain cost control scheme,and steadily improve the comprehensive strength of the company.The value chain cost control method is an innovation of management concept,which not only includes the cost caused by activity consuming resources,but also includes the cost of relationship management among enterprises in the value chain.In this paper,ZC Electric Machinery Corporation is placed on the whole value chain as an open subject,which can not only reflect the actual costs incurred in the company’s production and operation activities more comprehensively,but also clarify the cost and value ratio of the company’s basic activities,support activities and single value-added activities,so as to find out non-value-added operations,help the company optimize the rational allocation of resources and improve the cost control process in a targeted manner;It is also possible to identify the company’s market position,improve the benchmarking management and adjust the strategic objectives in a timely manner through the horizontal comparison of competitors’ value chains.With the help of value chain theory,this paper puts forward the cost control improvement scheme for ZC Electric Machinery Corporation,which is an attempt to help the company to innovate and perfect itself,hoping to provide some reference for large and medium-sized manufacturing enterprises to design the cost control improvement scheme.