Construction Enterprises’ Project Cost Control Problems And Optimization

Since the reform and opening up,the construction industry,as a pillar industry in China,has occupied an important position in the composition of China’s national economy.However,with the continuous growth of material cost and labor cost,the operating profit margin of construction enterprises is being squeezed continuously,and the competition mode of enterprises is at the critical stage of changing from labor-intensive and capital-intensive to technology-intensive mode gradually.Under the increasingly severe high-cost operating environment,it is of great practical significance for construction enterprises to optimize the cost control ability and resource allocation level in the project construction process.Based on the construction project of underground integrated pipeline corridor and supporting infrastructure in Yinchuan City of ZYJG Group Co.,Ltd,this paper combines qualitative and quantitative methods to analyze the current situation of cost management of project construction,analyze the problems and reasons behind them,and propose the optimization plan of project cost control by PDCA dynamic cycle method.In the construction process of Project A,there are problems such as imperfect communication mechanism with construction workers,unreasonable assessment of the strength of subcontractors,insufficient supervision of internal personnel and unreasonable project design plan,etc.In the material cost control,there are challenges such as rising material prices,insufficient supervision of the procurement process and unscientific management methods,etc.At the equipment level,there are challenges such as rising equipment rental prices and In terms of management costs,project managers lack scientific management awareness and perfect financial management system and mechanism for construction projects.Based on this,this paper combined with PDCA dynamic cycle method,and on the basis of clear cost control objectives,proposed a solution for cost control of the company’s projects from four aspects,including making detailed and reasonable cost management plan(P),carrying out project works in an orderly manner and effectively promoting the implementation plan(D),regularly checking the actual status of project implementation(C)and timely correction of cost deviation and analysis and summary(A),in order to improve the efficiency of the company’s resource allocation.This study also helps to deepen the theoretical knowledge of construction project cost management.By analyzing the various cost management aspects of construction projects and combining qualitative and quantitative methods to explore the problems in cost control of construction projects,and proposing targeted solutions to promote the efficient and cost-effective completion of construction projects,this study helps to deepen the understanding of how to optimize cost management and improve resource allocation in construction projects.This study also provides some practical insights and experience for construction enterprises to carry out construction project cost management activities,and provides a reference for construction enterprises to achieve the goal of improving efficiency,increasing revenue and ensuring development.