Research On Strategic Cost Management Of SHUANGHUI DEVELOPMENT Based On The Perspective Of Value Chain

At present,my country’s slaughter industry and meat processing industry are in a critical period of achieving historic leap,the Black Swan event of the COVID-19 Disease brings both opportunity and challenge.Under the trend of increasingly integrated and large-scale development of the industry,the traditional cost management model has been difficult to meet the business development needs of modern slaughter and meat processing industries,modern slaughter industry and meat processing industry requirements are based on the company’s own business model,then start from the corporate strategy,control costs based on the overall layout of the enterprise and the industry as a whole.Therefore,in this case,enterprises take the initiative to manage costs from a strategic perspective and control the cost information of each key link in order to achieve the development goals of effective resource allocation and comprehensive enhancement of core competitiveness.This paper takes the SHUANGHUI DEVELOPMENT,a leading enterprise in the slaughter industry and meat processing industry,as the research object.It uses the development model of its entire industry chain as the breakthrough point,draws on the strategic cost management Shank model proposed by Shank,and analyzes its strategic cost based on the value chain management.This article first uses the PEST and SWOT analysis methods to comb the competitive environment and situation respectively.Secondly,based on the aforementioned environment combing,from the perspective of cost drivers,the factors affecting strategic cost management are studied in two categories:structural cost drivers and executive cost drivers.Then through the introduction of the previous case,the basic competitive strategy of the enterprise can be obtained.Then it analyzes the company’s cost management and the special performance of competitors’ value chains,based on the internal value chain and industry value chain.Again,it evaluates from the two perspectives of operating effectiveness and financial performance.Finally,it summarizes the cost management of the element input of the enterprise in important links of the value chain,and draws a conclusion that its strategic cost management based on the Perspective of Value Chain has a certain effect.The purpose of this paper is to summarize some experiences of strategic cost management from the perspective of value chain for enterprises to learn from.