Research On Cost Control Improvement Of T Company With Target Costing

Under the background China’s vigorously promoting the ‘dual cycle’ and ‘dual carbon’ strategy,on the one hand,for small and medium-sized traditional manufacturing enterprises with high energy consumption and high investment,the energy supply is limited and the production emission quality requirements are gradually improved.To a certain extent,the cost input of small and medium-sized manufacturing enterprises will be increased.Especially for enterprises engaged in the smelting industry,the characteristics of homogeneity and simplification of their products make enterprises must rely on the cost leadership strategy to obtain market competitiveness.On the other hand,as a basic material for economic development,industrial silicon is also a vital basic material for the country to vigorously develop new energy materials,constantly showing new market vitality.Therefore,in order to help such small and medium-sized manufacturing enterprises play a better role in cost control,this paper combines the characteristics of the enterprise’s own production and the characteristics of the silicon product market to introduce the target costing method for silicon manufacturing enterprises to carry out cost control to help them cope with market changes.challenge.This paper selects T Silicon Industry Co.,Ltd.as the research object.First,through literature reading method,investigation research method and case study method,it sorts out domestic and foreign cost control theories,and introduces the meaning,characteristics and methods of target cost management.Secondly,analyze the development status and market characteristics of the silicon industry where T company is located,combined with T company’s own cost control system,find a series of problems in cost control of T company,including the lack of market orientation of the cost control system and the departments involved in cost control Insufficient linkage;insufficient cost control in procurement,production and sales;poor implementation of the reimbursement system,resulting in abuse of business entertainment expenses;unclear division of evaluation responsibilities,etc.,and analyze the above problems.Thirdly,on the basis of the existing problems of T Company,it is pointed out that it is necessary to use the target cost method to solve the environmental threats facing T Company inside and outside the organization,and based on the theory of target cost management and the actual operating conditions of T Company,it is demonstrated to demonstrate the degree of compatibility with the target cost method,and then build a target cost management system.Finally,in order to ensure that the target costing method can be effectively implemented in T company,several safeguard measures of the target costing method are proposed,including optimizing the organization,improving the basic work and strengthening the information management.With the help of the modern target cost management method,T’s future profitability is no longer subject to changes in the external environment,but can be combined with changes in the external environment to establish its own cost competitiveness.This can not only help T Company continue to operate stably,but also provide reference value for small and medium-sized smelting and manufacturing enterprises or similar small and medium-sized enterprises to study cost control.