Application Research Of Cost Utility Control Theory In Project Cost Management

Material resource factors as input in economic progresses with the same production are shown to be decreasing and reducing in input aggregation and proportion. The utility of traditional cost control method with saving and non-wasting as the starting point is falling short of the trend. Under the new economic situation, it requires us to explore new cost control theory based on the high gradation and utility differention in the formation of cost.Flexible Manufacturing System (FMS) and Manufacturing Information System (MIS), which originated in the industrial processes, are gaining favor currently. They will be the feature of economic process not only currently but also in the future.Herein appear the high gradation cost trend and the inconsistency brought by the cost utility differention.Modern cost utility control theory had experienced an evolutionary process from the lower to higher stages. No stage in the process had not been imprinted by the high gradation cost incurred by the economic environment.Based on an analysis of the features of modern cost utility, the thesis gives a mathematic description of cost utility appraisal model, which acts the bridge between modern cost utility control theory and its application. A cost MIS of modern control is proposed. A new cost control method through positive research is designed as for project cost control.