Theory And Case Study On Cost Management Of Construction Projects

Since 1978, the construction industry has developed in china. Production value of the construction industry had exceeded four tril by 2006. the construction industry has been one important part in subject economy. Because the construction corporation is tightly to be bad, it is going to pot. We should pay attention to cost management of the construction projects to change the situation. Strengthening cost management is very important, which can economize society resource and ascertain comparative superiority of corporations to let corporations quickly develop. So the article takes cost management of the construction projects as study object.The article includes: Firstly, it analyzes the organizing structure of current construction projects basing on the general situation in the construction industry. It points out the brand-new structure used in projects, which consists of contracting, sub-contracting, construction team, and designated contracting by construction units; it also has a detailed description on the factors that will affect the cost of a project, such as construction technology, management team and exterior environment, and establishes testing model of the effect of cost control, so that the level of cost management can be evaluated by using a questionnaire. Secondly, And based on the evaluation of the cost management, problems are pointed out with regard to management mechanism, management team, risk control, process control and other aspects; and cost management tactics are provided, such as clarifying the responsibilities of superior companies, completing the system construction and tightening the process control. At the end, the article compiles cases of construction projects in accordance with the current situation, and discovers problems in cost management in the project based on theoretical knowledge to come up with measures on intensifying the cost management of projects.