Researches In Cost Management Concepts Of Modern Enterprise

To be compatible the market-oriented economic structural reformation, academic and practical circles in our country have been making unremitting efforts in the field of cost management. Meanwhile, those who study Management Science in Europe, America and Japan have put forward a lot of new concepts in cost management. These concepts are scattered throughout in a variety of publications, and no one have ever collected, analyzed and synthesized them. This backwardness in theory inevitably leads to the unfavorable position in practice. Therefore, we must study and explore those cost management concepts that Chinese enterprise should build, and apply them comprehensively in appropriate enterprises. These topics are so urgent that we must consider during the course of developing export-oriented economy and modernizing enterprises. In this paper, we divide the cost management concepts in 2 levels and 12 categories by utilizing the research methods of collecting, sorting, analyzing and synthesizing. The most important contributions lie in three fields. First, we prove that the changes of cost management concepts in Chinese enterprises are not motivated by man ade requirement but by the environmental variations. Second, on the basis of plentiful relevant materials, we classify all cost management concepts in fundamental level and technical one. We also point out that fundamental level should be established by all enterprises, while technical concept can be chosen to set up according to its own conditions. Finally, combined with Chinese reality, we explore the application of these concepts and conclude that they are effective in the direction of practical activities in Cost Management.