The Research On Cost Management Of Fu Jian Yong An Power Plant

With the further development of the socialist market economy in our country and a series of steps to speed up the implementation of reforms such as"seperation between the firm and the net, bidding on-line".Under this circumstance ,how to struggle to sustain and develop in the market competition is the very challenge the managers facing .It is obviously that the traditional extensive economy can not meet the needs of the time if the electricity generating corporations want to make more profits and get sustainable development. Lowing the cost of generating electricity and keeping operating at the lower cost if the most urgent problem that each corporation should resolve.In this article, we discuss the problem based on the modern cost theory and widely used the knowledge of economics , management and accounting. Through doing numerous researches and collecting the information, we discuss the importance and meaning of the cost management in the YongAn electricity corporation under the situation of bidding on-line ,the meaning of which lies in that when the price does not change ,lowing the cost means the income of more profit ,lowing the breakeven point ,the enlargement of the safety margin ,the strengthen of the firm's risk resisting and their competitive capacity, reduction of the capital occupation and decrease of the social consumption .Particularly ,we introduce the main theory of the cost management .Next ,based on the analysis of the main problem of the cost management system in the YongAn electricity corporation ,we bring forward a new pattern which combines the total budget management and destination cost management .In the end ,with the pattern of the combination of the total budget management and destination cost management ,we discuss many stages in the course of cost management such material ,purchase ,inventory ,production , repair ,operating and management according to the consistence of the cost the electricity generation.In this article ,aiming at the status in quo of the YongAn electricity corporation and under the background of the reform of the electricity system ,we bring forward a new management and control pattern with which the electricity corporation will low its costs in order to provide a way for the application of the lower cost strategy in the YongAn electricity corporation.