A Study Of Cost Control Based On Value-Chain Optimization

Since 20th century, the application of advanced manufacturing technology, such as Gentle manufacturing unit, Just in time manufacture and Computer integration manufacture system etc, has greatly promoted social production and improved manufacturing conditions. It has impelled enterprise to adopt modern production technology and management. Meanwhile, it strongly hit the traditional cost control that includes the analysis, administration and evaluation of cost amounts and forms, which occurs or might occurs in procedure based on cost data. As we see, the flaw of traditional cost control is very obvious, especially appearing in the neglect of value chain analysis and the conservation recognition to cost control. Therefore, it is essential to perform research on cost control based on value chain analysis and value chain optimization. And the study of enterprise cost control by means of value chain optimization is shown as two following parts:The first part is about basic theory research. First it analyzes and evaluates the current status of cost control research in domestic and abroad based on the value chain and value chain optimization, discusses the research background and research significance, and defines the research content and frame structure. After this, undertake analysis deep into the model of value chain and cost control, the characteristic and related connotation. Value chain theory includes traditional value chain theory, virtual value chain theory, value chain nets theory, and etc. Cost control theory consists of traditional cost control theory, modern cost control theory, activity-based cost control theory and value chain cost control theory.The second part is about the chief research content. The cost control procedure based on value chain optimization is well elaborated in the four aspects as value chain analysis, cost driver analysis, the formulation of value chain cost driver index system and controlling value chain cost formation processes. Then, the methods of optimizing value chain, virtual value chain, value nets, internal value chain are proposed, and also is the content of cost control. In addition, the article is charactered with case research.