Research On The Application Of Strategic Cost Management In Chinese Ocean Shipping Enterprises

As an advanced cost management method, strategic cost management attracts more and more attentions and favors from foreign and domestic enterprises in the light of its applicability in the throat-cut competition. At present, the traditional cost management system of Chinese ocean shipping enterprises, which are placed in the fierce market competition, can not meet the increasing demand of the strategic information of cost management. Therefore, this paper discusses the possibility of the applications of strategic cost management in our shipping business and its relevant specific measures, which induces the main content of this paper. The main aim of the paper is to establish the strategic cost management system for the Chinese ocean shipping companies so as to improve the competitiveness of these companies in the international shipping market with a stable competitive edge.The paper is presented on the focus of the applications of strategic cost management in Chinese ocean shipping enterprises. The research is done on the basis of "Shank Model" which is generally accepted by most of the academic field with some basic research tools, i.e. value chain analysis, strategic positioning analysis and cost driver analysis. The measures are made aimed at the major problems in the current cost management of shipping enterprise management, taking use of the corresponding conclusions of the paper. The assessment of strategic cost management as an important part of the whole system should be established in our ocean shipping business, in order to support the effective implementation of the system. The paper is divided into four parts.As the beginning of the paper, the first part summarizes the concept of strategic cost management and its outline, and compares it with traditional cost management highlighting the advantages of it, which lays the theoretical foundation for the following research. Strategic cost management enjoys its advantages of outward-oriented, competitive, diverse, comprehensive, dynamic features, from which is worth learning for our shipping enterprises presented in the next part. Part Two analyzes the main problems of cost management in the shipping enterprises, such as the lack of cost management in supply chain and...