| Tianhe Company is a mechanism enterprise, which produces fire engines. The market of it is all through our country. Along with the increase of the sell mounts and scale of production, the highness of the cost restricts the development of the enterprise reduce the capability of competition.The paper uses the method of value chain finding out the problems in institution of cost control, the cost of production, the cost of manpower, the control of material cost and quality cost etc. The paper also makes out countermeasure using the advanced industry engineering for controlling the cost.The paper is divided into five parts. Firstly, the background, the basic idea, the aim and contents of the research are introduced. Secondly, the status quo and the problems of Tianhe Company are analyzed. And the next is the method of cost control based on the value chain is introduced. And the paper mainly focuses on the application of the method of cost control that based on the value chain into Tianhe Company. And through the process, we analyze the production area, material purchases, cost control, quality management and the establishment of the marketing network. And we put through the method of operational cost control, aiming to analyze the case more concisely and more practically.This research is in aiming to the increase of the cost control and the capacity of competition and realization of the persistence development of company. |