Owner Company Management Study Based On The Freeway Cost Control

In recent years, China freeway construction has achieved remarkable results, no matter from the total traffic mileage or engineering quality is a significant improvement. Especially with the mountainous area freeway expansion, a series of various technical problems have been captured, China freeway construction step on a new step. But at the same time, some of the problems in the freeway project owner management appeared, project cost have been unable to control according to the engineering budget, and cost control problem is particularly severe in mountainous freeway project, not to cover for special geographical environment on the problems existing in the management of the owner. Therefore, from the angle of management, this paper will search cost out of control reasons to control the freeway project cost through owner's management means.Based on the engineering cost control for the core target, through analyzing the causes of the incontrollable project cost, it is shown that the main reason of freeway incontrollable project cost is Engineering Change (ECN) frequently. Complex bad ECN pretext for mountainous geography and geology environment caused the owner project cost greatly increased. In fact, the owner of internal personnel negligence, bribes lead that ECN is easier. For other items affected by external environment, such as bank loan interest rates hike, engineering materials prices, demolished increased costs, etc, owners didn't identify and management risk timely, resulting in project costs increased.In view of the above, this paper introduce balancing theory, that is establishment of three power departments in owner company management respectively with decision-making power, executive power and supervision of power, reasonably allocation of liabilities and rights and the establishment of internal balance of management system. In the freeway ECN management, three powers all participate in ECN according to their respective responsibilities to prevent bad ECN.Besides, aimed at the risk affecting on engineering cost, they analyze the responsibility of owner in the risk management and make the respond measures, so the owner can hold the initiative of project cost control.Connected YunWu freeway project owner cost control; it is showed that, using balancing theory, establishment internal management system and allocation of liabilities and rights can greatly reduce ECN.Additionally, the owner make comprehensive management measures for risks affecting project cost, so freeway project cost control can be in the reasonable scope.