The Research On Pricing And Costing Improved Each Other In Industrial Manufactor SG

Costing method has been innovated and developed greatly both in theory and practice field. Traditional costing requires accurate, and can disclose financial statements reasonable. Standard costing and ABC is the milestone of cost controlling. In China, there have a lot finance function still focus on accounting. Although many companies had build management department, and work out many management reports, the operators still can not understand the report. Thus, there are many training course is designed for these non-financial managers to read financial statements. It mainly caused by we finance did not connect the finance information with business operation properly.Pricing is very important for all business, and finance must be involved in pricing. Firstly, this thesis clarify the costing and pricing methods and analyze the relationship between cost and price; and then, this thesis study how costing and price improve each other inside the manufactory SG. Analyze SG present costing method and the shortage on cost control. SG reformed the costing trough redefine products, adjust cost structure etc. Finally, SG developed a new costing system that can support pricing effectively. This thesis found the solution on how finance play a role when pricing and how transfer finance information to performance index. And it can benefit cost controlling and increase SG operating profit.