Telecommunications Company In Shaanxi Province Strategic Cost Management

With the development of global economy integration and reformation in telecommunication enterprises, China Telecom is compelled to embark into frontline market with competitive attitude. As the main body in market competition, all operating activities of telecommunication enterprises must follow the aim of creating competitive superiority. Thus, telecommunication enterprises must widen income channels and study with great profundity on cost issue at the same time so as to find out the cost management measure which can reduce running cost of the whole enterprise effectively. Strategic cost management is just right a way of cost management, which take combing cost management and competition strategy to reduce cost expenditure on every links of enterprise value chain, enhancing investment benefit and resource utilizing rate for main content, take reducing running cost of the whole enterprise and enhancing competitive position for purpose.By means of discussion about relative problems on using measures of strategic cost management to reduce running cost of the whole enterprise in Shaanxi Telecom Co., this thesis emphasize that the above mentioned telecommunication Co. should handle and solve issues from strategic altitude. Meanwhile, the enterprise should combine measures of strategic cost management and tactical cost management organically according to its own condition. By unceasing exploration and innovation, the enterprise establish system of strategic cost management suitable for enterprise's management reality, from which can improve the long-term competitive position of the company unceasingly.