The Improving Of FAW Tyyota Target Management

FAW Group is China's main force of the vehicle manufacturing industry,it played an irreplaceable role in the domestic automotive industry for 50 years.With rising domestic CPI index in recent years, the basis of material costs continued to rise, labor costs greatly enhanced, making the material from real estate to the people living in higher prices, However, only vehicles has been lower prices, all car groups fierce price war, from the current auto market to see price cuts of car prices inevitable survival and the overall market trend. Prices become an inevitable trend in the case, companies must strengthen cost control, to find the most suitable for the enterprise cost control mode, constantly decreasing cost is the enterprises to create profits, and even survived the first task.Looking for a consistent with automobile manufacturing industry characteristics, can be more effective cost control method has become a problem to be solved urgently. Beginning with the Toyota" original planning" concept of object cost management, is a product research and development stage begins, executed all can reduce the cost of method, to ensure the quality, reliability and other customer demand. It is the management tool of cost and quality into account, customer oriented cost, only reasonable apply target cost management, cost management strategies in order to create benefit, can make the enterprise in the fierce competition of long standing. Target cost management is proved through value engineering, design review, accounting methods to make up for the traditional cost control method control means. Enterprises can bring high quality, low cost and multiple function advantage, thus implementing help enterprises meet the upgrade of industry and challenge. How to apply this method in our country, especially the combination of characteristics of the enterprises targeted application, is also very worthy of study. This article through to analysis the actual situation of the FAW Toyota cost management, Proposed a target cost management model to improve its vision.