Research Of Strategy-based Cost Control

Facing economic globalization in21stcentury, enterprise which how toestablish its own core competitive strength in complicated economic situation,company should establish a cost controlling system according to company’sstrategy. In order to make a positive foundation and help to fulfill company’starget and strategy. Company A establishes innovative value strategy. Tryingto provide most valuable products to its customer and decreasing cost ofproducts at the same time. Using target cost method in R&D and designstages to manage the cost and profit for new products. Using Just-In-Time,total quality management in production stage, using activity-based-cost forthe products which lies in introduction and growth periods in order to provideprecise cost information to management for decision making. Throughimplementation of the cost controlling system to set up competitive valuecurves for the company and got positive results increased2%profit for thecompany. This paper has not only an individual sense but has a commonsense for similar types of company only if expand and adjust the preconditionto some extent. The purpose is to establish a more common and conductiveguideline for strategy-based cost control through practice and reinforcement.