Research On Cost Management Of Changsha Broad Housing Industry Limited Liability Company

Changsha Broad Co., Ltd specializes in development of residentialproperty industrialization.With the target of industrialization being to lower cost and warrantquality, the overall cost leadership is therefore of the utmost importance tothis company.Cost management is not only about historical cost analysis, but alsoabout the enhancement of operating efficiency in the strategic prospective.Cost Management must not be limited to management of the currentoperational capability, it shall account for the competitive environmentwhere this company is operating.“Reasonableness” of cost is acomparative notion, calculated on the industrial average.The swift advancement of information technology facilitates the finecost management, which, in turn, entails advanced managementphilosophy as well professional competence.Firstly, this article aims to identifying the prominent management issues facing Changsha Broad co., Ltd, be they tactical cost management,corporate structure, key position turnover, statistics, information tools,budgeting, performance review, etc.Secondly, those underlying issues will be scrutinized for their effectson the company’s cost management. The causes of the issues will beanalyzed, including simplicity of capital structure, ignorance to the keystaff’s leave, ambiguous job description and designation, disproportionatesalary rise, misleading corporate motto, etc.In its practical level, this article gives detailed guides as to thequantitative analysis regarding the construction labor, real estatedevelopment and parts manufacturing. Moreover, this article formulatesthe cost management strategies specified to the construction labor and realestate development and parts manufacturing according to the variedcharacteristics.In the meantime, this article elaborates the quality cost managementtailored to the company, in order to improve the operating efficiency.At last, skipping from the notional cost management to the construction of cost management system, it is essential to resolve theunderlying issues---staff’s acceptance to cost management, the corporatestructuring and human resource allocation-staff collaboration to fulfill thetargets, perfection of cost management information system-analysis andpresentation of the outcome of cost management.