The Study Of Strategic Cost Management For GWDC Drilling Companies

With China entering into the WTO, and further reformation of Chinese petroleum industry, as the accessorial operation of oil industry, GWDC drilling companies are faced with austere stations in international drilling market. Thus, introducing Strategic Cost Management (SCM) Theory into the company, and implementing cost management innovation has become an effective approach to enhancing international competitiveness of internal drilling companies.The paper is composed of six chapters. Chapter one is the forward. Chapter two expounds the necessity of applying SCM Theory into GWDC drilling companies by cognizing and analyzing limitations of traditional cost management. On the base of discussing SCM Theory, chapter three depicts the applications of SCM Theory in foreign major oil companies and its illuminations. According to the theory above, chapter four gives the application of the major SCM instruments in the international operations of GWDC drilling companies. Considering operating specialties of GWDC drilling companies, chapter five puts forward relative tactics for GWDC drilling companies in the process of international operations in detail. Chapter six is the conclusion.In short, based on the analysis of background for international operations of GWDC drilling companies, the paper introduces SCM Theory of Shank into their international operations and implements qualitative and quantitative analysis so as to offer a new advanced model to perfect the management system of the cost, and add the international competitiveness of GWDC drilling companies.