The Whole Process Cost Management For Project Of Municipal Construction Enterprises

With the development and standardization of the construction market, more and more enterprises pay attention to the idea of project management. And Cost management, a part of Project management, is of the highest priority in Project management, since directly related to the economic benefit of enterprises. In the Municipal Industry which has been relatively closed before, with the introduction of open market and competition, the margin for construction enterprises is getting smaller and smaller. The traditional Cost management couldn’t meet the requirements by construction enterprises any longer. Especially with the introduction of bidding system and the rules of bill of quantities, the competition among construction enterprises becomes fiercer. So that cost reduction has become one of the main approaches to competitive power enhancement for most enterprises. Therefore, in order to be more adapted to the market, enlarge the business volume as well as improve the economic performance for business enterprise, it is of vital importance to do a good job in project cost management.At first, the paper expounds the purpose and significance of Cost management research for municipal project construction. Get known of the main cost impact factors as well as the common problems in cost management by analyzing of the current cost management situation for construction enterprises in the Municipal Industry. And establish a set of Cost management system, which is mainly on the process management and supplemented by enterprise management. Based on principals of whole Process Cost Management, Overall Staff management, Target Management and responsibility cost management, with the methods of target costing, Responsibility cost and Deviation analysis, Etc., do targeted cost management in various stages for the engineering project construction. Then form a complete cycle of cost assessment, including review before tender, cost forecasting, cost planning, cost control, cost accounting and cost assessment, so that project cost management and control is improved on multiple aspects of organizations, resources and technologies. The target of the implementation of the whole process cost management is to reverse the current unscientific and nonstandard situation of project cost management by municipal project construction enterprises, so that to enhance the cost management, reduce the project cost as well as enhance the competitive power for construction enterprises.This thesis consists of four parts as below,1. From the point of existing situation analysis for municipal project industry, talk about the reach objective of whole project process cost management for construction enterprises, as well as the heavy significance on improving the management level of construction enterprises.2. Overview the related studies on project management and cost management; analysis the cost impact factors to municipal projects, the existing situation as well as existing problems in project cost management by municipal project construction enterprises; then specify the main ideas and methods on cost management by construction enterprises.3. Apply the theories and methods of cost management to the overall process of the project cost formation in municipal project construction enterprises. Make the corporate cost management system perfect from the aspects of cost planning and resource configuration in pre-construction stage, cost control in construction stage as well as cost accounting and performance assessment in project closeout stage. So that draw a conclusion of a set of feasible methodology.4. The method of overall cost management is trial implemented in example cases, and then draw the conclusion of the dissertation.