The Research On Cost Control For Engineering Project In Shang Hai BY Group

Due to the prosperity of economy and the acceleration of urbanization, the number of real estate projects has increased rapidly for the past few decades, which provides a unique opportunity for the development of the large domestic construction enterprises. However, given the increasing participation of the international construction companies in the domestic market, as an industry with a relatively low entry barrier and technical requirements, the domestic construction enterprises must pay extra attention to the following two aspects in order to excel in the fierce competition. On the one hand, the enterprise must improve the technology and management, which grants the opportunity of overall development. On the other hand, the enterprises must minimize the fundamental cost and unnecessary resource usages in order to raise the profits, while maintain the high quality and security level. Given the undoubted importance of cost control in the global competition of construction enterprises, a scientific, complete system of cost control is urgent to be established.The following paper is arranged into five main parts. The first part is the introduction, which gives a detailed description of the background, significance and methods of this study. The emphasis of this part is put on the economic and marketing environment that the domestic middle-large construction enterprises encounter. The previous studies from both domestic and international researchers are summarized. The second part gives the fundamental theories of the cost control, which interprets the organization and categorization of the cost control in construction projects. This part serves as the theoretical basis for the study of cost control in BY Corp. Ltd in the third part. The third part describes the current situation of the cost control in BY, emphasizing on the existing problems and the causes of these problems in the process of the cost control. The practical operation is discussed and the Earned Value method is introduced as an innovative technology in the cost control. Based on the third part, the fourth part takes an example, the four-seasons new-town project in MinQuan city, to demonstrate the project optimization and cost minimization that the EV method can provide in the practical domestic construction projects. The last part compares the situation before and after the EV method is applied in project cost control in BY group in details, thus clearly demonstrates the function.At present, a considerable number of the domestic construction enterprises suffer from the consequences of the traditional extensive operation, which only focuses on the temporary profits and refuses to improve the management level for future sake. Based on the current status of the project cost management of Shanghai BY Corporation, this article employs the relevant principles of cost control to study the advanced cost control management, from the perspective of the project. The research shows the advantage of advanced cost management on the sijixincheng project of MQ city.