Based On Value Chain Theory Research Project Cost Management Of Construction Enterprises

In recent years, under the condition of market economy, with the speeding upand improvingt of world economic globalization and integration process,all walksof life have become increasingly competitive, so as the construction industry. The fierce competition has made the profit margins of the construction industry, after winning the bid, continuously squeezed.Therefore the construction enterprise must takeappropriate measures to manage the project so as to boost economic benefit. However,it all have close relation with cost management. So an efficient cost management system is necessary,either for better economic benefit or greater development potential. Therefore,the transformation of the concept of cost control and the enhancement of the level of cost control are extremely important.Value chain cost management theory was originally proposed by the MichaelPorter, after decades of research and exploration, it has become an advanced management ideas of system management,and has been slowly accepted by domestic andforeign scholars.Through the all-embracing classification,evaluation,position-settingand plan of enterprise value activities, collectting and analysising the cost information on each part of the value chain, the cost management based on value chain expanded the space and time category of the enterprise cost management, so that enterprises can coordinate reconstruct and optimize it’s value chain, reduce the cost of each part, eventually determine it’s development goal and enhance it’s core competitive advantage.The thesis analyzes the necessity and the importance of cost management,by comparing the research status of cost management both at home and abroad,and leads to the value chain cost management idea,and the concept is described and analyzed in detail,and comes up with the problems of the construction industry systematically,and lists the corrective measures.Then based on the theory of the value chaincost management,builds up the cost management system framework model,and indicat the feasibility and significance of the value chain cost management.At last，the thesis is focused on the application of value chain management inthe construction industry,through the combination of theoretical and case study,systematically studied into the internal andexternal value chain of the construction enterprise, based on the theory of value chain management, while delve into each link of the enterprise,seeking the path of reducing the production cost and increasing enterprise value. With the case study of the Sanhang Bereau Third Engineering Co.Ltd CCCG(China communications construction group), analysis the application of cost management system in the construction industry under the theory of value chain management.Through the analysis of this case to identify the value chains of theenterprise,building the construction enterprise cost management system based on the value chain management theory, using the Activity-Based Costing for cost management and improvement of the construction project, conducting a systematic studyof the enterprise cost management.