Research On Strategic Cost Management Of Small And Medium - Sized Manufacturing Enterprises

With the development of market economy, the competition among small and medium-sized manufacturing enterprises become more and more intense. Therefore, how to effectively reduce the cost by cost management and control it reasonably have been a key for enterprise to survive and develop. While the traditional cost management has played a positive role in promoting the development of cost management theory, but the traditional cost management is a one-sided pursuit of lower production costs, which is not good for enterprises to maintain long-term competitive advantage. In addition, the idea of the traditional cost management is under-developed and the information of the cost is not practical, so the traditional cost management can not meet the economic reform. In contrast, the comprehensive, long-term, open, competitive and other characteristics can help strategic cost management meet the needs of strategic management. Therefore, if the small and medium-sized manufacturing enterprises want to maintain the leading advantage in the manufacturing and successfully transition out of the crisis, they must implement strategic cost management firmly to improve the competitiveness.Firstly, this paper analyzed the research in domestic and foreign country, and then compared the theoretical concepts of traditional cost management and strategic cost management. Secondly, it showed us the status of small and medium-sized manufacturing enterprises and the problems in its cost management, then analyzed the causes of the problem and the important of the implementation in strategic cost management. Thirdly, this article tried to find some experiences by analyzing the success stories in domestic and international strategic cost management. Last, it concludes some recommendations for implementing strategic cost management in the small and medium-sized manufacturing enterprises.