Research On The Model And Application Of The Cost-Control Of Complex Product Development Project

With the economic development and the advancement of technology, product systemcomplexity is rising, complex product development time and process more and more difficult topredict and control, that causes serious cost overruns and project plan does not run correctly, so,complex product development project cost control more important.The traditional method of cost control is difficult to adapt to the complex productdevelopment projects’ high uncertainty. In the current complex product development project costcontrol methods, there are some specifically for certain industries, however, there’s few forcommon of complex product development projects. So the purpose of this article is to propose auniversal cost control methods to adapt to the complex product development projectsAccording to the virtual profit center of value engineering, combined with the traditionaltarget cost control method, I first proposed the concept of the virtual cost center. In order to adaptto the uncertainty characteristics of complex products better, divide the cost of a single target inthe traditional target cost control into four virtual costs, and one of the lowest cost as a the virtualcost center virtual target cost. Through establishing the balanced optimization model and PSOdivide the virtual target cost to each phase of the project.To intuitive control of the use of the actual cost, according to the relationship between thefour kinds of costs, and reference to the concept of buffer time in project management, I proposesthe buffer costs and create a buffer stage cost divided model. Then establish a system of five levelcost control. By comparing the virtual target cost, the actual cost and the relationship of the threebuffer cost, able to visually see the actual cost information for project decision-makers.The results of this study, to further enrich the theory of complex product development projectcost control, to expand the concept of management by objectives, and provides an effectivemethods and techniques of project management by objectives.