Research On Project Cost Management Of Small And Medium-size Construction Enterprises

According to the statistical data of the National Bureau, as of2012, the total number of China’s construction enterprises is75280, including around65358private ones, which accounting for more than87%. Construction enterprises’ competitiveness is mainly reflected in the profit ability, being based on project cost management. Therefore, project cost management of construction enterprises is very important. However, because of migrant workers and disordered internal management, cost management ability of China’s construction enterprises is poor. The reason for this situation can be attributed to two aspects. On the one hand, with the use of new materials and the increasing complexity in construction process, it was prompted the difference about cost management between building products and general manufacturing goods. Therefore, to the construction enterprises, the effect on applying traditional cost management is not good. On the other hand, indirect costs, such as transaction costs, are increasing in construction enterprises, but the traditional cost management is too simple to distribute indirect costs. Therefore, at present, traditional cost management is not in conformity with the construction enterprises.According to the CNKI, the number of cost management articles about construction enterprises is70019, including35743articles on target cost management and19025ones on activity-based management. Therefore domestic research on project cost management of construction enterprises is very rich. But the quantity of cost management research on small and medium-size construction enterprises is less than1000. So, for scholars, it’s necessary to study project cost management of small and medium-size construction enterprises.The thesis is divided into seven parts. The first part describes the background and significance of this thesis. The second part mainly includes the introduction about the current research status on project cost management of the construction enterprises, and the research achievement evaluation. The third part defines the relevant concepts of construction enterprises. The fourth part is about current situation of the cost management in small and medium-size construction enterprises. This part analyzes the problems about cost management in construction enterprises. The fifth part analyzes the advantages and disadvantages between target cost management and activity-based management, then analyzes the feasibility of target-activity based cost management. The sixth part is the case analysis, including the analysis of problems on cost management in the case enterprise and of the application results about target-activity based cost management. The last part summarizes the main points of the thesis, put forward suitable countermeasure for the small and medium-size construction enterprises and points out the future research directions.Research on project cost management of small and medium-size construction enterprises is less. So this paper is based on analyzing cost management problems to put forward optimization measure and guide practical work of small and medium-size construction enterprises. Because of the author’s academic ability and other objective factors, it’s limited to the universal applicability among small and medium-size construction enterprises.