A Study On The Cost Management Based On Product Research And Development

A popular view shows that the product cost is very difficult to change after massproduction. And then the only way to upgrade the manufacturing process is to savethe material and accessories, to pay the low wages to the workers etc. In this paper,procedure and content of R&D cost management are introduced. There are5sectionsas below.The1stsection shows why we need study the R&D cost management. If we donot do any manage for R&D cost, what will happen?The2nd section described what is R&D (Research and Development), and whatis the cost management of product. There are3characters of R&D product costmanagement: principle, comprehensiveness and dynamics.The3rd section lists the6steps of cost management: forecasting of cost, plan ofcost, cost decision, cost accounting, cost analysis, cost assess. The forecasting andplan of cost are most important because the product is not introduced into product linewhen people do the two steps. We need pay more attention to the forecasting and planof cost.The4th section described what we need do for the cost management. Componentand material chosen, machine chosen, human resource, technology cost, humanresource and quality cost, all these are the content that we need do for the total costmanagement.The5th section tells a story how to manage the product cost about SL productdesigned by Foxconn HP Server Product R&D center. There are some defects needimprovements. In this paper, I write down the entire defect that I think they are notgood and how to improve.