A Study On Construction Project Cost Management Of Supply Chain

The pro-reform and steady growth of policy ideas was used by the new government. The infrastructure investment will slow further, the growth size of the construction industry will also be reduced. The construction enterprises having accustomed to the extensive growth will face more intense competition. In the modern economic environment of tough market, the whole industry is in "profit" era, "winning is difficult, low profits," is the most grim reality of the current construction enterprises to be facing. Especially because the market mechanism and the bidding system is not perfect, some construction companies for acquiring projects make a bid on below cost price, the economic efficiency of enterprises is in downside risks after winning, the survival and development of construction enterprises is seriously in danger. On the other hand, some of the industry benchmark for enterprise can still achieve good economic returns despite of lower bid prices. Under the same market conditions, why is it so large different? The first reason is to import the full supply chain cost management and manage costs at the source; Secondly, we must be good at ferreting out potential from reducing expenditure, and constantly improve construction project cost control methods. Reducing construction project costs and improvement of economic efficiency is the production target of construction project department, being also the prerequisites for the construction business survival and development. In the open international competitive environment, extensive management methods can’t meet the need for healthy development of enterprises. To be effective management has become the consensus of a large number of outstanding construction enterprises. In this context, the paper make the traditional supply chain management theory and construction projects to be combined, and its practical application in the Ministry of the cost of construction project management work, to help in the "profit bottom "to clear the site construction enterprise cost management context, and to give suggestions for improvement.Text of this paper is divided into six chapters, the first two chapters mainly elaborated from the background and theoretical aspects of supply chain cost management, summary supply chain management from the macro in the current research and future directions. Secondly, in Chapter III, Chapters IV and V the operation mode of construction project supply chain cost management system is proposed by discussing and building a supply chain cost management system of the construction project, being operated on the construction project supply chain cost management system mode on the aspects of the project application to the World Trade B and K Building project for validation. The sixth chapter summarizes the main results of this study, making the analysis of inadequacy. This paper studies the construction project through the supply chain cost management situation, analysis of construction project cost management, finding out the general reasons for the low-margin construction projects, construction projects by building supply chain cost management system and operation mechanism accordingly puts forward an effective method to achieve lower costs of construction projects to improve the economic efficiency of the project construction targets.