Pre-planning Method Applied On Cost Control In An Enterprise Environment

Along with the social development of industrialization, the influence of environmental problems on human living environment is becoming more and more serious, such as greenhouse effect, the extinction of species, fog and haze, acid rain and so on. Social sustainable development has become a topic of concern to human, and environmental cost control has become a manufacturing entERPrise inevitable topic. For entERPrises, environmental cost control not only can reduce the environmental expenditure to increase economic benefits, but also set up green beautiful image in front of the public to increase the visibility of the entERPrise by. performing social responsibility. The research of experts, scholars and institutions of foreign related field on environment cost control is relatively mature. Many countries have proposed to advance planning for the environmental cost control, and formulate the relevant laws and regulations and code of conduct, to restrict and control the production and business activities of entERPrises. In China, the theory has not formed the system of environmental cost control, because of lack of complete, comprehensive system, pre-planning method is not used widely.This paper uses summarized and compared with the standard research method, literature research method and case analysis method to analyze and research. Firstly, through the research on domestic and international relevant aspects of the whole process, based on the value chain theory, environment cost control theory and the green ERP theory, to explore the use of pre-planning method in environmental cost control. I collected the relevant documents, books, network education information resources in the prophase, through the summary, the summary and analysis, creatively used literature, by methods of induction and deduction, abstraction, analysis and integration, and deal with the acquired material, data and information, to draw relevant conclusions. Finally this paper selects the case of Yunsheng special metal materials Co. Ltd. to analyse effect of environmental cost control by pre-planning method, and compares with the traditional environmental cost control method to draw the experience of pre-planning method used on environmental cost control.In China, the vast majority of manufacturing entERPrises adopt the post processing method to control environmental cost, but this method is easy to neglect the environment cost control and increases the environment failure costs. Along with society and the entERPrises paying more attention to the environmental problems, the content of environmental costs is also changing, not only be confined to the environmental pollution control costs and expenses, the more central part is the environmental costs produced by the implementation of environmental responsibility of the entERPrise. The ultimate goal of environmental cost control is to achieve the entERPrise’s economic benefits and ecological benefits, specific aim is in the process of production and operation to reduce waste generation and harm degree as far as possible, to avoid the waste of natural resources and the excessive consumption of sustainable development capacity as far as possible, to improve the market competitiveness of products and sustainable development of entERPrises. The application of pre-planning method has played a key role to this goal, compared with post processing method, the economic benefit and environmental benefit it brings is very considerable. Synthesizing the production process and operation process, pre-planning method allocates the possible future environmental expenditure and cost, and records to the product cost budget system, analyzes and predicts for these expenses and costs, to put forward every feasible production plan, in order to achieve the purpose of controlling and reducing the environmental cost.Pre-planning method not only changes the procedures of environment cost control, but also controls environmental spending fundamentally, to avoid the disadvantages of "end of governance" model. Yunsheng special metal materials Co.Ltd. is a typical manufacturing entERPrise, the impact on the environment in the company production and management process cannot be ignored.if we cannot reasonably avoid and control these environmental problems, it will cause many environmental pollution problems. By studying the project of the expansion of the production of Yunsheng special metal materials Co. Ltd., from pre-production experience, it takes a series of methods to control the environmental cost. Through emissions and economic benefits compared between before and after the use of pre-planning method, we find that the pre-planning method has extraordinary effect on entERPrise’s environmental cost control. Facts prove that the application of pre-planning method in environmental cost control can bring effective results and considerable economic benefits for the entERPrise. First, the application of pre-planning method can reduce expenditure spending on the management of environmental pollution, improve the social benefits of entERPrises, long-term profitability and lasting competitiveness. By using pre-planning method in environment cost control can find out indirect costs hidden from other subjects, analyze accurately the cost driver, estimate reasonably return on every investment, in order to find the most suitable economic interests and environmental responsibility target scheme.At present, as the theory and. research of application in pre-planning method of environmental cost control in China is insufficient and the experience is not enough, the pre-planning method is not widely used in China, and there still exists plenty of room for improvement as we use. As the theory has not formed the system of environmental cost control methods, and the lack of more perfect and comprehensive system, this article is based on domestic and foreign relevant theory and the specific method, integrates ideas and theory of the modern environmental management accounting into environmental cost control in the entERPrise, carries on the thorough discussion on pre-planning method application to the entERPrise and its application effect. It contributes to enriching and perfecting the theory and method of environmental cost control, and helping entERPrises to realize the maximization of social benefits and economic benefits.