The Study Of Budget Controlling For Relocation About The Panlong Oil Factory Production Base

As pillar industry of the national economy, The oil enterprises are not only veryimportant to the development of the national economy, but also affecting the Chinese defense.However, in the context of market economy, Oil enterprises in China are facing greatpressure from foreign oil industry. Under this situation, reducing costs is critical to thesurvival and development of petroleum enterprises in China. In this paper, we analysis thecosts controlling about relocation of the Panlong oil Factory production base which belongsto the Yanchang Petroleum. Firstly, we comb some theories related project cost management,project cost control and methods; Secondly, we introduce the background about the relocationof the Panlong oil Factory production base and compare the difference between budgetedcosts and consequent actual costs. Beyond that we research the reason that lead to thedifference between budget and actual. Finally, we utilize the cost accumulative curvetechnique and earned value analysis methods to analysis the relocation’s cost and summarizesome problems about this project. Further we put for-ward some improvement suggestions.