Study On The Cost Control Of Construction Project Of Company A Based On The Earned Value Management

Cost control is a very important issue for every enterprise,Good cost control can squeeze more profit space for enterprises,and it is important to improve the competitiveness of enterprises.After a round of infrastructure investment in the past few years,the construction industry has experienced a rapid growth,the entire construction market into a large group of companies want to share a cup of soup.Commercial housing construction occupies a large proportion in the construction market.Now,with the gradual standardization of the real estate market and the government’s macro-control of the real estate industry continues to deepen,Construction market is entering a period of adjustment,limited market resources to participate in numerous competitors,competition is heating up.How to improve the ability to control the cost of construction,enhance the profitability of the business,strengthen the enterprise survival ability,and grow up in this round of market adjustment,has become a real problem to every construction enterprise the most urgent.Construction projects gathered a variety of sub projects,such as infrastructure,decoration,water and electricity,the construction process is complicated,at the same time,construction requires the efficient organization of various materials,machinery and personnel admission and transfer in a limited field,objectively requiring a high degree of flexibility in the process schedule over a limited duration,therefore,the implementation of construction project cost control is a complex and systematic project.In view of these characteristics of construction project cost control,,in this paper,based on the problems existing in the company A in the construction project cost control,to introduce the earned value method in the construction project cost management are studied.First of all,this paper reviews the history of the development of cost control method,compares the characteristics of earned value method and other cost control methods,and introduces the principle and implementation process of earned value method.Secondly,taking the current situation of X construction project in company A as an example,this paper analyzes the problems such as unscientific control method,irrational organization structure,imperfect management system and unclear division of responsibility in the construction project cost control,aiming at these problems,this paper designs the method of earned value method applied to the cost management of construction project of company A,it includes the principles to be followed,the division of responsibilities,the reconstruction of departments and the establishment of dynamic control system and other aspects of the proposal,at the same time,using the earned value method to analysis the cost of company A’s X construction project,in order to achieve the project cost/schedule comprehensive dynamic control,to achieve the purpose of optimizing cost control.Finally,this model is used to analyze the construction project of the Company A,discusses the effective implementation and the safeguard measures of earned value management,As a powerful method of cost control,earned value management provides the basis for the effective implementation of construction projects in company A.