Qilu Cable Co., Ltd. Strategic Cost Management Research

The acceleration of the process of world economic integration and China's accession to the WTO makes more and more foreign enterprises with advanced technology to enter the Chinese market. Faced with these strong competitors, Chinese cable companies want to survive, we must first reduce operating costs, improve operating efficiency, from the enterprise's internal mining potential. Therefore, in the process of modern enterprise development, the status of cost management is more and more high, has more than other major components, and gradually into the business management of the line of sight.In this paper, Qilu Cable Co., Ltd. as an example, on the strategic cost management of the detailed analysis and discussion, and other enterprises to provide a theoretical basis for the cost management. Firstly the Qilu Cable Co., Ltd. operating status and cost management status were summarized; then has carried on the detailed analysis of Qilu Cable Co., Ltd. the cost driver, value chain and strategic positioning; finally, take the strategy of strategic cost management, of Qilu Cable Co., Ltd. the cost management strategy of the corresponding strategy.Through the study of this paper can be seen (1) Qilu Cable Co., Ltd. the cost management of the existing problems of cost management understanding shortage, cost management out of touch with the market, the content of cost management is not comprehensive, the distortion of cost information, enterprise cost management chaos in five aspects. (2) cost drivers include structural cost drivers and executive cost drivers, which are the two basic factors. The five aspects of the structural cost drivers also contains the enterprise scale, business scope, organizational learning and overflow, geographic location and layout of the enterprise, technology and technological innovation; executive cost drivers include employee participation, total quality management, value chain link, production can force utilization mode. (3) the Qilu Cable Co., Ltd. cost management strategy is proposed based on the idea of strategic cost management:optimization and adjustment of construction project value chain, pay attention to project strategic cost driver control, make correct strategic objectives of the three main aspects.