Research Of Cost Control In YJLZ Co. Based On Target Cost Management

With the development of the global economy, the competition in various industries is becoming more and more intense, pulp and paper industry is also the same. How to control costs effectively has become an important issue enterprises facing. Target cost management is an effective tool for cost management and control, it can improve the level of corporate cost control. Currently there are many problems of cost control in YJLZ Corporation. In order to solve these problems, on the basis of the target cost management literature, combining theory and company's actual situation, the paper proposed improvement measures for problems YJLZ Corporation facing. First, build target cost management system, establish the founding principles of target cost management system, organization system, and the implementation process, rules and regulations. Secondly, determine the target cost according to the scientific method, determine and decompose the target cost after the collection and analysis of data, and target cost also need to be revised regularly. In order to ensure the strict implementation of cost management, it is necessary to give feedback and assessment regularly an establish target cost management feedback and assessment reward system. YJLZ Corporation also need to improve scientific and technological innovation, precision level of management and to establish information systems to effectively improve cost management and control. Finally this article explains the expected effects of the improvement measures, problems may encounter and countermeasures.