Costing Management System Construction For BC Automobile Company During Research & Development Period

In recent years,the production and sales of China's vehicles has entered the micro-increase period.As the result of automobile companies around the world focusing on Chinese market,they improve the numbers of vehicle types produced in China or imported from foreign countries continually.Meanwhile,their price has decreased continuously.The pattern which self-owned brand automobile companies gain market by government subsidies and low-price strategy has lost advantages in vehicle market gradually.Although the self-owned brand of BC automobile company started relatively late,it has realized the self-development of the complete vehicles and project management entirely.BC automobile company is in the period of industry expanding.The sharp expanding greatly increases the operation risk of BC automobile company.With the continuous increase of production bases,new projects and new vehicle types,the profit attenuation of self-owned brand is exposed gradually.Under the pressure inside and outside,the cost control work has risen to the strategy level of BC automobile company.The paper sorts out the present problems of cost control work in BC automobile company through analyzing the development process of the complete vehicle and the current situation of cost management.BC automobile company has established a complete vehicle material target cost management rules and process to standardize the cost control work.But it lacks target cost management system,parts cost accounting tool and value engineering system in the research and development stage at present.Development and design stage decides the 80% of the complete vehicle material cost.Also,the design,performance and quality of new products are all related to the cost.Therefore,the product design stage is the best time to control cost.It's necessary for a company to give out product cost information and optimize design schemes in the initial stages of design as far as possible,because they have important significance for the comprehensive optimization of technology and economy,the reduction of cost and the improvement of market competitiveness.For solving the problem in the cost control work of BC automobile company,the paper builds cost control system which has BC automobile company feature by making a study of the relevant theories and methods about target cost management and parts cost accounting.The cost control system includes cost control organizational structure,rules and process,target cost management system,parts cost accounting tool and value engineering system in the research and development stage.Also,the paper evaluates on the implementation effect of cost control system.Researching and building cost control system of BC automobile company's research and development stage can provide reference for the cost management work of other self-owned brand automobile companies.