Study On The Cost Control Of EOEG Project Of JD Co.,Ltd. Based On EPC

Compared with traditional project contracting,EPC general contracting mode is widely used in large-scale projects such as petrochemical,hydropower construction and non-petrochemical desulfurization and denitration environmental protection projects due to its great advantages in project cycle,contract disputes and cost.With the change of the national policy environment and the increasingly fierce competition in the design market,more and more engineering companies make use of their own advantages to compete in the EPC market in order to gain more development space and profits.At the same time,in order to avoid the risks brought by their own procurement contracting,more and more owners also prefer the EPC contracting mode.Therefore,EPC general contracting mode is both a trend and an opportunity,and only by effectively reducing the cost management mode can we seize the opportunity to win the competitors in the tide of competition.As a subsidiary of a large international engineering company,JD company has gradually developed into an engineering company with general contracting,engineering design,engineering consulting and engineering cost consulting since it entered the mainland market in 1993.In the EPC general contracting market,the company has completed the general contracting of more than 10 large projects in China,which has been widely praised by the owners.While EPC general contracting projects bring profits,risks also exist at the same time.Risk reduction and profit improvement are the primary goals of project execution.To achieve the goal,project management ability must be effectively improved.Cost management,as an important part of project management,is the key factor to achieve the predetermined profit goal and plays a crucial role in the success or failure of the project.By studying the basic theory of cost management and budget control management system,this paper analyzes the status quo and problems of EPC general contracting projects from the perspective of project cost management.In this paper,JD EOEG general contracting project cost management as the case study object,through the collection of data,data analysis,combined with comprehensive cost management method,win value analysis method,target cost method to analyze the problems of the project.By using JD company’s internal management process and operation instruction to analyze the cost control operation,the cost management system suitable for JD company’s general contracting project is concluded and established.As the earliest implementation stage of EPC,design plays a decisive role in project cost.In order to gain a firm foothold in the competitive EPC general contracting market,JD company needs to carry out value engineering evaluation.In order to enhance the competitiveness of the company and achieve the development goal of becoming a domestic first-class engineering company,it is necessary to take measures such as quota design and optimization design scheme to control the project cost,strengthen the procurement and construction management,and gradually improve the EPC cost management level by applying BCMS and P6 software and constantly summarize good management methods.