Research On Strategic Cost Management Of MY Home Textile Company

China's economy has largely integrated into the global economy as a result of its rapid development,which means that the competition between domestic companies themselves as well as between domestic companies and foreign companies is growing more and more fierce.Besides,customers' requirements for product quality and individuality have become higher and higher.Under this circumstance,the textile industry in China is facing increasingly severe challenges.To keep competitive,the priority for textile companies is to increase their profits.Currently,with the costs of raw materials and labor forces rising constantly and market competition being cut-throat evermore,companies need to make improvements in all aspects so as to seek their status in the society and better control their costs.In this sense,the paper applies the theory of strategic cost management to the managerial research of MY company in the hope of promoting the growth of MY company.This thesis adopts the approach of case analysis,firstly working out a literature review on the the field of strategic cost management from works at home and abroad and then conducing an analysis.After several months of internship and field study in MY company,the author has summarized the status quo of its cost management and then pointed out and analyzed the existing problems.The author has found out that the concept of the company's current cost management is relatively outmoded.Through analyzing the necessity and feasibility of the application of strategic cost management,the author has figured out the driving forces of the application of strategic cost management in MY company.Based on the above analysis,this article applies the strategic cost analysis to MY company: first,the value chain,strategic positioning and cost driver analysis are taken as the logical starting point for MY company to apply strategic cost management.Then,a system of strategic cost analysis is established according to this logical starting point.This system is applied to MY company to solve problems,namely,helping the company implement target cost management,integrate and optimize the upstream and downstream value chains,improve the cost management information system and the cost control method and then carry out cost management in the whole process.Finally,safeguards for the implementation of strategic cost management in MY company are putforward to guarantee its effective utilization.Through research on the application of strategic cost management in MY company,the paper hopes to provide guidance and suggestions on the management of strategic cost for MY company and other textile enterprises.