Based On The Earned Value Method, The Cost Management Study Of Y Company’s Small Farmland Water Conservancy Project

With the increase of the state’s investment in the construction of small irrigation and water conservancy year by year,the construction enterprises of small irrigation and water conservancy have entered a period of rapid development.At the same time,with theincrease of the national investment amount,too many construction enterprises into the industry.Competition is intensifying.Small water construction companies are really encountering opportunities and challenges.In order to seek development,small water conservancy construction enterpri ses must improve their competitiveness.Small water construction enterprises do not have complex technology.There are no technical barriers.They mainly rely on lower prices to get more business.So the more competition there is,the less profit there is.Competition leads to lower profits.Only to improve the core competitive ness of enterprises,enterprises can survive and develop.Reflected in the enterprise management is to improve the enterprise cost management ability.At present,the cost management concept of small-scale water construction enterprises is backward.They often overspend because of a single approach to cost control.They can’t effectively deal with the relationship between cost and schedule.For this reason,the earned value method is selected as the management met hod of small water construction enterprises.The earned value method introduces the concept of earned value,which is the actual cost and the estimated cost of the work completed in the actual process of the project.It calculates the budget cost and actual cost of the project,obtains relevant indicators,and obtains the implementation status of the project at the time point of report.Research.The earned value method can monitor the project cost and progress at the same time.Earned value method has four evaluation indexes: CV,SV,CPI and SPI.They can monitor the entire life cycle of a project.They can be used to rectify deviations during the construction process of the project.Earned value method can reduce the cost of small water conservancy enterprises.Earned value method can ensure the progress of the project.Earned value method is a kind of cost management method suitable for small-scale water construction enterprises.