Research On Cost Management Optimization Of HZ Geological Exploration Project

During the planned economy period,geological prospecting institutions in various provinces and cities belonged to fully funded public institutions.Geological prospecting projects mainly focused on prospecting results and did not require high project cost management.After the reform of the market economy system,the geological prospecting institution was changed to a differential funding institution,retaining the name of the institution,but began to take the corporate management route to participate in the geological prospecting market competition.Restricted by the institution system,the market-oriented reform process is slow.Most geological prospecting institutes failed to established a completed cost management system which led to many common problems such as weak cost management systems,non-normative cost management methods,unreasonable cost management assessments and so on.Which seriously affects the rate of return of geological prospecting projects.Therefore,it is essential for them to enhance the awareness of cost management,establish a standard cost management system,definite the responsibility system,and optimize cost management structure.Based on the actual HZ geological prospecting project management,combined with the construction procedures and characteristics of the geological survey project,the thesis comprehensively analyzes the main problems existing in the cost management of the HZ geological survey project in 2016.Using the ideas and methods of target cost management and full-process cost management,the project organization structure,system construction,cost forecasting,cost planning,cost control,cost accounting,cost analysis,cost assessment and other links are proposed for targeted cost management.Optimize the plan and implement the plan into the actual management of the project in 2017.It can be seen from the operation of the project in 2017 that after the implementation of the cost management optimization plan,the profit margin of the HZ geological prospecting project increased by 2.5%compared with 2016,and the cost management gradually transitioned from the previous disorderly management to the orderly management.Achieved the goal of optimizing cost management.