Research On Cost Management Of SP Company’s Torque Converter New Plant Construction Project

With the rapid development of economy,our country has higher and higher requirements for project management,especially the cost management in project construction is being continuously strengthened.How to optimize the use of resources and increase the return on investment of projects have become the focus of many companies.Daan Automobile Engine Manufacturing Co.,Ltd.plans to localize its 6-speed product core components,of which the torque converter is planned.SP Company has already conducted effective interaction with Daan Company on the localization of the torque converter and confirmed the cooperation relationship between the two parties.At present,the SP company considers the company’s strategic development for the next five years,and the shareholders plan to build a new torque converter branch to meet the company’s demand for torque converter product production in the next few years.SP company and Daan Automobile Engine Manufacturing Co.,Ltd.have effectively interacted with the torque converter products.According to the development of the market and Daan’s domestic demand for the product,SP will obtain a large number of product orders in the next few years.The construction of branch factories is imperative.In order to make reasonable use of the construction funds invested by the company for the new plant,the project achieves the greatest economic benefits,and it is necessary to strengthen the cost management of the construction of the sub-factory so that it can be effectively controlled.This paper through the SP company’s hydrodynamic torque converter plant new project research,application of project cost management methods,in line with the actual situation of the project research project resource planning,project cost estimation,project cost budget,project cost control measures,etc.And analyze the factors that affect the cost of different stages of the project,put forward the principles that should be followed in the project design,construction,completion phase cost management and project cost management,so as to achieve the purpose of controlling costs and creating good economic benefits.The SP company’s subproject construction project has a tight schedule,heavy tasks,and many uncertainties.Cost management and overall project planning are difficult issues.The paper fully utilizes the theories and methods of project cost management to control and manage project costs.Through active conscious planning,organization,coordination,control,and preventive measures,the paper carries out cost management on the project to avoid or reduce the chance of cost out of control..Accumulate experience through the study of this paper,and strive to provide some useful reference for SP company’s cost management of other construction projects in the future,which will enable SP company’s development input costs to be effectively managed in the next few years,improve the return on investment,and obtain more for SP company.Big profits lay the foundation.