Research On Cost Management Of B Home Company From Value Chain Perspective

With the rapid development of economic globalization,the supply center of home furnishing industry has gradually shifted to developing countries,which has become a hot spot and a new point of our economy.Therefore,it is imperative to optimize cost management methods and explore new models of cost management to adapt to the development of modern economy.As an effective tool of value chain management,theory of value chain lays a theoretical foundation for exploring and reconstructing new mode of cost management.Based on the analysis of the theory of value chain and cost management,this paper aims to build a model of cost management that meets the needs of the development of home companies and can play an important role in the decision-making control of home companies.This paper used the thought of finding problems,analyzing problems and solving the problem,as the target of B home company,through the study and data analysis and other research methods.First of all,consult the thoughts of previous scholars about the value chain theory and the theory of cost management research achievements by analyzing the features of products and the cost management of B home company,and then we will find the main problem is lack of holistic view,its purchase cost management cost is on the high side,it can’t indirect cost allocation reasonably and its cost evaluation incentive mechanism is not sound.As a result,we put forward the necessity of the application of value chain cost management.Then,it has a comprehensive analysis of the value activities of internal value chain,vertical value chain and horizontal value chain of B home company,and continuously promotes the optimization and coordination of internal and external value chain of B home company.Finally,we put forward to determine the cost management of value chain and cost drive factors,think highly of cost management from the process of research and design,know the methods of cost management,optimize production links for each process,strengthen the cooperation with suppliers to reduce procurement costs,attach great importance to the management and develop customer relationship and establish guarantee mechanism and other measures to improve problems existing in cost management,eventually B company will improve the core competitiveness.What oriented value chain cost management of the company’s is a strategic goal,a company’s value chain analysis is mainly based on the internal aspect and external aspect,by analyzing and researching B company’s main value activities and the value chain of related enterprise,on the one hand,we can solve the problems existing in cost management and enhance the competitive advantage,on the other hand,we can also provide a good reference for the similar enterprises.