Research On Cost Control In Urban Rail Transit Industry Under Total Budget Management

Comprehensive budget management is a very important management accounting tool in modern business management and has an impact on the control of various economic activities.Especially in the case of state-owned enterprises,cost control is an important and indispensable factor for the viability of the enterprise.Comprehensive budget management is the basic concept of overall planning and forecasting of the strategic development goals,financial goals and production and operation goals of the enterprise.Enterprise cost control or financial cost control refers to optimizing internal management and enterprise resources according to the actual situation of the enterprise,after setting financial management objectives and operational goals,and using various means to influence control and adjust enterprise cost factors in order to achieve cost control objectives.Urban rail transit system is one of the main parts of urban transportation operation and plays a great influence in people’s life and commuting process.With the advantages of high delivery capacity,convenience,accurate time frame and environmental protection,urban rail transit management system can help municipal governments solve urban traffic congestion,improve urban environment,regulate urban structure and promote town construction and development,etc.The main operation mode of China’s urban rail transit industry is to charge the society and the government for the service in a cost-plus mode.Therefore,while paying attention to the unity of social and economic benefits,it is necessary to pay more attention to the economic operation and make efforts to strengthen cost control.Company D is an important equipment branch in China’s urban rail transit industry,mainly responsible for the electromechanical equipment system,which is an important part of the subway operation equipment system and provides an important guarantee for the safe operation of the subway.Company D is responsible for the daily maintenance of urban rail transit equipment and facilities,equipment overhaul,emergency repair,renewal and renovation,and cooperation with the construction and acceptance of new lines.This paper mainly adopts the actual case of Company D,and analyzes the cost control of the company from the whole process of the company’s comprehensive budget management.From the formulation,implementation,adjustment,analysis and assessment of the company’s comprehensive budget management,it illustrates the company’s deficiencies in accounting and management work in the comprehensive budget management,analyzes the causes,and provides suggestions for optimization.In the case study of Company D,the analysis is mainly conducted from the embodiment of cost control in budget target,cost control in budget preparation,cost control in budget execution,and cost control in budget assessment,respectively.The comparison is made in terms of data of cost categories,professional categories,cost budget and actual completion.Company D gradually changed from outsourced maintenance to independent maintenance mode by establishing special maintenance bases to reduce outsourced maintenance costs.By integrating the grassroots teams,optimizing the production organization and improving the "allprofessional" maintenance capability of employees,the company gradually reduces the comprehensive maintenance staffing standards of the unit stations.By strengthening the daily management and supervision of materials,the company’s material inventory is reduced throughout the year.Gradually realize the strategic goal of "cost reduction and efficiency increase".Although the management of cost control under the comprehensive budget management system of Company D has had obvious effects in the past three years,there are still problems in the management such as lack of market competition,large budget flexibility index,separation of budget analysis and operation analysis,and unreasonable assessment system.This paper puts forward relevant countermeasure suggestions,including: strengthening internal communication,optimizing resource allocation,integrating budget analysis with operation analysis,and improving the comprehensive budget management model and assessment.