Research On Cost Control Of Fengle Seed Industry Based On Value Chain Theory

After the 18th National Congress of the Communist Party of China,the state has paid great attention to the work of "agriculture,rural areas and farmers" and proposed to vigorously develop the modern seed industry.During the "Thirteenth Five-Year Plan" period,the country vigorously develops modern seed industry and builds a great seed industry country.In recent years,my country’s seed companies are facing increasing competitive pressure.Among them,cost leadership is one of the key strategies for enterprises to win in the competition.However,the traditional cost control method used by seed companies in the past isolates all aspects of the enterprise,making the process of cost control incoherent,and the cost of products.The control is not comprehensive,and this method can no longer meet the needs of the current rapid development of the seed industry,so the introduction of the value chain has brought new changes to the new cost management concept.In terms of cost control,the value chain is to integrate suppliers,consumers and producers into a complete industrial chain to achieve the purpose of adding value to the enterprise as a whole.This paper takes Fengle Seed Industry Company as the research object,and conducts research on Fengle Seed Industry.This paper first introduces the relevant concepts and theories of value chain,cost control,etc.,and adopts literature research method,case analysis method,comparative analysis method and other methods to analyze the upstream supplier value chain,company internal value chain and downstream customer value chain of Fengle Seed Industry.And the status quo of cost control in the value chain of competitors in the same industry is summarized.Through the analysis of the value chain of Fengle Seed Industry,it is concluded that there are many problems in the cost control management of Fengle Seed Industry.Combining the theoretical method with the actual situation of Fengle Seed Industry,for the links that need to be improved,the corresponding suggestions are put forward.cost control optimization program.In order to achieve the ultimate goal of reducing costs and realizing value-added value chain.The purpose of this paper is to provide a reference for Fengle Seed Industry to enhance its industrial competitiveness,and to bring some reference to other seed companies.Through the case study of Fengle Seed Industry,the following conclusions are drawn.First,Fengle Seed Industry has a certain competitive advantage in the seed industry,but its cost management method is too outdated,and it is not managed according to the product life cycle,resulting in complicated procurement process.Second,the number of R&D personnel is too low,the third is the large loss of inventory,the fourth is the unreasonable manual control and low production efficiency,and the fifth is the unreasonable distribution structure.Compared with competitors in the same industry,it also shows disadvantages.Therefore,it is imperative to optimize the cost control of Fengle Seed Industry.