How to look at project cost management

 How do the high cost of the project management
Bin Fort
(Jinan winds Software Ltd. Shijiazhuang Branch, Shijiazhuang)
Abstract: The project cost management, cost control and dynamic control in advance
Keywords: control real-time accounting of project costs prior dynamic control
profits number of various awards, if the Department of grass-roots projects out of the project cost for the effective management and control, no matter what kind of business can not be profitable and rapid development.
the equivalent of the Ministry of Construction Enterprises manufacturers grass-roots projects workshop, if the production costs can not be controlled effectively, the enterprise will be where to go for profit? Therefore, project cost management and control is the core issue of the construction business.
project cost management What are the characteristics
1 , the project is one piece, one-time investment of special products: As per the design drawings and construction conditions are different, each project construction process and costs will vary form, it is difficult to use a unified model to evaluate and predict project cost, must be cost of the project has been formed, no one will be no Huitianzhili.
3, the construction company is a typical labor-intensive industries: the overall quality of construction workers is generally low, personnel more complex group of people to lead this horse to In the limited time, quality and quantity of the completion of the construction is not easy, but also works to ensure a reasonable profit, the degree of difficulty can be imagined.
4, aspects of construction are more than human factors more, the cost to run, run, drip, leak is severe, only rely on traditional financial accounting, can not meet the requirements of the construction cost management.

project costs constitute a project cost elements constitute its mainly in the implementation of projects generated during the contract of The so-called direct costs, the project is the consumption of materials costs, labor costs, mechanical royalties, and other direct costs. Materials Fee: Some items can not be prepared according to the construction progress of the material procurement plan, no major and minor, non-batch, unplanned a boom on, causing huge amounts of money to be occupied, the backlog of storage materials in case of contract changes, will inevitably lead to a great passive; the material procurement process, and some do not shop around, but only if the supplier relaxed environment, is oblique to contact an intermediary, the benefits of self-serving and rack their brains from fishing; some members of the project operator selection of material is the sole criterion of genetic relationship with the circle the management of confusion, unclear ledger, accounts does not match the physical, material transport, collection, management, hair and other aspects of the lack of supervisory mechanisms, and even engage in foreign cooperation should be theft, false purchase invoices and other material violations of law. labor costs: a The project team set up not to the principle of lean and efficient, while the relatives of the first arrangement, the implementation of family management, increasing the total wage costs; some do not reasonably arrange the construction schedule by the blind arrange for the workers approach, resulting in an oversupply of labor; some can not man-days at a fixed contract term or contract work days by segments of predicting that implementation can not be strictly controlled, subsidized employment for additional review is not strict, there is a serious lack of predictability of the relationship between workers, resulting in material several times out of luck, a serious waste of labor costs ; some poor sense of responsibility or as thoroughly drawings, resulting in unnecessary rework.

project cost control method of construction enterprise project management cost control only through the the project cost control within reasonable limits, to achieve the expected profit of a cost control method.
material cost of the pre-control:
prior control labor costs:
dynamic control project cost, means of construction process, in accordance with the construction schedule will be material, labor, fees gradually into the process, real-time accounting of the actual cost of the project and its objectives and the corresponding cost (or: to control costs) relative than to observe whether the bias, if there is a deviation , we must find out the specific reasons, and take corresponding measures, a cost control.
construction project cost, with the progress of the project and by phase, the order of inputs, all building materials, labor, costs are one-time consumption that if there is need to rework the construction errors, most of the recoverable value of the material is almost zero, and also to invest a lot of labor, machinery used to clear the failed part. Therefore, construction cost management, not the traditional post to manage the cost accounting method, must be accounted for using advanced real-time dynamic control approach to management.
If cost control is not dynamic and effective throughout the entire construction process, project completion, the project cost will be unpredictable. human society a high degree of civilization today, if even the cost of a project can not control, is unthinkable.
cost real-time dynamic control is the core of the actual cost accounting of projects: the cornerstone of cost has two dynamic control: a the cost of dynamic control works as follows:
traditional financial accounting, can only provide a variety of financial data in the end, but the level of detail and timeliness can not meet the needs of the dynamic control costs. Without the dynamic real-time cost control, cost accounting data support, it will become > References:
construction project management practices (GB/T50326-2006)
general contracting construction project management practices (GB/T50358-2005)