【正文】
Study on Project Cost Control of Construction EnterprisesBy: R. Max WidemanAbstract With the increasing maturity of construction market, the petition between construction enterprises is being fierce. The project profit is gradually decreasing. It demands that all construction enterprises enhance their cost control, lower costs, improve management efficiency and gain maximal profits. This paper analyses the existing problems on project cost control of Chinese construction enterprises, and proposes some suggestions to improve project cost control system.Key Words :Construction enterprises, Project management, Cost controlAfter joining the WTO, with Chinese construction market being integrated, the petition among architectural enterprises is turning more intense. Construction enterprises must continually enhance the overall petitiveness if they want to develop further at home and abroad construction market. Construction Enterprises basically adopt the project managementcentered model, therefore, it is particularly important to strengthen project cost control. Current Domestic Project Cost Classification and Control MethodsCost refers to the consumption from producing and selling of certain products, with the performance of various monetary standing for materialized labor and laborconsuming. Direct and indirect costs constitute the total cost, also known as production cost or manufacturing cost. Enterprise product cost is the prehensive indicator to measure enterprise quality of all aspects. It is not only the fund pensation scale, but also the basis to examine the implementation of cost plan. Besides, it can provide reference for product pricingAccording to the abovementioned definition and current domestic cost classification, construction project cost can be divided into direct costs and indirect costs. Direct costs include material cost, personnel cost, construction machinery cost, material transportation cost, temporarily facility cost, engineering cost and other direct cost. Indirect costs mainly result from project management and pany39。s costsharing, covering project operating costs (covering the mission of foreign projects), project39。s management costs (including exchange losses of foreign projects)and pany39。s costsharing.At present the main method for domestic construction enterprises to control project cost is to analyze cost, naming economic accounting, which is the major ponents of cost management and the analysis of economic activities. In accordance with its scope of target and deeplevel of content, GM project cost analysis method can be divided into two categories, namely, prehensive analysis of project cost and cost analysis of unit projectComprehensive analysis of project cost. It is carried in terms of budget and final accounts, cost reduction programs and construction installation costs. The methods used are as follows: (1) paring the estimated cost and actual cost. Check the result to reduce cost, lower cost index and budget stat