【正文】 f engineering projects is an everlasting topic for construction enterprises． How to manage the cost and what the performance of the cost management is directly relevant to the economic benefits， survival and development of the construction enterprises． To reduce the engineering cost， we should minimize the material and labor consumption through the whole process and in every aspect of the construction． And the root way to enhance the market petitive strength of the construction enterprise is to control all the consumptions influencing the engineering cost within the planned scope． The article makes a primary probe into the management of the cost from two aspects：the a11sided management and the whole lifespan cycle management of the Engineering cost. Index TermsConstruction engineering， project management and cost contro1． I． INTRODUCTION Engineering project is the cost center of the construction enterprises as well as the main source of the profits． When the industry petition is being fiercer and the profit making space is being smaller, in this situation， the most important thing for a construction enterprise to enhance the market petitive strength is minimizing the material and labor consumption in the construction course to reduce the cost and control all the consumptions influencing the cost within the planned scope． Therefore， a construction enterprise must strengthen the cost management so as to stand still in the fierce petition for further development． II． ALL． SIDED COST MANAGEMENT OF THE ENGINEERING PROJECT The engineering project cost mainly consists of material cost， cost of machine use， labor cost， temporary facility prime cost and project management fee ． The control of these costs involves the cooperation and coordination of such management departments as technology， finance． material， equipment． administration and logistics． So cost management must focus on the internal control among each department and whole control of the engineering project and conduct an allsided management． 1) To set up and better the cost control system The cost control system is a organizing system and management system，whose ultimate objective and major task is cost management， to assign the project manager as the person firstly responsible， and make every one of 7 each management team and construction team engaged in it． In the cost control system， every one from the project manager, technical principal to spot administrator is endowed with a certain task and authority of cost management， and takes on corresponding responsibilities． Every one in each administrative level must have a definite understanding of what the management content is, what control aim should be reached and how to control effectively． The cost control system should be adjusted and improved timely according to the project’ s progress and demand． In the meantime, the operational training of the administrative personnel should be paid attention to enhance their professional quality and management level． 2) To formulate regulations and standardize the operational behavior The effect of the cost control relies largely on the integrity and careful implementation of the administrative systems, especially the segments of material， equipment and management fee． Material management： Material always accounts for 60％ of the engineering cost in the construction． Thus material management is the most important in cost management and strict material management system must be established. Material management should start from the purchasing． Staple materials should be purchased by the material department， to invite public bidding as much as possible and to reduce the cost by intensive management ． Regarding the materials bought by project department themselves， they must know well about the market， price， quality， service，credit and long— term cooperation strategy to choose and decide the suppliers． Rigorous verification and examination must be done before signing the contracts and black case work must be rooted out． Other segments as material receipt, storage and distribution must be charged by a specific person to reach the material quantity in accordance with the account． The internal monitoring and restriction in every segment should be focused on． Equipment management ： Equipment management depart should equip machines in reason according to the engineering quality， construction progress and equipment capacity． Renting facilities from outside should be considered from the point of reducing the cost， in way of different lease modes, such as according to the shifts， workload and lease period． Rations of equipment maintenance and oil consumption should be drawn and checked monthly． Set up maintenance system and organize to implement carefully in order to assure the intact equipment, root out the machine accidents and try hard to reduce the use cost of the machine． Administration expense since the flexibility of the management expense is very big, it must be strictly controlled. We should fix a reasonable proportion according to the project’s volume to control the total amount and assess item by item． The establishment of the project administrative team should be effective and not overstaffed to lessen the 8 total expense of the salary． Expenses in working， transportation and business trips must be strictly enforced with saving and adopt the way of expenses handled by each department and rewarding the economizers． Business expenses should follow the principle of necessity and strictness ． Strict examination and approval and reimbursement application system should be set up and the regulated authority cannot be broke through. Finance department should carefully carry out the relevant systems and lead supervision． III． WHO