On the project cost control and dynamic enterprise scale preparation

Abstract: The project cost control analysis to explain the dynamic of the current project cost control defects, the distortion that the company is leading the preparation of the fixed dynamic cost control key can not be achieved, describes specific methods for the preparation of enterprise scale, and proposed create a dynamic cost control information system is dynamic project cost control and effective way.

Keywords: Project Management; dynamic cost control; enterprise scale

1 Introduction

Project Management in the core for Cost Management, Cost Management is to obtain cost-effective source. Project Cost Management generally includes five major areas, Serve wood forecast, control, accounting, analysis and assessment, and cost control are five major aspects of a top priority, only the construction of the project cost effective process control, in order to ultimately make the project cost to obtain good results. Project cost control is: the cost of the project to achieve the goal of the project cost formation process of the consumption of human resources, material resources and cost guidance, supervision, regulation and restrictions, timely control and correct the impending and the deviation has occurred, the various cost control within the limits prescribed in that implementation the cost of dynamic control. costs of the basic goal is to cost control, cost targets derived from the project cost estimates.


2 project cost control methods and their lack of

General project cost control methods include system control, quota control, the contract control.

(1) system control the main responsibility is to establish a sound system for the implementation of the project approach, project Cost Management implementation details, materials, access control implementation details of the settlement of the audit details of the project, leasing of machinery and material flow management rules, etc., are enterprises the premise of the cost of dynamic control and protection, although complete rules and regulations of various cost control, but the project implementation process does not go by the book, is also prevalent in many projects, especially small and medium enterprises and private, to pack the escrow, do not attach importance to the construction management field phenomenon is still drawbacks.

(2) contract control is mainly a good project manager signed with the company management, corporate intelligence depArtment, project team members of the DepArtment of Management contract between the contract and job responsibilities. Specifying the responsibilities and privileges, and other details of assessment and reward and punishment to resolve between the two sides supervision and being supervised, guided and is guiding, coordinating and being coordinated service and the service relationship, to achieve efficiency and risk sharing.

(3) Fixed control of enterprises according to their business scale for people, materials, machine consumption indicators of planning, accounting, and control of enterprises should be prepared with a fixed cost indicators are: scale construction (including labor costs, material costs, mechanical royalties), other direct costs fixed, fixed-site expenses, working materials, maintenance and other fixed quotas and so on.

In the three control methods, control system and contract law, mainly the control of management practices on the fixed control law and is closely related to the size of the project cost estimation, fixed control law is the basis for the core project cost control, cost control is directly related to the project The actual benefit.


3 Problems Fixed Control Act

According to the survey, the majority of construction companies now control the cost of the basic approach is to use: Before the project stArts, according to the cost of construction plans to develop budget plans; project implementation process, the estimated value based on experience of cost control; project is completed, the completion summary data. specific performance: the use of program reports, statistical reports and did not occur in the form of a cost to complete the project planning and control data and accounting control data and these data collection period is generally one month, due to cycle too long, can not be promptly reflected project implementation process, the value of the cost of planning and control of the deviation between the values, the significance of the loss of dynamic control costs; followed by the value of the preparation of cost plans most companies do not have fixed their own businesses to prepare, but on the basis of the budget fixed rate to fall several percentage points, so the preparation of cost control targets had been distorted from the beginning, then the cost of the implementation process for dynamic control has become empty; Furthermore, the cost of planned cost and statistical reports are prepared project estimator, cost accounting staff, accountants, etc. to complete, and actual construction management personnel involved is too small, for every completed work and Engineering resource consumption is almost no detailed logging, resulting in reports of serious distortion of project cost information.

The reason why the cost of dynamic control in these defects, the project manager is rooted in lack of awareness of enterprise scale, look for cost control surface to control the depth is not enough to control the cycle is too long, the lack of fixed operations in the enterprise Project Management consciousness can not be with the company's productivity level in the form of fixed accurately shown in the Bill of Quantities mode, the implementation of the "market price formation, corporate self-quotation 'is the internal development of market economy, the necessary requirement. of independent offer a basic requirement for cost estimation, cost estimation is not no self-quotation, the company estimates the fixed cost of the enterprise is a prerequisite for the Ministry of Construction on the <<construction project bidding and contract pricing management approach>> (the Ministry of Construction Decree 107 ) Article III provides that "building construction contracting and contract price in the government's macro regulation and control by the market competition in the formation." This guiding principle was close with the U.S. pricing model: namely, a large contractor based on actual data, published <<Construction cost of the project file>> (fixed, index, cost standards, etc.), and made available to the contractor as the basis for the tender offer. contractors according to their own operations and market conditions to offer, and then bid for the U.S. price is a free project market price, while the UK is issued by the Government of the contractor under standard Engineering calculation methods and a variety of regularly published price index, combined with the internal risk assessment standards and offer predictions, the United Kingdom there is no uniform scale.

In short, the business scale is the core of the project cost estimation, cost estimation of project cost control, accurate or not play a crucial role, not the real cost of the initial estimates, project cost control would be impossible, so the cost of the project dynamic control of the key issues are: the preparation pArt of the enterprise's own business fixed.


4 business fixed establishment

Business division of the fixed section 4.1 
Refer to fixed sections of local budgets, combined with the enterprise technology commonly used in construction, construction machinery, construction and other appropriate means to increase or decrease. The principle of division: must be suitable for the actual situation of the enterprise and fully reflects the characteristics of enterprise construction technology and management features This step is the key: In addition to the general public into a chapter, but also can list and manage their own enterprise level consistent with the special section, to be really dynamic for the project cost control services.

4.2 to determine the method of preparation of corporate fixed 
Statistical analysis, empirical estimates, comparison of analogy and calculation methods are commonly used fixed establishment in the preparation of the fixed attention to the following points: First, the relevant national, Industry and local scale study to find out the preparation of the fixed principles of corporate methods, including the content and the fixed level; Second, the relevant national, Industry and local labor quota, compared to a fixed budget, to determine the margin between the level, then the company has completed projects over the years the cost of data for statistical analysis and processing to determine the scale of each sub-sub-headings for corporate consumption level; three companies initially identified based on a fixed framework and content, comments and through repeated trial run to verify the level of the rational and scientific scale, time collected, and gradually form a fixed system and improve the content of fixed sub-headings.

4.3 labor, materials, machinery and consumption indicators to determine 
4.3.1 The criteria to determine the consumption of artificial 
(1) Determination of time from the time consumption of the basic research work began to study the man-hours consumed for the object, in order to observe the test as a means, through intensive sampling and extensive sampling techniques such as direct time study to determine the human consumption of, first determine the their actual and normal construction conditions, the construction process to determine the working hours of consumption of each process and then integrated the work process hours consumption. data on income and consumption and on-site work construction design criteria together for collation, analysis studies to obtain reliable , there are technology based on the basis of information which is a higher degree of accuracy, more scientific approach.

(2) experience in statistics. The use of statistical analysis of the principles of the past period of time the actual consumption of similar projects within the enterprise statistics (such as the construction of the mission statement, time sheets and other related information) and the original records, after finishing with the current changes in production technology, organizational conditions, analysis and study, obtained the required data. This approach includes regular standards and new technologies, new construction methods, new technology two surface layers, mainly for the actual determination of the Project site, on the work already done can be Reference settlement information will be collected from the various types of project-related consumption indicator data, the necessary mathematical statistical processing, when conditions permit, some of the key consumption indicators can be established mathematical model for dynamic control used for the cost of this method is relatively simple and easy line, prepared according to this method is close to the actual consumption of fixed consumption level, but need to gather a large number of project settlement information, the selected item to be representative, and to complete their data for enterprise scale businesses do not exist for This is a shortcut to the preparation of corporate fixed. Links to free download http://www.hi138.com 4.3.2 to determine the material consumption of the standard 
Consumption of conventional materials, according to the actual measured consumption and measured loss factors; on the use of new technology, new materials, material factors, can survey the content of other professional construction team as a standard until the completion of accounting profit and loss, to adjust content standards.

(1) observation through field visits to the construction site, construction technology, organization and product quality are in line with technical requirements, materials, variety type, quality meet the design requirements, operating the rational use of materials and workers to ensure product quality when measured per unit of product to complete the construction of a qualified process consumption of materials required in this method, the observation of objects selected must meet the following requirements: a typical building structure and construction meet the technical specifications, materials, variety and quality should meet the design requirements, workers should be measured to ensure the Economical use of materials and product quality.

Observation results, including the necessary material consumption and material consumption is inevitable, but only the necessary material consumption can be used in the preparation of the fixed and should be analyzed and collated to determine a more accurate material consumption.

(2) test method in the laboratory by specialized equipment to determine the material consumption of the measured data than the construction site, to be precise, this is because the laboratory conditions of work than the construction site equipment and good conditions, but for from the laboratory to obtain the data can not be directly used for the preparation of the fixed, because the actual construction site conditions and the laboratory still have some differences, so the data obtained with the combination of the conditions of the construction site, consider the impact of factors at the construction site.

(3) statistics. Means the part of the project materials, hair, feed back the number and the number of products and the company to complete work already done for statistical and historical material to the preparation of material consumption calculation method This method is relatively simple, no organization specifically measure or test, but this method relies on the company's historical data and construction in progress, therefore, the accuracy for common items may be higher for unusual items or changes in more projects, because sample data is limited, the accuracy level may be lower.

4.3.3 Consumption of standard-setting  Jixietaiban
Should first be separated is owned or leased machinery machinery in the construction machinery used to determine which method requires companies to measure historical data according to their own threshold, in practice can be adjusted according to specific circumstances. Jixietaiban given hour productivity consumption is measured based Jixietaiban First business machinery and equipment under actual and normal construction conditions at the construction site productivity determination of mechanical hours, according to hours of productivity and the utilization factor identified Jixietaiban consumption. individual projects due to mechanical and How different levels of access to large, can be adjusted after the determination, to supplement some missing items. This site is the determination of the fixed determination of our years of professional methods, techniques and easy, the application was fairly wide.

4.3.4 other costs to determine 
Construction organization and construction costs to determine the technical measures may refer to work already done to determine the threshold of historical data, and then set the scale of the project is fixed at a different coefficient, the use of macro-control and after the completion of plan targets a combination of accounting model the Project Management fees of the Department of determined by staffing salaries, insurance, office and hospitality sub-headings consume content determination. other taxes charged by local standard calculation.

4.3.5 Enterprises should pay attention to the problem fixed preparation 
Fixed as the enterprise's internal business information in the course of their preparation will be many from their own conditions and the tender requirements and the project site and the impact of natural environmental constraints.

(1) the impact of the project quality requirements, the quality of the different projects the requirements of consumption is not the same, the project department should be adjusted according to the requirements of the tender level of business fixed price, a real sense of dynamic control.

(2) the impact of the construction program.

Different programs and measures for the construction of artificial, mechanical configuration, entering the order, working hours, using the number of different requirements and other aspects, resulting in the same amount of work to complete the allocation of resources may have different requirements, different resources configuration may lead to the consumption of enterprise fixed changes in the corresponding part of the project department for the construction program under the project characteristics in a timely manner related to consumption of enterprise fixed make an adjustment, then the price and cost estimates.

(3) construction of their own conditions.

The gap between corporate level, staff quality gap, the gap between business machinery and equipment directly affect the management level, also affects the level of business fixed establishment, the impact to the enterprise fixed amount of consumption, these effects from the conditions of the business will be directly related to the to the enterprise level and scale of the preparation on the accuracy.

(4) the construction season, the environment and conditions.

Construction season, different requirements for different construction process, such as the construction of the winter in the north, we must consider the problem of frost insulation, concrete to add antifreeze, in-situ concrete structures outside to add straw bags, etc. to be considered during the construction of the rainy season from construction site pumping drainage problem. different environments and conditions of artificial construction, machinery, on-site security measures and allocation of resources have different requirements and therefore different construction company environment and conditions can also cause changes in the consumption of the corresponding part of the fixed Each project should be fully considered seasonal, environmental, construction conditions of the project cost.

(5) the impact of the project characteristics.

Building height, form the shape of the complex, the size of the project will produce different levels of consumption of the project offer these differences should be considered in the project cost impact on business fixed make timely adjustments to improve the work of the project cost estimates .

Preparation of corporate fixed from all sides to consider the impact of factors, each of these factors are likely to lead to changes in business fixed, consumption is fixed for the preparation of corporate services, so the change in consumption when the tender offer will cause changes in integrated unit But not every company will have all of the factors reflected in the scale, so fixed in the preparation of business should be set aside a certain space, to allow project managers to adjust at any time based on the actual impact of the consumption of enterprise fixed, so that projects can timely cost estimates and tender offer.


5 create a dynamic cost control information system

Dynamic Cost Management is an enterprise in a changing competitive environment, the cost of information transmission through the rapid and cost decision-making mechanisms to achieve the set business objectives and manage future business objectives, encourage enterprises to keep operating costs and risk costs, comparative advantage, strategic position relative increase of an innovative Cost Management system which requires the establishment of computer network systems.

(1) the establishment of the project department office local area network integration and corporate network systems. Internet era to today's society has brought great progress in promoting the role of the network has become an Economic development tool for building projects, should be abandoned The extensive management model to the fine management forward, the establishment of office automation network system is to improve the Project Management level, for effective ways and means necessary to present a construction company's basic network management can be deployed, but the project level , limited to general business management of the basic file download and transfer, and project cost control interface also remain in the data view, a lack of functional extension, should be developed for the enterprise project management software with those of business management software can organic convergence, business management and project management to achieve the integration of all management information to achieve the dynamic.

(2) budget software and enterprise scale implementation of shared libraries present a variety of budget estimate, the tender offer are to achieve the computerization, companies can take advantage of these budget estimate software will scale the enterprise database and software to share budget estimate, and set up a business their own labor, materials, mechanical systems real-time prices, the project department at any time of day to complete the project costing, compared with the cost of the project accounting, timely corrective, timely detection of problems, solve the problem, to achieve cost control truly dynamic.

(3) project management information network to achieve the project construction management records of daily construction logs, in addition to recording the progress of completion, quality and safety problems and accidents, inspection and acceptance, etc., but should be the daily amount and the actual completion of the project corresponding consumption of resources and accurate records and logs occur in the corporate LAN for the use of cost accounting personnel to address the cost of construction management personnel are not involved in the control of defects, so that the actual Engineering data collected is no longer distorted.

(4) with a full-time network data maintenance personnel, with full-scale amendments to corporate officers. Dynamic cost control lies in its timeliness, cost control is only required for a variety of data collection can be done in a timely manner, timely updates, timely amendment, in a timely manner by reduced, in order to ensure the realization of dynamic cost control, so full-time network data maintenance and enterprise scale revised staffing is necessary, these workers must understand the relevant technical knowledge.


6 Conclusion

Dynamic project cost control in the enterprise's internal management is an integrated systems Engineering, in order to achieve good results, we must grasp the system to implement the project way of thinking, in particular the establishment of enterprise scale, requires a lot of manpower and material as the basis, the preparation process of the seriousness and scientific, the whole preparation process can not ignore the problem, to do this task, the business leaders in command, at every level, layers of verification, a pragmatic manner and make every a part of the work, the first step, only the arduous labor, will be fruitful only way for companies to fierce competition in the market in an invincible position.


References
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[2] Sun Zhen, Luo Si pregnant. Discussion on how to implement the project cost control in-time [J]. Beijing Construction Engineering College, 2004,20 (6), 28 33.

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[4] from the training through. Project Management (2nd edition) [M]. Beijing: China Building Industry Press, 2003.

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