Construction on the construction project cost control and management of

Abstract: With the construction market competition intensifies, more and more lower priced works, how to improve the construction project cost control of construction enterprise project management is currently the subject of further Research. To this end, the author on the current project construction enterprises cost control, a comprehensive analysis, and how to effectively carry out a detailed exposition of cost control.

Keywords: construction project; construction project; cost control

Introduction
Construction project cost control, project cost means the cost of the occurrence and formation in the process, consumed in production and management of human resources, material resources and cost guidance, supervision, regulation and restrictions, in a timely manner to prevent, detect and correct deviations to the cost of the project cost control within the intended target in order to achieve the guaranteed production and operation benefits.

1, the current project cost control of construction enterprises
1.1 The current cost of the project and the reasons for the problem
Transformation of the current project, after implementation of the project the Department implemented a "lump sum fee of five", "hundred lump sum value of wage levels," and "contracting indicators upside down" and other forms of economic contract responsibility system management, project department of production and the quality of the construction and have taken great strides. Some Zhigu production tasks, cost consciousness, the cost of management as optional. nearly two years to upgrade standards in the grasp Project Department, the Department of Enterprise assessment targets the project, are key on the production task is completed, the objectively facilitated this behavior.

1.2 Causes of loss of the project department
Project Department, as a direct producer of building products, both under contract and construction drawings, specifications, construction of the power of self-organization, namely, the arrangement of the construction organization, deployment of personnel, materials, some of the equipment procurement, storage, use, consumption, security quality management has a certain autonomy; but also by the contracting units, design units, enterprises and other units of construction-related impacts and constraints. In addition, the geology and climate change, design changes and other objective factors also Ministry of Construction on the project have a significant impact, and all the above factors will affect the costs to the project department.

1.2.1 subjective reasons why the cost of out of control
The so-called subjective reason is that the project department at the discretion and without any external influence to control the costs to factors such as the Ministry for the project described above has a construction cost of ownership occurred. Mainly include the following aspects:
�� did not strictly enforce the general objective of cost control or no overall objective of cost control. Most of the losses of the project department, there is no overall objective of cost control. Although some but not strictly enforced, and therefore the cost of the project department out of control.

�� materials, parts planning, procurement, inspection, storage, a library, consumption of the system is not perfect. In the loss of the project, by the purchase of materials, accessories unplanned signs are everywhere, the number of purchases is the project manager or even the whole material member, the result will inevitably lead to the backlog of materials, cost overruns. In addition, as the project department is relatively reasonable price is difficult to grasp the information, not calculating the cost of capital procurement of materials, so that the project department of a large number of expensive materials to buy. Some projects do not receive system of the Ministry of , no acceptance of purchased materials, but no real account, so it would not be kept and a library. In particular, aggregate, bricks, tiles and other flooring, and some projects from beginning to end without a special department of the Ministry managed to purchase on behalf of the consumption ; serious use of false documents or invoices for reimbursement. Project Department is not made according to fixed material, how many to the number of construction workers, resulting in waste of material is not prone to throw at the site, the site's staff is to be sold secretly, many of the waste can be recycled more unattended.

�� contracting measures are not. Project team within the Ministry of contract do not have the necessary management measures, the implementation of post-contract full of loopholes, resulting in cost overruns. For example, some contracting program provides for completion of the task made much the wages, but the consumption of materials and equipment use, maintenance, does not explicitly require, the formation of contracting not-included, the package does not include loss of profit, some contracting programs, though reasonable, but pricing is not timely, or can not be fulfilled by contracting programs, the contract can not continue.

�� vulnerable sub-projects. Project sub-team of the Ministry of Labor, the contractor does not include materials, resulting in more call for projects; or sub-project price is unreasonable; or extensive use of sub-teams, leading to super funds, sub-debt team phenomena continue to occur; or more external units affiliated to, cause all of the rehabilitation costs of all projects by the Ministry of commitment to be affiliated.

�� serious quality problems. Loss-making project department, almost all serious quality problems exist, resulting in rework, repair, start all over again the phenomenon of repetitive construction, increasing the cost of the project. For example, in bridge construction, there sinking foundation, pier skew and so on.

Links to Research Papers Download http://www.hi138.com �� construction equipment utilization is not high. Some of the projects undertaken by the Ministry of uncertainty about the project, to ensure uninterrupted construction, purchase or blindly transferred from a large number of other projects equipment, spare, and even some of the items purchased do not need the equipment to cause the device to the long-term disabled.

�� implementation arrangements reasonable. In the construction process, the project department can not reasonably allocate human, material, equipment and other resources, leading to slowdown waste; part of the process of the implementation arrangements is unreasonable, that one step, the actual conduct of the second, third to complete, resulting in rework and so on.

�� more accidents. In the loss of the project department, most occurred during the project department with different degree of security incidents, minor injuries affect their work, not only affects the injured employee to work, they need to expenses for medical expenses, but can also make people's physique and skills decline, reducing the ability to work and labor efficiency; fatal accident not only caused huge pension costs, increased direct costs, and may also affect their mood, reduce production efficiency.

1.2.2 objective factors to increase the total cost of the project department is one aspect of
The so-called objective factors, the project is beyond the control of the Ministry's own inevitable and must occur or things or phenomena, such as contracting units, design units, and enterprises in terms of the contract the Ministry of Construction on the project outside of the relevant instructions issued, geological and climate change , design changes and so on. because of the emergence of these factors, the cost of spending is not controlled by the Ministry of the objective the project costs.

1.3 Measures to curb loss of the project department
In order to curb the formation of various reasons the project losses, according to the requirements of specific responsibilities, the project cost control in the Department of the Ministry should be able to project cost control on the respective measures of the Ministry to control the cost of the project, carried out by the project department control; and the project costs beyond the control of the Ministry or losses, should take measures to control by the enterprise.

2, how to effectively control costs
2.1 split the project cost, optimize project resource allocation
Projects directly related to the cost of resource allocation control method and extent of the current construction of many large state-owned holding companies, is basically a sub-project costs constitute the costs and the cost of the construction team, and the corporate control of the main economic source is the sub- cost, the cost of the construction team is often difficult to create economic benefits. the composition of the ratios between the two, how to divide the cost of the project, which is related key issues of cost control.

2.2 The development of cost plans, the implementation of dynamic control cost
Costs and liabilities in the completion of sub-division and initially set the cost of the two costs, the total cost to develop a plan, the total cost of the scheme and responsibilities than cover the costs of subcontracting costs, but also consider funding the project site, the higher management fees, tax and other factors. The total cost of the scheme is divided into two parts:
�� item is not controllable costs: refers to taxes, higher management fees can not be subjective control of the project management part;
�� Project controllable cost: The total cost of the scheme in addition to all other costs are not controllable costs, such as subcontracting costs, liability costs, field expenses.

Controllable costs are the focus of cost control, cost control program is started before the project construction time, construction conditions, construction design developed on the basis, with the progress of the works will inevitably occur, such as the construction program improvement, engineering change , and wood prices and other factors change, so timely for the cost of the scheme to be adjusted to ensure the cost plan guidance and control, while the adjustment of pay attention to changes in various factors impact the original cost of the degree program. In this stage, the construction technology department to give full play to the initiative, according to changes in construction conditions optimize the construction program, to further reduce construction costs.

2.3 The cost analysis to improve the level of cost management
After construction is completed, the total cost according to plan and control the cost of planning and the actual cost of the final comparative analysis, cost analysis, charts and other means can be used, not only compared the total cost, but also the cost of the analysis process, and process- analysis of the main draw processes increase or decrease the cost of the reasons.

�� First, analyze the conditions for construction, construction programs, changes in material prices due to price changes in processes, while collecting the introduction of new technologies, new processes, new materials, processes cost data;
�� Second, the subjective comparison process to determine the cost of part of the unit price obtained for the development of methods of unreasonable high or low due to the process unit, while the accumulation of written information for future plans to develop similar projects the cost of use;
�� subcontractors to collect information and evaluate sub-contractors, preparation <<qualified subcontractor list>> for future similar projects to select subcontractors and the cost of developing the use of subcontracting;
�� subcontracting costs and liability costs aggregated data, after analysis of screening for companies bidding for reference.

3, Conclusion
Construction project cost control is a complex system engineering. Need flexibility in the application, the actual operation should be adapted to local conditions, different size of the project, different construction companies, there are differences between different management systems, but in any case are the construction enterprises consumed in production and management of human resources, material resources and cost guidance, supervision, regulation and restrictions. And as there are only deepening the reform of the financial management system, highlighting the centrality of cost management, further strengthening cost management, strict cost rejected , the implementation of full, the whole process, a full range of cost control in order to continuously adapt to market competition situation, overcome adversity, to achieve cost control objectives.

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