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    Four Step Implementation Of Inventory Control

    2014/4/29 18:32:00 2

    Cost ControlExecutionFinancial Management

       1. reduce projects and tasks with unclear objectives.


    In the case of clear business objectives, each project and task is to achieve the goal of service. After the project is analyzed, the items and tasks with unclear objectives can be reduced.


       2. clear the various departments. Cost task


    Implement the method of "total staff cost management". The specific way is to calculate the ceiling of the cost first. Then the horizontal decomposition is carried out to all departments, vertically decomposed into groups and individuals, and linked to rewards and punishments, so that responsibilities, rights and interests are unified. Finally, a target cost management system is formed across the whole enterprise.


       Three cost accounting Meticulous management


    Without digital quantification, it is impossible to talk about thrift and control. Accompanying the cost control plan is a list of figures, including controllable costs (personnel, water and electricity, packaging, consumables, etc.) and uncontrollable costs (depreciation of fixed assets, raw materials procurement, interest, sales costs, etc.). Every month, every quarter is sent to the manager by the financial summary. The overspending and abnormal data are marked in red.


    In the concluding meeting at the end of the month, relevant departments need to explain the overspending part. In order for employees to develop cost awareness, it is best to establish the SOP manual for process and cost control.


    The manual proposes methods of cost control from raw materials, electricity, water, printing supplies, labor insurance supplies, telephone, office supplies, equipment and other consumables. Of course, effective incentives are also a good way to control costs, so cost control incentives also become part of staff salaries.


       4. "advance" and "extension" of cost management


    "Advance" means increasing technology investment and controlling. Procurement cost "Extension" is to integrate upstream and downstream. Today's market competition is strength competition, talent competition, product and service quality competition, and cost competition. In a sense, cost determines the competitiveness of an enterprise. Under the premise of ensuring the quality of products, reducing costs is an important way for enterprises to gradually expand their market share and is the basis for improving the economic benefits of enterprises.


    Enterprise managers should change the traditional narrow concept of cost, combine the actual situation of enterprises, and make full use of modern advanced cost control methods to enhance the competitiveness of enterprises and meet the challenges of all parties.

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