I. Absolute Cost Control

Absolute cost control is a method of cost control that controls cost expenditures in an absolute amount. Standard cost and budget control is the main method of absolute cost control.

Two, relative cost control

Relative cost control refers to the enterprise in order to increase profits, to control costs from the relationship between production, cost and revenue to the method. On the one hand, it can understand the balance of income and cost under how much sales volume, on the other hand, it can know when the enterprise's sales volume reaches how much, the enterprise's profit is the highest.

So relative cost control is a more effective method, it is not only based on real-time field management ideas, but also from a forward-looking point of view, serving the management of the strategic development of enterprises to achieve cost control.

Three, comprehensive cost control

Comprehensive cost control refers to all costs incurred in all processes of production and operation of the enterprise, the whole process of cost formation, all employees within the enterprise to participate in cost control.

Enterprises should focus on the goal of wealth maximization, according to their specific realities and characteristics, the establishment of management information systems and cost control model, to determine the cost control methods, management priorities, organizational structure, management style, rewards and punishments combined with a comprehensive cost control system, the implementation of the comprehensive cost control system combining target management and scientific management.

Fourth, quota method

Quota method is to pre-established product quota cost as a standard, in the production costs, the production costs, in a timely manner, to provide the actual costs out of the quota of the difference between the amount of costs, so that managers can take timely measures to control the amount of production costs, and according to the quota and the difference between the amount of the actual cost of the product calculation of a method of costing and controlling.

Fifth, cost control instant

Cost control instant, is through the site construction management personnel every day before the end of the day to record the number of labor, materials, machinery and the number of completed projects, after the project manager or the shift personnel of the sampling qualified, through the computer software comparison and analysis of the cost of cost indicators whether or not to achieve the reasons for the cost of the cost of the management method.

Sixth, the standard cost method

Standard cost method is an important part of western management accounting. It refers to a product costing method based on the pre-established standard cost, comparing the standard cost with the actual cost, accounting and analyzing the cost difference, but also to strengthen the cost control, evaluation of economic performance of a cost control system.

VII, economic purchasing lot

Economic purchasing lot, it refers to a certain period of time under the condition of the total amount of goods constant, so that the total purchasing costs and storage costs minimize the purchasing lot.

Eight, quantitative profit analysis

The quantitative profit analysis is based on the development of cost analysis and variable cost method, the main study of cost, sales volume, price and profit between the quantitative relationship between the method. It is an important tool for business activities such as forecasting, decision-making, planning and control, and is a basic element of management accounting.

Nine, linear programming

Linear programming is an important quantitative method developed in World War II, linear programming method is a quantitative method commonly used in enterprises for total production planning. Linear programming is one of the most important branches of operations research, the most theoretically sound, the most widely used in practice. It is mainly used to study the optimal allocation of limited resources, that is, how to make the best deployment of limited resources and the most favorable use, in order to give full play to the effectiveness of resources to obtain the best economic benefits.

Tenth, the value engineering method

Value engineering, refers to the collective wisdom and organized activities on the product or service functional analysis, so that the goal of the lowest total cost (life cycle cost), the reliable realization of the necessary functions of the product or service, so as to improve the value of the product or service.

Eleven, cost planning

Cost planning is a popular cost management mode in Japanese enterprises, the essence of the cost of feed-forward control, which is different from the traditional cost feedback control, that is, to determine certain methods and steps, according to the actual results deviate from the target value of the situation and the external environment changes to take corresponding countermeasures, adjust the previous methods and steps, but for the future of the The target must be reached, according to which the current methods and steps to make flexible adjustments, and therefore is a kind of precursor and preventive control.

XII. Target Cost Method

"Target Cost Method" is a cost management method created by the Japanese manufacturing industry. The Target Cost Method determines the cost of a product based on a given competitive price to ensure that the expected profit is realized. This means first determining how much the customer will pay for the product/service, and then going back and designing the product/service and operational processes that will generate the desired level of profit.