Poor cost management of company A

Abstract

Businesses always have to improve and build themselves constantly to stay competitive in the market. Competition in businesses especially requires continuous productivity improvement. For company A, the study analyzes to improve production and business results by focusing on cost management. Over the years, cost accounting has been a subject of widespread concern and discussion. Along with the continuous development of the business market, traditional cost accounting is gradually moving towards cost management. Outstanding results have been recorded in the operational efficiency of the application of cost management, businesses increasingly focus on building and perfecting this management. Company managers should have a clear understanding of the company's internal costs to make the right decisions about strategy and sustainable development goals. In addition, the company must examine and continually improve its internal processes to form the basis for sound decisions in order to gain and maintain a competitive advantage. Basically, management accounting provides necessary and important information to help the management team make decisions for the company's operations. By providing a wealth of quality financial information, analysis and statistics, cost management greatly assists managers. Because of the importance and internal resources of the company, effective cost management is one of the issues that need to be considered and perfected to improve the company's business results. A cost management system is complete if it is well built from the steps of planning, monitoring, evaluating and reflecting the actual costs incurred. The company's cost management also depends on many internal and objective factors outside the company. An well cost management process is influenced by company size, culture and level of technology development. The study explores the state of cost management in company A. In particular, with the facts at the company and academic studies, it can explain the limitations of company A's cost management. Solving and gradually overcoming those limitations would help company A achieve good performance.