on-the-strategic-cost-management-goal-of-the-enterprise企业的战略成本管理目标--外文翻译.doc

On the Strategic Cost Management Goal of the Enterprise
YahuXu
Abstract:
Strategic cost management goal of the enterprise is a kind of basic element for strategic cost management of the enterprise. It plays an important part in many ways to establish strategic cost management goal. Strategic cost management goal of enterprise can be classified by different multi-standards. Enterprise strategic cost management goal is of characteristic with the basic features such as forward looking, effectiveness, innovation and consistency. Basic principle of establishing enterprise strategic cost management goal includes both principles of comprehensive consideration and optimization.
Key words: strategic cost management goal classification of strategic cost management goal basic features of strategic cost management goal
1. Conception of Enterprise Strategic Cost Management Goal and its Function
Since the World War II, the great change has happened on the environment of the enterprise, such as economic globalization, rapid enlargement of the enterprise's scope, fierce market competition, the difficulties of the enterprise operation incessantly increasing, the compete of enterprise sic-tech field brought by rapid development of science-technology furious with the day passing by. In order to adapt effectively variable environment, making the enterprise obtain long-term development, the enterprise ought to determine the cost in the environment, make a proper establishment on long-term strategic development planning and organize the implement of strategic. The enterprise only attaches importance to strategic cost management.so as to be able to survive and develop in complex-changeful environment. Enterprise strategic cost management consists of the basic elements including subject, object, goal and method of strategic cost management and so on. In order to promote the development of strategic cost management theory and instruct the activity of strategic cost management, it is necessary to make a special research on the basic element of strategic cost management. What te paper will research one of the basic elements of strategic cost management strategic cost management goal.

The enterprise strategic cost management goal is that the enterprise analyzes advantage and disadvantage factor of exterior-interior environment that the enterprise locates in, carrying out cost management result required to reach in more long term and determined by enterprise mission and general strategic goal. The enterprise strategic cost management goal is subordinate to general strategic goal of the enterprise. General goal of the enterprise strategic can reflect the enterprise' perspective and requirement of the mission, crystallize the mission of the enterprise. Strategic cost management goal never stands apart from the mission of the enterprise and strategic general goal to exist independently. Strategic cost goal, which is guided and determined by the basic idea of the enterprise strategic cost management, includes the both goals of strategic cost management that can adapt and drive the exterior environment of the enterprise (especially adapt and drive strategic cost management goal of exterior market environment) as well as training and improving the enterprise core competitiveness. The cost amount determined by strategic cost management goal and required to invest in long term is the best-cost investment amount. The best-cost investment amount is a kind of relatively lower investment that the enterprise can obtain certain economic efficiency and social efficiency, and make the development in continuance and stability. In processing of production and management of the enterprise, the enterprise is in the hope that certain investment can bring more benefit. In relative mode between investment and benefit, once benefit being definitive, if investment amount has somewhat reduced, the enterprise can obtain relatively more benefit. Increasing cost for certain benefit and reducing cost in certain benefit is the basic requirement of strategic cost management. The enterprise strategic cost management goal possesses the following functions:
(1) Oriented function. Strategic cost management goal shows clearly the orientation for the enterprise establishing and implementing cost strategic. It can reduce blindness in long-term cost management work and prevent short-term action happening in cost management work to make clear strategic cost management goal.
(2) Prompting function. Strategic cost management goal is a kind of internal driving force of cost management in the enterprise cost strategic. The enterprise is according as strategic cost management goal, estimating the establishment of cost strategic and implementer condition, evaluating achievements of managers in strategic cost management. The enterprise makes use of strategic cost management goal to prompt managers to go in strategic cost management actively and forwardly so as to improve administrative performance.
(3) Constraint function. Managers on strategic cost management in the enterprise various arrangement only can carry out managerial work under fixed circle of strategic cost management goal, not get away from the goal optionally to go in for cost strategic management.
(4) Cohesion function. Strategic cost management goal possesses the both functions of unifying and assorting with enterprise strategic cost management work and gathering management force of the enterprise in every direction.
(5) Regulation function. According to strategic cost management goal, regulate unified manpower, financial resources and material resources and information in the enterprise from long-term consideration, make limited conditions produce the best combination effect meeting strategic cost management goal requirements after regulation. In fact, optimizing relevant conditions are in fact to optimize investment cost.

2. Classification of the Enterprise Strategic Cost Management Goal
The enterprise strategic cost management goal is classified by different standards:
(1) According to strategic cost management goal covering with the time in years, strategic cost management goal is divided into long term, middle term and short term. Long-term strategic cost management goal is the kind goal that can decide cost management result of the enterprise above 3-5 years, short-term strategic cost management goal for cost management result in one year; the time of middle-term strategic cost management goal deciding cost management result of the enterprise is sandwiched with long-term goal and short-term goal, viz. in 3-5 years. That is decided to be short-term goal for in 3-5 years goal. Middle-short term goal is classified in subdivision for long-term goal, being the goal required to realize under control of long-term goal. Out of consideration for the both links of establishment and implement of cost strategic management, long-term goal and short-term goal are all goals establishing and implementing strategic; long-term goal for establishment and implement of long-term cost strategic; middle-short term goal for establishment and implement of middle-short term cost strategic. It is improper to only consider short-term goal to be strategic implement goal, but long-term goal not to be strategic implement goal. The realization of long-term goal depends on the realization of some short-term goals. Therefore, in strategic cost management, it is especially important to do the work of strategic cost management goal according to the time decomposition well.
(2) According to the different arrangement of strategic cost managers, strategic cost management goal is divided into four strategic cost management goals of stockholders' conference, directorate, general manager and functional department. Here four strategic cost management goals include the goals of strategic establishment and implement. Strategic cost management goal of stockholders' conference is determined by the function of stockholders' conference, fallen down the enterprise strategic cost management goal relating with deciding the enterprise' important operation-guideline and investment project. Directorate strategic cost management goal is a kind of strategic cost management goal that is determined according to stockholders' conference strategic cost management goal, in the charge of the tiptop management of the enterprise. General strategic cost management goal is a kind of strategic cost management goal which keeps unification with operating strategic management, in te charge of general manager, under overall strategic cost management goal of stockholders' conference and directorate, belonging to concretion of overall strategic cost management goal. Functional department strategic cost management goal is determined under general manager strategic cost management goal, of characteristic with detailed index and practical operationally. In strategic cost management, it should be attached to make good coordination among four-arrangement goals. General considering, summit strategic cot management goal is long-term planning goal, and basic goal is short-term implement goal. In fact, summit strategic management goal also includes long-term goal and short-term goal that just like basic goal. Summit strategic cost management goal is only long-term planning goal, but with short-term implement goal; basic goal is only short-term implement goal, but without long-term planning goal. Fred R. David (2001) considered, "Each level of the enterprise, including company, branch and functional department, should have its own long-term goal. Long-term goal is the important standard evaluating administrative achievements". The difference between summit goal and basic goal in time is te different whole span of time. The whole span of time of summit goal is above 3-5 years. One annual meeting is held by stockholders' conference in a year, checking the realization of annual goal. Span of time of basic goal is in 3-5 years. Basic strategic cost managers check the realization of annual goal annually.
(3) According to economic contents involved in strategic cost management, strategic cost management goal is divided into several kinds of strategic cost management goal that is related with multiple economic activities. Related with basic idea of the enterprise strategic cost management, two kinds of strategic cost management goals classified by economic contents are: ㏒trategic cost management goal adapting and driving exterior environment of the enterprise. Include exactly some strategic cost management goals related with general development direction of the enterprise, the important management policy, the mission of the enterprise, stability of the enterprise and sustainable development, as well as some strategic cost management goals related with overall development strategic, stability strategic and constrictive strategic, related with basic competitive strategic of the enterprise and competitive strategic in new-building enterprise, mature industry or declining property, and related with functional department of the enterprise. Here goals are the kind of extraversion goals determined according to exterior environment of the enterprise. 〤ultivate and improve strategic cost management goal of enterprise core competition. Core competition of the enterprise is core capability of the enterprise, which is formed in the enterprise interior, can make the enterprise obtain long-term competitive advantage, and exceeds the scale of basic capability. Include in detail some strategic cost management goals related with production management, enterprise management, arrangement of enterprise resource (no including enterprise culture), propulsion of enterprise culture, cultivation and improvement on the proprietor and the operator and so on. It is the kind of introversion strategic cost management goal according to interior environment of the enterprise to cultivate and improve core competition of the enterprise.
3. Basic Features of Enterprise Strategic Cost Management Goal
Basic Feature of enterprise strategic cost management goal is of characteristic with forward looking, effectiveness, innovation and consistency.
3.1 Forward Looking
Strategic cost management goal of the enterprise is a kind of advance design that is made by strategic cost managers according to analyzing deeply and completely interior and exterior environment of the enterprise, estimating in advance cost management results in future period, and sketching and revelation in future cost level and developing trend from strategic cost managers in abstractor.
3.2 Effectiveness
Strategic cost management goal is a kind of cost management goal in certain scale of the time, not permanent goal. The goal possibly changes with the time processing. In future for long time, interior-exterior environment of the enterprise changing, strategic cost management goal will also change naturally. Effectiveness of strategic cost management goal is limited by final accomplishment of strategic cost management goal. The effectiveness of the goal is different according to the different strategic cost management levels. The effectiveness of summit strategic cost management goal is longer than that of basic strategic cost management goal. "The span of the time is longer, the more indistinct strategic management level is". Once the effectiveness of goal is determined, the managers will have the sense of impendence for accomplishing their duty. Determination on the goal with effectiveness can also decide relevant stability for the goal in certain the scope of the time. But then, when strategic cost management is carried out, the management of strategic cost goal should be put apart certain flexibility to adapt the changeable environment.
3.3 Innovation
As a whole, strategic cost management goal is new-brand with higher requirements and innovation for the enterprise. What strategic cost management goal reflects is the expectation and the new result of the enterprise future cost level and developing trend, which is a kind of foregone conclusion for innovative thought method application. The goal with innovation will be propitious to inspire cost managers to strive for new goal.
3.4 Consistency
The enterprise strategic cost management goal and the general strategic goal of the enterprise are consistent in management direction. This consistency decides that strategic cost management goal is subordinate to general strategic goal of the enterprise. The enterprise strategic cost management goal is consistent in management direction of each arrangement, which decides uniformity managers in all arrangement strategic cost management.
4. Basic Principle of Establishing Enterprise Strategic Cost Management Goal
Establishment of enterprise strategic cost management goal should fall into step by the following basic principles:
(1) The princip