Cost management should be based on the enterprise's business model, and cost management should be embedded in all areas, levels, and links of the business, so that cost management responsibilities are assigned to people, control is in place, assessment is strict, and goals are implemented.

Cost management should be compatible with the characteristics and goals of the enterprise's production and operation, especially with the enterprise's development strategy or competition strategy.

When applying relevant tools and methods for cost management, the benefits and costs it brings to the enterprise should be weighed to avoid the benefits being less than the cost of the investment.

Cost management should focus on projects that have a significant impact on costs, and projects that are not important can be appropriately simplified.

Based on existing conditions, on the basis of historical cost data, and based on possible changes in the future, cost management activities use scientific methods to describe and judge future cost levels and their development trends.

On the basis of cost forecasts and related cost data, comprehensive economic benefits, quality, efficiency and scale and other indicators, use qualitative and quantitative methods to analyze each cost plan and select the optimal plan for cost management activities.

Based on the operation plan and relevant cost data and information, according to the goals determined by the cost decision-making, through certain procedures and using certain methods, binding cost planning and management activities are carried out according to the production consumption and cost level of the enterprise during the planning period. .

According to predetermined goals, cost managers exert active influence or intervention on the cost occurrence and formation process and various factors that affect costs, and cost management activities to control actual costs within expected goals.

According to the cost accounting objects, in accordance with the unified national accounting system and enterprise management requirements, various expenditures actually incurred during the operation process are collected, distributed and carried forward according to the prescribed cost items, and the total costs and units of different cost accounting objects are obtained. Cost, cost management activities that provide cost information to relevant users.

Cost management activities use cost information and other relevant data provided by cost accounting to analyze changes in cost levels and composition, identify various factors that affect cost changes and their causes, and take effective measures to control costs.

Regularly summarize and evaluate the actual completion of the cost plan and its related indicators, and carry out corresponding rewards and penalties based on the assessment results and the implementation of the responsibility system to supervise and promote the company to strengthen the cost management responsibility system and improve the cost management level. management activities.