System dynamics engineering cost management strategy from the perspective of supply chain management: an effective method to control the cost of construction projects
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Abstract
With the rapid development of the construction industry and the increasing market competition, the effectiveness of project cost management is becoming more and more important for the economic feasibility and sustainable development of the project. The purpose of this paper is to discuss the key measures to improve the level of project cost management from the perspective of supply chain management and system dynamics and put forward the strategies for effective cost control in all stages of construction projects. Firstly, the importance of scientific budgeting and optimal design in controlling the initial project cost is emphasized, and the long-term impact of the system dynamics model is analyzed. Secondly, the cost monitoring and management of the construction phase is discussed, with a focus on schedule control, material procurement, and site management, with the aim of using a system dynamics approach to predict cost changes to avoid budget overruns. In addition, rational planning of contract management and bidding processes is also seen as a key factor in controlling costs, and system dynamics can help evaluate the effectiveness of different strategies. Finally, it is suggested to improve the professional ability of project management personnel through team building and emphasize the role of system thinking in improving the overall level of project cost management. Through the implementation of these measures, it is expected to enhance the effectiveness of project cost management, achieve effective control of project costs, and promote the sustainable development of construction projects.
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