Study on the Strategies of Target Cost Management in the Supply Chain of Aeronautic Complex Product

Aeronautic complex product development has a number of production subjects and a complicated developing procedure, which leads to difficulties in target cost decomposing and implementing. This paper studies on the transfer process of target cost in the supply chain of aeronautic complex product, as well as the barriers of target cost transmission, by analyzing the attributes of subjects joining the development process and their relation as well. Based on the analysis, the study develops strategies of target cost management in supply chain for the main manufacturer of aeronautic complex product. The results of this paper can provide guidance for improving cost management in China's aeronautic industry enterprises and units.