On Cost Control Management of Engineering Project Based on Earned Value Method

Based on the importance of cost control in the process of construction project, this paper discusses the cost control principles from the four aspects of increasing revenue and reducing expenditures, comprehensive control, goal management and combination of responsibility and rights, and introduces the concept of earned value method and the three basic parameters of budgeted cost of work scheduled, budgeted cost of work performed and actual cost of work performed, and the four variance analysis indexes of schedule variance,cost variance, schedule performance index and cost performance index, and verifies the application of earned value management in cost management of construction project by case analysis.