In a continuously growing competitive export market where the margins are depleting due to the * weakening and overheads increasing due to inflation and government regulations it is imperative to setup a cost control department whose scope of work is to reduce cost of running the factory. Its main function would be to closely examine all cost structures and come out with a plan to successfully and continuously reduce costs in each and every aspect. This project report is to explain in details all functions of this department, procedures it will follow to achieve these functions, reports it will generate be it on a daily, weekly, or monthly basis to keep a check on the overheads, the proposed reduction the department targets to achieve in its first year of operation and based on those proposals finally prove the viability and immediate need of such a department.
