As we all know, increasing revenue and reducing expenditure is the key to improving the utilization rate of funds and resources, enhancing the competitiveness of enterprises, and promoting better and faster development. Strategic cost management is an effective method to reduce expenditure. The reason why we should implement strategic cost management strategies in resource recycling enterprises is mainly analyzed and studied from three aspects: strategic positioning, value chain, and cost drivers. From the perspective of strategic positioning, resource recycling enterprises in China are currently in an era of surging demand. However, compared to developed regions abroad, China’s technological level is relatively backward, making the development of new products more difficult and time-consuming. In addition, the raw materials for recycled products are on a continuous upward trend, and enterprises can only increase their profits by reducing product prices. Therefore, it is necessary for resource recycling enterprises to implement a leading strategy in order to achieve better and faster development.

From the perspective of the value chain, resource recycling enterprises are located in the middle of the entire industry value chain. Upstream involves resource recycling enterprises, while downstream involves manufacturing and processing enterprises, equipment manufacturing enterprises, and logistics enterprises. Therefore, it is necessary to implement strategic cost management strategies from their position in the industry value chain to cope with the new requirements and dynamics of the entire value chain; On the other hand, from the perspective of the internal value chain of enterprises, resource recycling enterprises involve multiple links from raw material recycling to product production, such as waste dismantling, application, sorting, recycling, and harmless treatment of copper and aluminum crushers. In order to achieve cooperation throughout the internal value chain, it is necessary to implement strategic cost strategies to achieve coordinated and unified management of enterprise operating costs and improve cost management performance. From the perspective of cost drivers, on the one hand, in order for resource recycling enterprises to continuously expand their own scale and optimize their industrial structure, they need to have channels to obtain more waste resources. That is to say, by increasing the possibility of obtaining waste resources, enterprises can reduce their production costs, improve competitiveness, and achieve the goal of expanding their scale and upgrading their industrial structure; On the other hand, from the perspective of the existing industrial structure of resource recycling enterprises, the level of automation is relatively low, and the comprehensive quality of personnel involved is also uneven. Therefore, from the two levels of cost drivers in enterprises, implementing strategic cost management within the enterprise can lay a solid foundation for improving production performance and increasing the enthusiasm of personnel involved. It can be seen that implementing strategic cost management in resource recycling enterprises is necessary.