Abstract: As an important resource,the price of iron ore is determined by the market.Therefore,under certain conditions of price.If iron ore enterprises want to further improve their economic efficiency and enhance their competitiveness,they will mainly achieve it through cost reduction.This paper takes Baixiangshan Iron Mine as an example to realize the controllable cost control of Baixiangshan Iron Mine ore,mainly from technological innovation and production management.The methods to reduce costs mainly include:optimization of water prevention technology,adoption of safe and efficient mining technology,grading support,accurate filling of big data,research on automation technology,cost reduction of production management,cost reduction of financial revenue and expenditure management,reduction of technical management,and increase sporadic projects are selfemployed.Precise cost control system not only created huge economic benefits for the mine,but also provided reference for other mines with similar conditions.

Key words: Controllable cost, Technological innovation, Production management and cost reduction, Rich water iron mine