McVay, Gloria; Kennedy, Frances; Fullerton, Rosemary's Accounting in the Lean Enterprise : Providing Simple, PDF

By McVay, Gloria; Kennedy, Frances; Fullerton, Rosemary

ISBN-10: 1420088580

ISBN-13: 9781420088588

ISBN-10: 1420088599

ISBN-13: 9781420088595

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Extra resources for Accounting in the Lean Enterprise : Providing Simple, Practical, and Decision-Relevant Information

Example text

The assumption is often that since accounting has always been done this way, it must work. Further, accountants are generally risk averse and quite traditional in their approach, so they seldom look for new and creative reporting mechanisms. Thus, besides the general resistance to change that exists in all organizations, there is also a cultural barrier to overcome in the accounting field. In addition, accountants are not accustomed to significant interaction with operations people, so they may be uncomfortable in their expanded role as more of a strategic adviser than a bean counter.

Without strong leadership, your reorganization efforts are likely to fail. The same leaders who were capable department managers may not work as well in value stream leadership roles that require more broad and diversified approaches. It is also critical that your value stream leadership has a strong understanding of, commitment to, and training in the concepts of lean. Value stream leaders must be focused not only on customer value, but also on respecting their associates and enabling them to feel comfortable and confident in their new work environment.

Lean Enterprise Institute, Cambridge, MA. NUTS AND BOLTS OF LEAN ACCOUNTING II Chapter 3 Principles of Lean Accounting The impetus for this workbook was to discuss the need for an accounting system that is more relevant and supportive of a lean environment than the traditional costing systems used in the majority of firms today. This chapter will provide you with an overview of how that system may be formulated and implemented. While we recognize that every environment is different and there is no “one size fits all” model for everyone, there are certain principles that can be explained and followed in attempting to build a measurement system that provides more relevant and timely information to users of that information in lean environments.

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Accounting in the Lean Enterprise : Providing Simple, Practical, and Decision-Relevant Information by McVay, Gloria; Kennedy, Frances; Fullerton, Rosemary


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