What Is Lean Accounting?
Lean accounting is the application of lean thinking to accounting. It has two practice areas: providing lean companies with the information they need to make better decisions and continuously improving accounting's own processes.
Lean Management Accounting
Lean management accounting is a management accounting system aligned with lean thinking and lean operating practices. It gives users relevant and reliable information to make better business decisions and connects lean strategy with lean operations.
Benefits
- Relevant and reliable lean-based operational and financial information for analysis and decision making
- One common tool, the Box Score, that connects all decision makers and drives lean financial thinking
- Visibility into how improved operating and capacity performance turns into financial results
- Understand the true cause-effect relationships between lean operating performance and financial performance
- Less waste in management accounting, allowing accounting to perform more value-added analyses
The Continuous Improvement System for Accounting
The Continuous Improvement System for Accounting is a system of practices, built on PDCA, that helps accounting teams control their processes every day and methodically eliminate waste.
Benefits
- 3-level problem solving system to prevent small problems from becoming large problems
- Reduce the overwork, overburden and frustration on the accounting team
- Better service to accounting's customers
- Improve productivity
- Manage costs
- Create a psychologically safe environment for problem solving
- Higher team morale, as people solve problems and make their own work better