Monthly Archives: July 2013

Lean Accounting and Traditional Accounting Compared Part 10 – DATA GATHERING – WHY ARE OUR PROCESSES OUT OF CONTROL?

While traditional companies usually rely on an ERP/MRP system to create a semblance of control within their organization, lean companies focus on first understanding the causes of the chaos and then using continuous improvement to eliminate the reasons for the … Continue reading

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Standard Costing Debunked – Part 2

For all you standard costing folks out there – let’s start with a heretical proposition Now that we’ve got that off our chest, and (at the risk of mixing metaphors) have shed a millstone from around our neck, the way … Continue reading

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Lean Accounting and Traditional Accounting Compared Part 9 – DECISION MAKING WITH THE BOX SCORE

You cannot use standard costs for any kind of decision-making. And yet …..  most companies do. If we are going to make important decisions – like quoting orders, make/buy, capital purchases – we must have clear, correct, and comprehensive information. … Continue reading

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