Lean Management Accounting - Clear, actionable business reporting for Lean decision-makers

Overview

“This is the best workshop I have attended in my 12 years as an accounting professional.”
Scott Juengel, Plant Controller,
Michelin Tire Corporation

See what attendees had to say about our last LMA workshop.

A two-day workshop for finance teams and senior management on the critical need to align accounting practices with your Lean journey – and restore clarity to financial reporting.

Ideal Attendees

Business teams that include:

CFOs, Controllers, Plant Accountants and Corporate Accountants Lean Leaders COOs, General Managers and Plant Managers
Chief Financial Officer/Vice President of Finance
Controllers and Finance/Accounting managers
Vice President of Operations

**Your experience will be most effective if your company
sends a team including a mix of the above.**

Key Learning

“Traditional standard cost absorption accounting systems lead people in the opposite direction of where Lean management intends to go.”
Art Byrne, Operating Partner of JW Childs Associates and Former Chairman, President and CEO
The Wiremold Company

In this workshop, you and your team members will:

Describe the key elements of lean accounting
Understand the changed role of accounting in a lean organization
Describe the risks of standard cost systems to a lean transformation
Describe lean financial statements that do not violate GAAP
Understand the principles of a Lean Measurement System
Define steps to launch a lean accounting initiative
Recommend initial processes to launch kaizen for accounting operations
Participate in a simulation highlighting the impact of
one-piece flow on financial statements

The Long-Term Payoff

Financial statements in plain English – available at the end of the month, not weeks later
Clear, accurate pictures of Lean improvement and overall business performance
Information that can be easily understood and acted on by business managers with no accounting background
Faster, simpler and more customer-focused accounting processes
Finance teams that efficiently support the growing Lean business as full partners in Lean change

How Do You Measure Improvement?

Standard accounting measures can slow down or block dramatic Lean improvement. Lean Management Accounting offers alternatives and solutions that will put your accounting on track with your Lean journey.


Measure	Behavior	Results
Purchase-price variance	Negotiate price based on quantity discounts	Excess inventory & costs; best supplier may be overlooked
Machine utilization	Machines run excess product to maximize utilization ratio	Excess inventory; wrong inventory
Set-up time built into standard cost	Encourages high run quantities	Excess inventory
Scrap factors built into standard cost	No action if no variance	Inflated standard; scrap allowed to exist
Standard cost overhead assumption	Overproduce to avoid unfavorable variance	Excess inventory; wrong inventory
Direct/indirect labor ratio	Encourages inaccurate labor reporting	Total costs not in control; lack of integrity

Your Instructors
	Orest Fiume is the retired vice president of finance and administration and director of The Wiremold Company, which gained international recognition as a leader in Lean business management. Orry led Wiremold's conversion to Lean management accounting when the company implemented Lean in 1991.
	Jean Cunningham founded Jean Cunningham Consulting, based on her experience as chief financial officer of Lantech, the company where she lead the lean efforts in accounting and information systems. She continues to coach companies who desire support during their lean transformation.
	Orry and Jean are co-authors of Real Numbers, Management Accounting in a Lean Organization, published in 2003 by Managing Times Press. In 2004, Real Numbers was awarded the Shingo Prize, an honor which Business Week had described as the "Nobel Prize of Manufacturing."

Unconditional Guarantee

If, for any reason, you are not satisfied with this workshop, we will refund 100% of your fee.