"Lean Accounting supports the principle of eliminating waste and streamlining the business processes to create maximum value.
So lean management accounting metrics is all about breaking away from traditional cost accounting cost objects like product or job and is driven by a new cost object 'Value Stream'.
As part of lean accounting exercise, we define the scope of value stream cost object and map the business process activities to this cost object.
Lean accounting helps organisations going through lean transformation to develop their management accounting systems to support the lean philosophy. Traditional accounting systems (particularly standard costing) result in decisions which are anti-lean."
About The Author: Ade Asefeso MCIPS MBA Ade has packed a lot into his career over the years with a long spell working at senior level within various manufacturing companies in the UK. He can be described as international diplomat due to his work across the globe. Ade spent a lot of his time representing various companies either at supply chain level, operational level, sales and marketing level, and senior executive level across Asia, North America, Africa, Eastern and Western Europe. Ade is currently the CEO of AA Global Sourcing Ltd. A company that helps local businesses outsource so that they can enjoy the benefits that used to be enjoyed by big corporations for years. All this still doesn’t make mention of Ade’s increasingly successful career as an author, of numerous books on Finance, Business Ideas, Personal Development, Self help, CEO Guide to Doing Business, Outsourcing, Lean IT, Lean Manufacturing, Agile and Lean Office, Lean Office, Six Sigma, Six Sigma Healthcare, Six Sigma marketing, Six Sigma Service, Lean Startup, Lean Procurement, Lean Implementation, 5S for Supervisors, 5S Home, Lean Handbook, Lean marketing, Lean Sales and marketing, Lean Accounting, Lean Management, Lean Healthcare, 5S for Healthcare, Green Manufacturing, Supply Chain Management, Real estate, Balanced Scorecard Non Executive Director, CEO Tools and Online Marketing. In his spare time, although it’s amazing to think that he might have some, Ade does keep fit.