Lean Accounting for the Lean Enterprise
Two Day Intensive Lean Learning Course
Learn Why Accounting and Operations Must Become Allies for a Successful Lean Journey
The operational strategy most effective in achieving world-class performance is Lean. Unfortunately, accounting can be an obstacle to the Lean journey as traditional performance metrics are not aligned with nor promote Lean behavior.
Operation's professionals achieve great gains on the production floor but are surprised when there is little evidence of improved operating results. Manufacturing must understand why improving flow, reducing inventory, improving customer service and creating capacity will potentially lower earnings. Manufacturing must be able to explain this, in advance, so accounting is not surprised when quarterly results are prepared.
Accounting and manufacturing must work together to develop new metrics and "plain English" financial reporting. This class will illustrate the changes required based on 30 years of leading such changes.
Key LearningsParticipants will learn the following key items via lecture, multiple workshops and video instruction
- Why shop floor improvements will likely be invisible to accounting
- Why current metrics will not illustrate Lean improvements
- What manufacturing practitioners can do to create an alliance with accounting
- Why your company's cost system likely promotes non-Lean behavior
- How to value inventory in a Lean environment
- How to calculate costs without a standard cost system
- How to construct "plain English" profit & loss statements that all associates can truly understand
- How Lean tools eliminate waste and transactions in accounting and free up accountants to be strategists and consultants to the value streams
Who Should AttendThis course will benefit all areas of a company as the entire team needs to understand the scorecard of the business and how to motivate Lean behavior. While accounting professionals will gain a great deal, it is strongly encouraged that manufacturing, product development and continuous improvement associates come as a team in order to build a plan going forward that makes sense for the entire company, both the providers of information and the critical uses of that information.
- Plant Managers
- Mfg. Engineers
- CI Professionals
- VP's & Directors of Finance, Operations & Supply Chain
- Product Dev. Engineers
- HR Leaders
About the instructor
Jerry has over 35 years of experience working in a variety of industries where he has held the CFO & Vice President of Operations positions. He led Lean transformations achieving dramatic improvements in inventory turns, lead-times, customer service, income and cash flow. He has authored 3 Lean books, two of which won the prestigious Shingo Award: Who's Counting? and Accounting for World Class Operations as well as Leading Lean. He was the Maryland Lean Leader of the Year in 2013. He is a founding thought leader and subject matter expert in Lean Accounting and has been teaching Lean Accounting for the last decade. Jerry is a board member of the Maryland World Class Consortia, a Shingo Prize Research Board Examiner and a frequent speaker at industry conferences.
- Introduction to Lean
- Lean success stories across industries
- Lean workshop including preparation of financial statements, both traditional & "Plain English"
- Lean tools primer
- Challenges & pitfalls of traditional cost accounting
- Lean Accounting and Accounting for Lean
- Value Stream Costing
- "Plain English" P & L's
- Video & summary of day
- Value stream formation & challenges
- Financial impact of a successful Lean conversion
- Case study of a Lean Accounting conversion
- Lean budgeting & rolling forecasts
- Organizational & cultural impact of Lean
- Administrative Lean - HR
- Cultural impact - Video
- Impact of Lean on public company financials
- Box scores
- Accounts payable kaizen
- Road map for transition
- Course wrap-up
Each attendee will receive a binder with all slides and a copy of the Shingo award winning book, Who's Counting?
Tai Boos; 334.844.3890; firstname.lastname@example.org