The Lean CFO : Architect of the Lean Management Accounting System.

Format:

Book

Author/Creator:

Katko, Nicholas S.

Language:

English

Subjects (All):

Cost control.

Chief financial officers.

Physical Description:

1 online resource (184 p.) ill

Edition:

2nd ed.

Second edition.

Place of Publication:

Milton : Productivity Press, 2023.

Summary:

This book is not about debits, credits, or accounting theory. It's about how a chief financial officer (CFO) becomes a Lean CFO to lead the transformation of a company's management accounting system into a lean management accounting system. It's been well established in lean companies that traditional management accounting systems do not provide relevant and reliable information to decision makers. The CFO, as steward of a company's management accounting system, must provide the leadership to improve the quality of the information produced by a company's management accounting system so it is aligned with a company's lean strategy, lean operations, and continuous improvement. The integration of a lean management accounting system with a company's lean strategy will lead to improved decision making by all users and drive long-term financial success. Lean management accounting helps all users, from executives to line managers, better understand the relationships between lean operating performance and financial performance. Written in the style of a practice guide, The Lean CFO is written not just for CFOs, but for all stakeholders of a company's management accounting system, such as executives and owners, lean leaders, functional managers, and accounting professionals.

Contents:

Cover

Half Title

Title Page

Copyright Page

Table of Contents

Preface to the Second Edition

About the Author

1 The Lean Management Accounting System

2 Leading a Lean Management Accounting Transformation

Become the Role Model

Integrate Lean Management Accounting Into the Lean Strategy

Use Lean Practices as the Foundation for the Transformation

Customer Value

Continuous Improvement

Use PDCA

Focus On Thinking

Start With Pilots

Wrap Up: You Are the Head Coach

3 Lean Is the Strategy

Introduction

Lean Is the Strategy

Customer Value

A Lean Strategy Is Principle-Based

Value Stream Organization

Continuous Improvement = People Solving Problems

No Standard

Troubleshooting

Gap From Standard

Improving the Standard

Lean Operating Practices

The Economics of Lean

Wrap Up

4 Lean Performance Measurements

Lean Performance Measurement Cycles

What to Measure

Daily Or Cell Lean Performance Measurements

Schedule Attainment

Quality

Cost

Flow

Safety

Respect for People

Weekly Or Value Stream Lean Performance Measurements

Delivery

Lead Time

Flow

Productivity

Safety and Respect for People

Monthly Or Company Lean Performance Measurements

The Linkage Chart Process

Develop the Linkage Chart

Pilot the Measurements

Review and Adjust the Measurements

Linkage Chart Development Plan

Lean Performance Measurements

5 Measuring Capacity

Time Is Money

Types of Activities

Value Added Activities

Non-Value Added But Necessary Activities

Non-Value Added and Wasteful Activities

Process Analysis and Data Collection

Data Collection Methods

Data Collection On Process Activities

Data Collection On Position Activities

Example: Measuring Capacity By Process Activities

Example: Measuring Capacity By Position Activities

Frequency of Measuring Capacity

Wrap Up: Time Is Money

6 Value Stream Income Statements

GAAP = GAAH!

Purpose of Value Stream Income Statements

Value Streams Are Profit Centers

Value Stream Income Statement Practices

Practice 1: Simple Format

Practice 2: Report Actual

Practice 3: Properly Define Variable and Fixed Costs

Practice 4: Avoid Cost Allocations

Designing a Value Stream Income Statement

Sales

Variable Costs

Contribution Margin

Fixed Costs

Value Stream Operating Margin

Shared Costs

Value Stream Operating Profit

Designing a Company Value Stream Income Statement

7 Value Stream Management

Planning the Value Stream

Strategy Deployment

The Plan Step

The Do Step

The Check Step

Catchball

The Adjust Step

Improving the Value Stream

Planning the Improvements

Do

Conducting Kaizen Events

Check and Adjust

the Weekly Value Stream Team Meeting

Notes:

OCLC-licensed vendor bibliographic record.

Description based upon print version of record.

ISBN:

9781000828276

1000828271

OCLC:

1356002765