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Topic Title: Welcome!
Topic Summary: New to Lean Accounting?
Created On: 08/09/2019 12:01 PM
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08/09/2019 12:01 PM
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Jean Cunningham

This is a new Forum topic here at LEI. Welcome! I am really interested to see the areas of interest and to participate in the discussions.

Do you know what Lean Accounting is?
Who cares about this subject?

I will share with you a recent experience related to using lean inside an accounting process. To get us started off.

A joint team of accounting, purchasing and receiving looked created a value stream map of process to pay a vendor. There were repeated checks and approvals in the process, but even at the very last step of cutting a payment (check or electronic) there were errors in missing documents, etc. Where would you start to improve this process?
08/16/2019 09:12 AM
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Robert Simonis

I understand the difference between Lean Accounting and accounting for lean. I am interested in the topic and application of both.

Concerning your example, I would start as you did, with visualization of the problem. I would use a process flow diagram instead of a VSM, but that is my preference. Next step is to fix the problems causing the errors to the client. Fix quality before productivity. .
08/17/2019 08:46 AM
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Jean Cunningham

Welcome! On fixing quality, I cannot agree more. When defects reduced the process will look different. First though I would look for any big steps to elimininate completely. But in either case work on those defects!! I would use the process map tool to get closer to understanding specifically root cause of a specific area of defects. But getting to action regardless of the tool is the most important!

I hope you will continue to input to this forum. And bring your friends! Jean
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