Lean Accounting is the application of lean thinking to all accounting and finance processes and systems and is an essential component of a successful lean transformation for any organization.
Three principles guide Lean Accounting and form the foundation for all of the accounting’s work and interaction with the organization:
- Customer value – delivering the relevant & reliable information in a timely manner to all users of the information inside the organization.
- Continuous improvement – improving accounting processes, cross-functional business processes, and the information used inside the business for analysis and decision making.
- Respect for people – adopting a learning attitude by seeking to understand the root causes of business problems and issues in a cross-functional, collaborative manner.
The benefits of Lean Accounting are:
- Creating capacity in accounting by eliminating waste in accounting processes.
- Accounting fully participating in cross-function continuous improvement.
- Flowing relevant and reliable information to all internal customers for effective decision making.
- Leveraging accounting’s analytical skills as lean financial coaches throughout the organization.
Lean Accounting provides service excellence to all of the accounting’s customers.
Do you use Lean accounting?