ABSTRACT
The relationships between each of these aspects of lean and a lean management accounting system need to be understood by a Lean chief financial officer in planning and executing a lean management accounting transformation. To achieve financial success with lean, it must be the strategy of a company. Some companies understand this, but other companies think lean is a component of their strategy. Lean is a business strategy based on serving customers better. Customer value is created every time a customer has an encounter with a company. What separates lean from other business strategies is that it is based on a few principles rather than specific goals that change year-to-year. Lean companies plan by value stream rather than by traditional top-down planning methods. This requires a level of value stream organization. Developing a standard of performance is about creating a level of stability in process performance to be able to begin troubleshooting and identify gaps from standards.
