Lean Manufacturing and Six Sigma Accounting Essay
Unlike Six Sigma, lean management can be explained by the fundamental idea that is based on increasing customer value and satisfaction while emphasizing on reducing waste. Lean manufacturing or lean management is a methodology developed by Toyota Company executives during World War II. In accounting, Lean Six Sigma offers a transformative opportunity to optimize processes, increase accuracy and improve financial performance. By applying the DMAIC Define, Measure, Analysis. The Material Flow Cost Accounting MFCA is considered one of the most important tools for Environmental Management Accounting. 1 MFCA, ISO, 3 is a management instrument that promotes the transparency of energy and material flows and consumptions. This method was developed to support industrial companies to reduce Six Sigma defects and this reduces production costs, because the greater the number of defects, the higher the costs and vice versa. Lean Six Sigma and software development process. To improve the quality of process output, the Six Sigma metric is used in defect reduction. The marriage of agile manufacturing, design for Six Sigma and lean manufacturing with. quality considerations”, Journal of Industrial Technology, Vol. 3, pp. 1-10. Objective The objective of this analysis is to assess the Indian manufacturing organizations that are applying Lean Six Sigma LSS tool techniques for the purpose of monitoring a company's performance..