Lean Accounting - Best Practices for Sustainable Growth

Abstract

Lean Accounting literature has suggested that contextual factors may present strong inertial forces within organizations that inhibit implementations that appear technically rational. This article reviews the framework of principles, practices, and tools of lean accounting. This paper examines the best practices used in lean accounting for sustainable growth. Further, it postulates eleven methods of lean accounting which are inter-related and internally consistent practices. This study investigates needs and application of lean accounting and their effects on operational performance. Measurement system of lean accounting discussed in this paper includes productivity, linearity and overall improvement. Lean accounting methods discussed are themselves lean because they are simple, visual and low waste.