Lean Six Sigma in Managerial Accounting

Outline

Introduction

Lean & Six Sigma

Lean is the purposeful elimination of the activities which are promoting waste in the company. The primary focus of lean six sigma is on the improving the production while at the same time reducing the cycle time and minimizing the errors.

Six sigma deals with reduction of errors and it states that the company must be able to bring the defect rate to 3.4 per million. It helps in developing consistency in the processes and reducing the variations in order to provide excellent service to the customers. In case of managerial accounting the ...