- Review of the role of the finance function when it comes to decision making support
- Review the types of decisions that the financial system us providing
- Understand the challenges in these decision-making areas
All businesses need financial data and information for making decisions. Commonly the needed data and information are provided via the financial system of the business. In turn, the financial information provided is commonly based on the foundations of cost accounting.
Using the cost-accounting system as infrastructure for making decisions, frequently ends with decisions that seem to be well justified when made, but often the realized results are far from the expected.
The results gap are usually attributed to external circumstances – government intervention, currency exchange rates, competition etc.
The fact is that these changes in external circumstances are just contributors to the results gap, but not the cause. It is the financial measures themselves that lead decisions astray. What is wrong with the existing financial measures? Why do they lead to making poor decisions? What is a better way for making decisions that will lead to the desired results?
Throughput accounting (TA) is a principle-based and simplified management accounting approach that provides managers with decision support information for enterprise profitability improvement. Throughput Accounting is a management accounting technique used as the performance measure in the Theory of Constraints (TOC).
No more than 14 participants in the training.
World-renowned Theory of Constraints (ToC) & LEAN lecturer and practitioner with 35 years’ experience. Mickey has designed, delivered, and executed numerous training, education programs & consulting projects with companies and universities globally. Founder & Managing partner at Granot Group (former Next-Era-Consulting), with operations in Israel, Russia, Poland, Germany and the Baltic region.
Jointly with. Dr. Eli Goldratt, Mickey Granot was responsible for the development and dissemination of the Theory of Constraints (ToC) body of knowledge and eventually was the CEO of Goldratt Group. ToC applied solutions include: Strategy, Production, Supply Chain, Project Management, Sales & Marketing, Throughput Accounting.
Among companies Mickey worked with and trained, are Boeing, Wal-Mart; Mazda, Embraer, Premier Foods, Proctor and Gamble, Nike, Adidas, TATA Steel, Dr. Reddy’s, Audimas, IAI, IBM, Intel, Cisco, Siemens, Elbit Systems, Elop, Avaya, ECI Telecom, Alvarion, Motorola and many others.