Accounting Week 5-Assignment 2
Managerial accounting: a.) Identify the five steps in the lean thinking model. b.) Which of these steps do you think is the most challenging for the organization? (Explain your reasoning. Give details.)
The five steps in the lean thinking model are:
1) identify value in specific products and services;
2) identify the business process that delivers value;
3) organize work arrangements around the flow of the business process;
4) create a pull system that responds to customer orders; and
5) continuously pursue perfection in the business process.
The first and the second steps in lean thinking model are the most challenging for the organization. Once the organization is able to identify the core values and the activities and resources essential in creating that value, the rest can be ignored, moreover no one wants to consider what they do as waste so the process of differentiating between the waste and value becomes more challenging. Hence the objective of determining the value and the factors which adds value is a job of prime importance and the process that does not add value must be eliminated as waste.
2) Julie Jones was hired by a popular fast-food restaurant as an order taker and cashier. Shortly after taking the job, she was shocked to overhear an employee bragging to a friend about short changing customers. She confronted the employee who then snapped back. “Mind your own business. Besides, everyone does it and the customers never miss the money.” Julie didn’t know how to respond to this aggressive stance. (Ethical) What would be the practical consequences on the fast-food industry and on consumers if cashiers generally shortchanged customers at every opportunity?
If cashiers routinely shortchanged customers whenever the opportunity presented itself, the customers will develop a feeling of mistrust towards the restaurant and may break off their loyalty...