Contemporary Issues of Management Accounting Essay Example for Free

Contemporary Issues of Management Accounting EssayThis allows the opportunity for them to hone their skills and abilities at a constant rate while offering numerous benefits to the company. These benefits manifest themselves in employee loyalty, low overthrow costs and fulfilment of company goals. Figure 6 JIT Model * Some Key Elements of JIT 1. Stabilize and direct the MPS with uniform plant loading (heijunka in Japanese) create a uniform load on all work centers through constant daily production and mixed model assembly (produce more or less the same mix of products each day, using a repeating sequence if several products are produced on the same line). Meet demand fluctuations through end particular inventory rather than through fluctuations in production level. practice of a stable production schedule also permits the use of backflushing to manage inventory an end items bill of materials is periodically exploded to calculate the usage quantities of the various components that were used to make the item, eliminating the carry to collect detailed usage information on the shop floor. 2.Reduce or eliminate apparatus times aim for single digit apparatus times (less than 10 minutes) or onetouch setup this john be done through better planning, process redesign, and product redesign. 3. Reduce lot sizes (manufacturing and purchase) reducing setup times allows economical production of smaller lots close cooperation with suppliers is necessary to achieve reductions in arrange lot sizes for purchased items, since this will require more frequent deliveries. 4.Reduce point times (production and delivery) production lead times can be reduced by moving work stations closer together, applying assemblage technology and cellular manufacturing concepts, reducing queue length (reducing the number of jobs waiting to be processed at a given machine), and improving the coordination and cooperation between successive processes delivery lead times can be reduced thr ough close cooperation with suppliers, possibly by inducing suppliers to locate closer to the factory.