The president of Kelly Windows is an avid believer in JIT. Kelly Windows manufactures bay windows. The president wants no inventory or work-in-process on the floor at the end of each day. Windows are only manufactured after being ordered and throughput time is quick enough to complete most orders during the day of the order. The president is also trying to eliminate all non-value added activities. She considers accounting to be non-value added and would like to reduce accounting activities sharply if no completely. As the controller, how can you defend the accounting activities performed by your department?
As the controller you can tell the president that the information provided by the accounting dept tells the operations dept how much money they have available to spend on any given project at any ...