The Wide Scope of Throughput Accounting as an Effective Support for the Key Decisions a Company has to Make (February 9 & 10)
Facilitator: Eli Schragenheim of Eliyakim Management Systems Ltd.
This lab is aimed at and will be of major value to C-level executives, cost accountants to allow them to truly make a major difference, and to all TOC consultants who need it not just as an additional topic they can offer to their clients, but also as a critical ingredient of creating the Strategy and Tactics.
For all those who have advanced knowledge of TOC they will be rewarded by a lab that offers the next step in TOC knowledge.
Cost accounting supports most decisions about pricing and what product is profitable and what products should be dropped. Problem is: their recommendations is definitely wrong.
Throughput Accounting (TA) offers the right perspective, but the state of knowledge today is limited and cannot support many decisions regarding certain key questions. In this lab, the TOC process that address these three questions and overcomes the associated obstacles is presented:
- What should the company sell and at what price?
- What market opportunities would significantly increase the bottom line?
- How much capacity, including liquidity, manpower and infrastructure, should the company maintain?