Accounting, O-rings, and the Dangers of Extrapolation

Accounting, O-rings, and the Dangers of Extrapolation
I’m currently “knees-deep” (“elbows-deep”?) in a Managerial Accounting course that is part of University of Nevada’s outstanding Executive MBA program, and my cohort is studying Cost Behavior.  Part of the discussion focuses on what is called “Relevant Range”, which is defined as “the range of activity over which we expect our assumptions about cost behavior ...

Sustainment Challenges in Continuous Process Improvement

Initiating a Continuous Process Improvement (CPI) program provides a great deal of excitement.  At the top level, there is anticipation of great benefits to come, either through cost savings or increases in efficiency.  In middle management, there is an exciting opportunity to use new tools to improve your processes.  For everyone else there is a ...