Kaizen Costing: A Japanese Approach to Cost Management in Industrial Enterprises. Basic Research

Kachalay Valery Postgraduate Student, Department of Accounting and Audit, Taras Shevchenko National University of Kyiv
Regional Economics and Management: electronic scientific journal, No. 1 (33) for 2013

Introduction

Globalization processes dictate new conditions for operators of the now global market for goods and services. Increasing competition is forcing Ukrainian companies to look for alternative approaches to profit optimization, in particular by minimizing costs. Development Japanese system cost management is not standing still, she developed the kaizen methodology, which has become the key to Japan's competitiveness in the world market. The concept of kaizen is a critical condition for understanding the differences between Japanese and Western approaches to cost minimization. Due to its high efficiency, this technique has been adapted and is widely used by many leading companies around the world. Questions remain debatable regarding the possibility of implementing this concept on industrial enterprises Ukraine in order to improve the system of cost accounting and costing industrial products generally.

It is important to note that the kaizen technique has not yet been sufficiently studied by Ukrainian scientists. The attention of I. G. Smirnov, N. S. Nichitailova and O. V. Sadchenko is focused on this issue. For example, the work of Doctor of Geography, Professor of Taras Shevchenko National University of Kyiv Igor G. Smirnov "Experience of Japanese logistics and its application in Ukraine: from kanban to gemba kaizen" is well-known.

In the context of the above problems, the aim of the study is to reveal the essence of the Japanese concept of kaizen, as well as the prospects for its implementation in the Ukrainian cost management system, by identifying the key principles, advantages and disadvantages of kaizen-calculation of the cost of industrial products. During the study, the following general scientific methods were used: historical and systems approach, concretization - to reveal the essence and characteristics of the principles of the kaizen system; analysis and synthesis, abstract-logical - to identify the main advantages and disadvantages of the studied Japanese concept; modeling - to determine the place of kaizen costing in the cost management system of an industrial enterprise.

results

The essence of the kaizen method

Today, in a highly competitive market, any delay in mastering the most advanced technologies is costly. Delay in development latest methods cost management can cost no less. Until now, Western entrepreneurs have been slow to take advantage of the kaizen tools developed by Japanese companies. Moreover, many Western leaders generally do not know about the existence of the kaizen strategy and the possibility of using it to increase their competitiveness.

Kaizen is translated as "improvement" (from "kai" - "change" and "zen" - "good") and is traditionally used to refer to the process of continuous and gradual improvement, which is made possible by the active participation of all employees in the management of economic activity companies. Thus, the essence of "kaizen" is improvement. The central idea of ​​this research concept is that not a day should pass without improvement in a company.

As Professor O. S. Vikhansky notes, companies that use this system increase the profitability and competitiveness of their business without significant capital investments. Everyday improvements do not require large financial costs. For the implementation of "kaizen" it is simply necessary that all employees use their mind and concentrate their attention on the work being done. In those companies where the kaizen methodology has already been implemented, every time a person sees an opportunity to do his job better, he must act and change the standards for performing individual operations accordingly.

As mentioned above, all enterprises in the global market conditions face similar tasks:

• profit maximization by minimizing all types of costs;
• sustainable development;
• providing an advantage over competitors.

But if some enterprises achieve success in solving these problems, becoming market leaders, then others are forced to constantly fight for survival.

Today, there are two main approaches to solving the problem of increasing the efficiency of an enterprise. The first, predominantly supported Western companies, is based on innovation - the use of the latest expensive technologies, as well as the investment of huge Money. The second one, whose supporters are the Japanese operators of the global market, uses such tools as common sense, checklists and cost-effective methods. Just it is called "kaizen". The main differences between the two considered approaches are presented in Table 1.

Table 1. Comparative characteristics innovation and kaizen [Developed by the author based on 2]

It is worth noting that Ukrainian enterprises are in no hurry to introduce such a cost management system as "kaizen". This is due to many reasons. First, the lack of a theoretical and practical base, clear examples of transformations, and economic instability. Secondly, differences in mentality - Ukrainian employees are fearful and hostile to changes, especially cardinal ones. However, already today we can name examples of successful application kaizen methods in Ukraine.

Experience of using kaizen costing in Ukraine

In 2007, Coca-Cola Beverages Ukraine, headed by CEO Marcel Martin began the introduction of kaizen costing or kaizen costing (kaizen-based product costing methods). The concept of "kaizen costing" was first introduced by Yasuhir Monden in the late 90s of the twentieth century. In Monden's presentation, kaizen costing takes the form of a tool that helps reduce the cost of production and is closely related to the cost management system in the company.

From the very beginning, the company faced real difficulties - innovations did not find support among employees. However, the leadership approached the solution of the problem extremely seriously: trainers were invited, explanatory work was carried out at all levels. Today, more than 90% of the employees of the Ukrainian plant are involved in "kaizen". The company occupies a leading position in its segment on the Ukrainian market.

It should be noted that during the implementation of kaizen-calculation, Coca-Cola Beverages Ukraine was guided by three fundamental principles, namely:

• maintaining order;
• elimination of muda (from Japanese “losses”);
• standardization.

Maintaining order is an essential element of effective cost management. Through exemplary order, employees acquire and develop the skills of self-discipline, without which they are not able to create a product or provide a high-quality service to the consumer.

Considering that losses are considered as a component of costs in general, their elimination is the most cost-effective way to increase labor productivity, as well as reduce production and other types of costs. The kaizen methodology emphasizes that reducing losses (costs) at each workplace will have a synergistic effect to minimize them throughout the enterprise.

Just-in-time approach - the basis for applying kaizen costing

In turn, for the real elimination of losses, the use of kaizen costing in combination with the Japanese approach "just in time" (just-in-time system - JIT) is strongly recommended, which has the goal of "... constantly chasing productivity by avoiding waste and losses" . It cannot be called a costing method. This is most likely a business philosophy that should be adopted in addition to the already existing full-fledged cost accounting system.

The JIT approach was first introduced at the Toyota plant in Japan in the 1970s. Its essence was very aptly formulated by Western Professor Hansen: "to supply the raw materials that are needed, when needed, and in the required quantity." The advantage of this way of organizing inventory management is obvious: the turnover ratio increases, unrealized income decreases, losses are reduced, storage savings matter, etc. .

Kaizen costing, as a way to identify losses and reduce costs, is closely related to the profit planning system and is based on determining the deviations of the actually achieved cost reduction from the planned one. The essence of the method is that improvements are made continuously, in small steps and without significant costs for their implementation. Cost reduction targets for continuous improvement are set and applied on a monthly basis. Analysis of cost variances consists in comparing their target indicators with actual ones. It should be noted that when the latter decrease, the base is the actual cost of production for the previous period, and the target cost reduction rate is the ratio of the planned reduction amount to their base.

Thus, there is a process of continuous improvement, since the cost of each next period will be lower than the cost of the previous one, that is, this indicator will constantly improve.

The third of the above principles of kaizen costing is standardization. For the manufacture of products, performance of works or provision of services, it is necessary to apply a certain standard.

Comparison of kaizen costing with standard costing

Considering standardization as one of the principles of improvement, it should be emphasized that kaizen costing only at first glance has much in common with standard costing. As already noted, the basis of kaizen costing is the achievement of a given level of cost reduction, which is constantly corrected in the direction of its further reduction. In the "kaizen" system, variance analysis is a comparison of the target cost reduction with the actual amounts of their savings, that is, "variances from variances" are investigated. This variant of the analysis of deviations can be called complex.

The standard-costing system keeps track of deviations of actual costs from normalized costs. The amounts of deviations are fixed on special accounts. At the end of the reporting period, deviations are written off to financial results. A simple version of variance analysis is used. Further, a decision is made regarding the adjustment of established norms and standards.

It is advisable to indicate that all deviations in content can be divided into three groups (Table 2). Kaizen costing, like standard costing, is primarily aimed at identifying negative deviations, which, of course, are more characteristic of industrial companies.

Table 2. Classification of deviations [Developed by the author]

However, common to the production costing systems mentioned in the previous subsection is the idea of ​​controlling costs and results by comparing the achieved (actual) results with certain targets. Since, unlike target costing (target costing of products), kaizen costing is used at the same stages life cycle products, as well as standard costing, cost management will be faced with the question of either choosing one of these systems, or how to integrate them.

Despite the fact that the logic of kaizen calculation looks more progressive, these methods should not be opposed. Each of them is designed to solve certain specific tasks, and each of the systems has its own advantages and disadvantages. The solution to the problem, in our opinion, is their integration, since there is every reason for this.

Thus, the implementation of kaizen costing should by no means exclude the standard costing system that has taken root in many Ukrainian enterprises. Just their interaction will give a positive result, which consists in minimizing costs and, accordingly, optimizing profits.

Modeling the interaction of kaizen and target costing

If the standard costing and the studied kaizen costing can be used as an integrated option for determining the cost, then the target costing (target costing) mentioned above, from the point of view of the product life cycle, is the predecessor of kaizen costing.

Target costing also originated in Japan, more than 70% of large Japanese enterprises have implemented this technique. It consists in pre-determining the cost of a particular product, which is the difference between the target price and the desired profit per unit of output. .

These two methods pursue the same goal - to achieve the target cost: target costing - at the design stage of a new product, kaizen costing - at the production stage. In other words, kaizen costing is a kind of continuation of target costing. It should be noted that just such a sequence of application of methods, in combination with the standard costing and the just-in-time (JIT) approach discussed above, is very important for a company to achieve its cost minimization goals (Fig. 1).

Picture 1. The place of kaizen costing in the cost management system of an industrial enterprise [Developed by the author]

conclusions

Summarizing the above, it is necessary to emphasize that the main advantage of kaizen costing is the ability to ensure a constant reduction in costs and keep them at a given level. In turn, the main drawback is the need to motivate employees and a corporate culture that supports the involvement of personnel in the company's activities. The process of continuous improvement can only be successful if there are favorable conditions for production. To do this, certain management requirements must be met, in particular:

• form the strategy and tactics of the enterprise;
• develop a leadership style that promotes openness, trust and collaboration;
• maintain the constancy of goals;
• develop an incentive system that will encourage cooperation;
• implement ongoing staff training programs;
• strike a balance between short-term and long-term tasks.

It should be said that the study of methodological approaches to calculating the cost of production, in particular kaizen costing, allows us to outline real prospects and focus on the need for its implementation at industrial enterprises both in Ukraine and in the post-Soviet countries.

Bibliography:

1. Golov S.F. Management accounting. Textbook. - K .: Libra, 2003. - 704 p.
2. Imai M. Key to Success Japanese companies/ Per. from English. - 5th ed. - M.: Alpina Publishers, 2011. - 274 p. - (Series "Models of management of leading corporations").
3. Microeconomics: Textbook / Ed. V. D. Bazilevich. - K .: Knowledge, 2007. - 677 p. – (Classic university textbook)
4. Nichitailova N. S. The concept of kaizen as a low-cost tool for implementing an environmental management system / N. S. Nichitailova // Mechanism for regulating the economy, 2009. - No. 3 (2). - S. 157-161.
5. Smirnov I. G. The experience of Japanese logistics and its application in Ukraine: from "KANBAN" to "GEMBA KAIZEN"/ I. G. Smirnov // International trade, 2008. - No. 1. - S. 11-17.
6. Management accounting / [Atkinson E., Banger R., Kaplan R., Young M.] - M .: Williams Publishing House, 2000. - 878 p.
7. Hansen R., Mowen M. (2009) Cost Management: Accounting & Control. 6th edition. Ohio: South-Western Cengage Learning.
8. Hiraoka, … and others (2007). Japanese Management Accounting Today. New Jersey: World Scientific.
9. Kwan H. Competing Globally with Cost Accounting(2011). University of Tennessee Thesis Projects.

Kaizen costing originated in Japan in the second half of the 1980s. The use of Kaizen costing is possible in almost any industry and, importantly, in conjunction with other cost management methods.

EssenceKaizen costing (translated from Japanese as "improvement in small steps") is a process of gradually reducing costs at the stage of production, as a result of which the required level of cost is achieved and the profitability of production is ensured.

Kaizen costing is used in the Japanese model management accounting in parallel with Target Costing. Both systems have the same goal - to achieve the target cost: Target costing - at the stage of designing a new product, Kaizen costing - at the stage of product production.

If at the design stage the difference between the estimated and target costs is up to 10%, then a decision is made to start production of such a product with the expectation that 10% will be eliminated during the production process using Kaizen costing methods. Reducing the difference between the estimated and target cost is called kaizen task, which concerns all personnel of the organization from engineers to managers and the implementation of which is properly encouraged through the personnel management system.

The Kaizen objective is determined during the planning phase for the next fiscal year, when production plans are being developed. The kaizen task is set both at the level of each product and at the level of the enterprise as a whole for individual articles. variable costs. Fixed costs are calculated for individual departments and grouped into special budgets.

Using the data of the kaizen task and fixed cost budgets, specialists make up the annual budget of the enterprise.

The purpose of kaizen costing is to achieve a given level of cost reduction, which is constantly adjusted towards its further reduction. In the kaizen system, variance analysis is a comparison of the target cost reduction with the actual cost savings.

In companies that can conditionally be attributed to traditional industries, kaizen activities are carried out at three levels:

· managers and ITPs, for whom the support of the kaizen philosophy is a functional responsibility;

· initiative groups of employees united in quality circles;

· individual workers who have the opportunity to contribute new ideas through the suggestion system.

Encouragement of people actively participating in kaizen activities is carried out both with the help of material incentives and the use of non-material incentives and influences. The latter include activities that reinforce in the minds of workers and specialists the values ​​cultivated by the company and the consciousness that the success of each is directly related to the success of his company.

In innovative industries, kaizen costing harmoniously complements the target costing system, giving way to the latter, but not losing its significance.

Kaizen costing does not mean achieving a certain amount of costs, but a constant, continuous and all-encompassing cost reduction. Provides the target cost in the production process. It is mainly used in operational cost management and control over their level.

Kaizen costing can be used in almost any industry, and in combination with other cost management methods. This is a significant advantage of kaizen costing, as well as another - the proven reality of reducing costs and ensuring profitability. Another advantage of kaizen costing is that it provides continuous cost reduction and maintenance. Kaizen costing also allows you to reduce costs to the required level during the production process.

At the same time, kaizen costing is not without drawbacks due to the complexity of its organization, dependence on the human factor:

· it is necessary to motivate employees and a corporate culture that supports the involvement of personnel in the activities of the organization;

· requires prompt receipt of information about the current results of production, marketing and promotion

The application of the cost accounting system "kaizen costing" is inextricably linked with the introduction of the Japanese philosophy and practice of "kaizen" and the concept of " lean manufacturing Lean technology is a management concept based on the desire to eliminate all types of waste. This concept is being actively developed, for example, in the Republic of Kazakhstan: in 2009, lean technologies were introduced at 15 enterprises, in 2010 - at 13, in 2011 - at 8 enterprises. Examples of the Russian lean approach in agriculture not much: Agroholding Kuban from Krasnodar Territory, OAO Priozernoye ( Novosibirsk region). The enterprises CJSC Biryuli and LLC Service-Agro were chosen as a pilot site for launching a lean manufacturing project in Tatarstan.

Let's take a closer look at the experience of implementing the kaizen concept at AgroHolding "Kuban" - this is the country's leading agro-industrial enterprise with a diversified structure. Kuban includes 4 divisions that combine agricultural enterprises with modern dairy farms, a unique pig farm, a feed mill, its own laboratory complex for monitoring feed quality, service centers for servicing imported and domestic technology, 3 powerful grain elevators, 3 factories for the production of high-quality seed material, the Svoboda sugar factory and the largest elite horse breeding enterprise in Europe - the Voskhod stud farm, which breeds thoroughbred horses of the English riding breed.

Economic effect from implementation new system management "Kaizen" in the agricultural holding "Kuban" at the end of 2009 amounted to 107 million rubles, and in general for the five years of implementation of the system (2007-2011) is estimated at more than 483 million rubles. Labor productivity in the holding from 2007 to 2011 increased by 2.3 times (from 106 thousand rubles to 250 thousand rubles of gross profit per employee). The cost of wheat production was over 3.5 thousand rubles per ton. In 2010, plant growers, engineers, and economists jointly reduced it to 2.7 thousand rubles. Another example is milk production. Technologists, together with workers and economists, improved milking technology, improved milk quality, reduced production costs, and worked with customers. If in 2009 the Kuban Agricultural Association sold only 21% of premium milk, then in 2010 more than 60% of such milk was sold, and the holding earned more than 20 million rubles from this. In 2011, the share of premium milk reached 75%, which brought in an income of 12 million rubles.

The agricultural holding summed up the results of the “Best Kaizen 2009” competition among employees and identified four leading developments to improve production processes. The winners were chosen in the nominations: “Efficiency”, “Profitability”, “Novelty of Thought”, “Originality of Technical Solution”.

As a result, the development of the Seed Production division was recognized as the most effective, economical effect of which exceeded 6 million rubles. Workers have improved the process of collecting and shipping grain waste in the calibration shop. As a result, the seed storage capacity was doubled - up to 360 tons. The implementation of the development also made it possible to eliminate manual labor.

According to the results of 2010, the most profitable project was the project of a specialist of the Grain Storage and Processing department, which improved the technological scheme of the feed mill. Having spent only about 1.4 thousand rubles, she achieved an economic effect in the amount of 478 thousand rubles, that is, the profitability exceeded 99%.

The specialist of the Sugar division was noted for the novelty of her idea - she achieved savings of 327 thousand kWh of electricity, reduced the consumption of filter cloth and sugar losses. The economic effect amounted to almost 1.3 thousand rubles, 17.5 tons of sugar were saved.

For the originality of the technical idea, the company rewarded an employee of the "Agricultural enterprises" division, who proposed to improve the cultivator's bearing assembly. This made it possible to double the service life of the mechanism, and the economic effect amounted to 3.47 million rubles. His idea is recognized as an innovation in the agro-industrial complex.

The Kaizen control system is being phased in in all structural divisions agricultural holding "Kuban" since 2006. Work is underway with staff. In 2009, the company trained 1,366 people in the basics of industrial psychology "Kaizen". During this time, 197 proposals of employees have been implemented.

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ESSAY

APPLICATION OF KAIZEN COSTING IN RUSSIA

Introduction

1. The essence of the kaizen methodology

2. Experience of using kaizen costing at Russian agricultural enterprises

Conclusion

Bibliography

Introduction

Globalization processes dictate new conditions for operators of the now global market for goods and services. Increasing competition is forcing Russian companies to the search for alternative approaches to profit optimization, in particular by minimizing costs. The development of the Japanese cost management system does not stand still, it developed the kaizen methodology, which became the key to Japan's competitiveness in the world market. The concept of kaizen is a critical condition for understanding the differences between Japanese and Western approaches to cost minimization. Due to its high efficiency, this technique has been adapted and is widely used by many advanced companies around the world. Issues related to the possibility of implementing this concept at Russian industrial enterprises in order to improve the cost accounting system and calculate the cost of industrial products as a whole remain debatable.

In the context of the above problems, the purpose of the study is to reveal the essence of the Japanese concept of kaizen, as well as the prospects for its implementation in Russian system cost management, by identifying the key principles, advantages and disadvantages of kaizen costing for industrial products. In the course of the study, the following general scientific methods were used: historical and systematic approach, concretization - to reveal the essence and characteristics of the principles of the kaizen system; analysis and synthesis, abstract-logical - to identify the main advantages and disadvantages of the studied Japanese concept; modeling - to determine the place of kaizen costing in the cost management system of an industrial enterprise.

1. The essence of the kaizen methodology

Today, in a highly competitive market, any delay in mastering the most advanced technologies is costly. Delays in adopting the latest cost management techniques can cost just as much. Until now, Western entrepreneurs have been slow to take advantage of the kaizen tools developed by Japanese companies. Moreover, many Western leaders are completely unaware of the existence of the kaizen strategy and the possibility of using it to increase their competitiveness.

"Kaizen" is translated as "improvement" (from "kai" - "change" and "zen" - "good") and is traditionally used to refer to the process of continuous and gradual improvement, which is made possible by the active participation of all employees in the conduct of the company's business. . Thus, the essence of "kaizen" is improvement. The central idea of ​​this research concept is that not a day should pass without improvement in a company.

As Professor O. S. Vikhansky notes, companies that use this system increase the profitability and competitiveness of their business without significant capital investments. Everyday improvements do not require large financial costs. For the implementation of "kaizen" it is simply necessary that all employees use their mind and concentrate their attention on the work being done. In those companies where the kaizen methodology has already been implemented, every time a person sees an opportunity to do his job better, he must act and change the standards for performing individual operations accordingly.

As mentioned above, all enterprises in the global market conditions face similar tasks:

profit maximization by minimizing all types of costs;

sustainable development;

providing an advantage over competitors.

But if some enterprises achieve success in solving these problems, becoming market leaders, then others are forced to constantly fight for survival.

Today, there are two main approaches to solving the problem of increasing the efficiency of an enterprise. The first, mainly supported by Western companies, is based on innovation - the use of the latest expensive technologies, as well as the investment of huge amounts of money. The second, advocated by the Japanese global market operators, uses tools such as common sense, checklists, and cost-effective methods. Just it is called "kaizen". The main differences between the two considered approaches are presented in Table 1.

Table 1. Comparative characteristics of the innovative approach and "kaizen"

It is worth noting that Russian enterprises are in no hurry to introduce such a cost management system as "kaizen". This is due to many reasons. First, the lack of a theoretical and practical base, clear examples of transformations, and economic instability. Secondly, differences in mentality - Russian employees are fearful and hostile to changes, especially cardinal ones. However, even today we can name examples of the relatively successful application of the kaizen methodology in Russia.

2. Experience of using kaizen costing in Russian agricultural enterprises.

The use of the kaizen costing cost accounting system is inextricably linked with the introduction of the Japanese philosophy and practice of kaizen and the related concept of lean manufacturing (lean technology) is a management concept based on the desire to eliminate all types of waste. This concept is being actively developed, for example, in the Republic of Kazakhstan: in 2009, lean technologies were introduced at 15 enterprises, in 2010 - at 13, in 2011 - at 8 enterprises. There are not many examples of the Russian lean approach in agriculture: Agroholding Kuban from the Krasnodar Territory, OJSC Priozernoye (Novosibirsk Region). The enterprises CJSC Biryuli and LLC Service-Agro were chosen as a pilot site for launching a lean manufacturing project in Tatarstan.

Let's take a closer look at the experience of implementing the kaizen concept at AgroHolding "Kuban" - this is the country's leading agro-industrial enterprise with a diversified structure. Kuban includes 4 divisions that combine agricultural enterprises with modern dairy farms, a unique pig complex, a feed mill, its own laboratory complex for monitoring the quality of feed, service centers for servicing imported and domestic equipment, 3 powerful grain elevators, 3 plants for the production of high-quality of seed material, the Svoboda sugar factory and the largest elite horse breeding enterprise in Europe - the Voskhod stud farm, which breeds thoroughbred horses of the English riding breed.

The economic effect from the introduction of the new management system "Kaizen" in the agricultural holding "Kuban" at the end of 2009 amounted to 107 million rubles, and in general for the five years of the introduction of the system (2007-2011) is estimated at more than 483 million rubles. Labor productivity in the holding from 2007 to 2011 increased by 2.3 times (from 106 thousand rubles to 250 thousand rubles of gross profit per employee). The cost of wheat production was over 3.5 thousand rubles per ton. In 2010, plant growers, engineers, and economists jointly reduced it to 2.7 thousand rubles. Another example is milk production. Technologists, together with workers and economists, improved milking technology, improved milk quality, reduced production costs, and worked with customers. If in 2009 the Kuban Agricultural Association sold only 21% of premium milk, then in 2010 more than 60% of such milk was sold, and the holding earned more than 20 million rubles from this. In 2011, the share of premium milk reached 75%, which brought in an income of 12 million rubles.

The agricultural holding summed up the results of the “Best Kaizen 2009” competition among employees and identified four leading developments to improve production processes. The winners were chosen in the nominations: “Efficiency”, “Profitability”, “Novelty of Thought”, “Originality of Technical Solution”.

As a result, the development of the Seed-growing division was recognized as the most effective, the economic effect of which exceeded 6 million rubles. Workers have improved the process of collecting and shipping grain waste in the calibration shop. As a result, the seed storage capacity was doubled - up to 360 tons. The implementation of the development also made it possible to eliminate manual labor.

According to the results of 2010, the most profitable project was the project of a specialist of the Grain Storage and Processing department, which improved the technological scheme of the feed mill. Having spent only about 1.4 thousand rubles, she achieved an economic effect in the amount of 478 thousand rubles, that is, the profitability exceeded 99%.

The specialist of the Sugar division was noted for the novelty of her idea - she achieved savings of 327 thousand kWh of electricity, reduced the consumption of filter cloth and sugar losses. The economic effect amounted to almost 1.3 thousand rubles, 17.5 tons of sugar were saved.

For the originality of the technical idea, the company rewarded an employee of the "Agricultural enterprises" division, who proposed to improve the cultivator's bearing assembly. This made it possible to double the service life of the mechanism, and the economic effect amounted to 3.47 million rubles. His idea is recognized as an innovation in the agro-industrial complex.

The Kaizen management system has been gradually introduced in all structural divisions of the Kuban agricultural holding since 2006. Work is underway with staff. In 2009, the company trained 1,366 people in the basics of industrial psychology "Kaizen". During this time, 197 proposals of employees have been implemented.

3. Just-in-time approach - the basis for applying kaizen costing

In turn, for the real elimination of waste, the use of kaizen costing in combination with the Japanese approach "just in time" (just-in-time system - JIT), which has the goal of constantly chasing productivity by avoiding waste and waste, is strongly recommended. It cannot be called a costing method. This is most likely a business philosophy that should be adopted in addition to the already existing full-fledged cost accounting system.

The JIT approach was first introduced at the Toyota plant in Japan in the 1970s. Its essence was very aptly formulated by Western professor Hansen: "to supply the raw materials that are needed, when needed, and in the required quantity." The advantage of this way of organizing inventory management is obvious: the turnover ratio increases, unrealized income decreases, losses are reduced, storage savings matter, etc.

Kaizen costing, as a way to identify losses and reduce costs, is closely related to the profit planning system and is based on determining the deviations of the actually achieved cost reduction from the planned one. The essence of the method is that improvements are made continuously, in small steps and without significant costs for their implementation. Cost reduction targets for continuous improvement are set and applied on a monthly basis. Analysis of cost variances consists in comparing their target indicators with actual ones. It should be noted that when the latter decrease, the base is considered to be the actual cost of production for the previous period, and the rate of targeted cost reduction is the ratio of the planned amount of reduction to their base.

Thus, there is a process of continuous improvement, since the cost of each next period will be lower than the cost of the previous one, that is, this indicator will constantly improve.

The third of the above principles of kaizen costing is standardization. For the manufacture of products, performance of works or provision of services, it is necessary to apply a certain standard.

4. Comparison of kaizen costing with standard costing

Considering standardization as one of the principles of improvement, it should be emphasized that kaizen costing only at first glance has much in common with standard costing. As already noted, the basis of kaizen costing is the achievement of a given level of cost reduction, which is constantly corrected in the direction of its further reduction. In the "kaizen" system, variance analysis is a comparison of the target cost reduction with the actual amounts of their savings, that is, "variances from variances" are investigated. This variant of the analysis of deviations can be called complex.

The standard-costing system keeps track of deviations of actual costs from normalized costs. The amounts of deviations are fixed on special accounts. At the end of the reporting period, deviations are written off to financial results. A simple version of variance analysis is used. Further, a decision is made regarding the adjustment of established norms and standards. kaizen costing enterprise target

It is advisable to indicate that all deviations in content can be divided into three groups (Table 2). Kaizen costing, like standard costing, is primarily aimed at identifying negative deviations, which, of course, are more characteristic of industrial companies.

Table 2. Classification of deviations

However, common to the production costing systems mentioned in the previous subsection is the idea of ​​controlling costs and results by comparing the achieved (actual) results with certain targets. Since, unlike target costing (target costing of products), kaizen costing is used at the same stages of the product life cycle as standard costing, cost management will be faced with the question of either choosing one of these systems, or how to their integration.

Despite the fact that the logic of kaizen calculation looks more progressive, these methods should not be opposed. Each of them is designed to solve certain specific tasks, and each of the systems has its own advantages and disadvantages. The solution to the problem, in our opinion, is their integration, since there is every reason for this.

Thus, the implementation of kaizen costing should by no means exclude the standard costing system that has taken root in many Ukrainian enterprises. Just their interaction will give a positive result, which consists in minimizing costs and, accordingly, optimizing profits.

5. Modeling the interaction of kaizen and target costing

If the standard costing and the studied kaizen costing can be used as an integrated option for determining the cost, then the target costing (target costing) mentioned above, from the point of view of the product life cycle, is the predecessor of kaizen costing.

Target costing also originated in Japan, more than 70% of large Japanese enterprises have implemented this technique. It consists in pre-determining the cost of a particular product, which is the difference between the target price and the desired profit per unit of output.

These two methods pursue the same goal - achieving the target cost: target costing - at the design stage of a new product, kaizen costing - at the production stage. In other words, kaizen costing is a kind of continuation of target costing. It should be noted that just such a sequence of application of methods, in combination with the standard costing and the just-in-time (JIT) approach discussed above, is very important for a company to achieve its cost minimization goals (Fig. 1).

Figure 1. The place of kaizen costing in the cost management system of an industrial enterprise

Conclusion

Summarizing the above, it is necessary to emphasize that the main advantage of kaizen costing is the ability to ensure a constant reduction in costs and keep them at a given level. In turn, the main disadvantage is the need to motivate employees and a corporate culture that supports the involvement of personnel in the company's activities. The process of continuous improvement can only be successful if there are favorable conditions for production. To do this, certain management requirements must be met, in particular:

form the strategy and tactics of the enterprise;

develop a leadership style that promotes openness, trust and collaboration;

maintain the constancy of goals;

develop an incentive system that will encourage cooperation;

implement ongoing staff training programs;

strike a balance between short-term and long-term tasks.

It should be said that the study of methodological approaches to calculating the cost of production, in particular kaizen costing, allows us to outline real prospects and focus on the need for its implementation at industrial enterprises both in Russia and in the countries of the post-Soviet space.

Bibliography

1. Golov S. F. Management accounting. Textbook. - K.: Libra, 2003. - 704 p.

2. Imai M. Key to the success of Japanese companies / Per. from English. -- 5th ed. - M.: Alpina Publishers, 2011. - 274 p. -- (Series "Models of management of leading corporations").

3. Microeconomics: Textbook / Ed. V. D. Bazilevich. - K .: Knowledge, 2007. - 677 p. - (Classic university textbook)

4. Nichitailova N. S. The concept of kaizen as a low-cost tool for implementing an environmental management system / N. S. Nichitailova // Mechanism for regulating the economy, 2009. - No. 3 (2). -- S. 157-161.

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[email protected]

annotation

Attention is focused on the need to minimize costs as key way profit maximization at industrial enterprises in the conditions of economic globalization. The essence of kaizen costing is revealed and the experience of its implementation at the Ukrainian plant "Coca-Cola Beverages Ukraine" is presented. A model for the interaction of kaizen costing with advanced methods for calculating the cost of production has been developed.