Application Of Theory Of Constraint-based Throughput Accounting On Enterprise Decision Making

Due to the limitation of traditional costing accounting management system,modern financial management system emerged.As product of Theory of Constraint,throughput accounting has been widely applied in manufacturing,service and nonprofit organizations in western countries,but limited to production decision application in China,and lacks the deep research for the meaning of accounting method and awareness of constructing a throughput accounting management system.Therefore,it is meaningful for the construction and development of such a system.Through analyzing the meaning of throughput accounting and introducing part of enterprise decision making methods under the system,intends to impel the application of throughput accounting and provide reference for the decision making process by management.In this article,the enterprise management accounting system is taking for the research object,and the disadvantage of traditional cost accounting management system for the enterprise decision making and performance evaluation is taking as the research background.The article points out the theoretical and practical significance of constructing throughput accounting management system.Through analysis of the current research of related topics domestically and abroad,this article points out the limitations in the construction of the current system;Taking Theory of Constraint as the application background and theoretical basis of throughput accounting and analyzing the influence of constraint resource on business decision making;Pointing out the logical starting point of throughput accounting and analyzing the connotation of throughput accounting from the perspective of throughput,basic elements of throughput accounting and throughput accounting management system.In this article,four types of decisions which suit throughput accounting methods are put forward: optimal product mix,launch of new product,product pricing and capital investment.For the first two decisions,the decision making processes are introduced by using model and the flow chart respectively.For the latter two decision making methods,they are introduced by comparing with the traditional decision method.In this article,S enterprise is used as a case to specify the application of above four methods and combined with deep case analysis.Finally,this article makes a summary and outlook.