Theory of Constraints"The author focuses on how the Throughput Accountancy principle of Management accounts can be incorporated in a forecasting software so as to enable automated forecasting, and to facilitate the managers to make better decisions and business plans.
Many other prominent authors such as Steven M. Bragg, Mike Bendrey, Michael Bendrey, Roger Hussey, Colston West, and Terence Lucey have also discussed this same fundamental (Bragg, 2007) (Bendrey, et al., 2003) (Lucey, 2003) (Garrison, et al., 1997), which we have elaborated in detail in the next section of our Literature review:
Within this segment of our Literature review, the author has discussed some very prominent views and arguments regarding the concept of Throughput accountancy, its use, principle, and criticism by various dominant authors in the field.
Authors Victoria J. Mabin and Steven J. Balderstone shed light on the formation of the concept of Throughput Accounting and Theory of Constraints (TOC) in their book “The world of the Theory of Constraints” (2000).
The theory of constraints and the Throughput accounting concept which was initially created by Eliyahu M. Goldratt in around 1984, is said to fulfil the gaps in the Cost Accountancy, some authors even consider the concept of Throughput Accountancy as a dominant alternative some cost accounting principles. (Mabin, et al., 2000 p. 66) (Ean, 2005 pp. 75-89)
Author Steven M. Bragg who wrote his famous book “Throughput Accounting: A Guide to Constraint Management” (2007) also agrees to the works of Mabin &. Balderstone which talk about the initiation of the use of Throughput Accounting (TA) and Theory of Constraints. Although Bragg’s book was published much after Mabin &. Balderston’s work, the book has focused more on the Theory of Constraints and little focus on the theory of Throughput Accountancy. (Bragg, 2007 pp. 39-45)