Modern accounting takes the year as the unit, and all expenses are deducted from income, which is profit. According to the accounting system, the actual receipt and payment time of money is inconsistent with the time when it becomes accounting income and expenses, which often leads to the disconnection between the book figures and the actual cash quantity, and the phenomenon of book profit but no money on hand appears in the actual operation of enterprises.

In addition, some assets are wealth on the books, but in fact they have become garbage, with correct accounts but no cash. Some business operators make decisions according to the profits on the books, raise funds through loans, invest in developing new businesses or increase production equipment.

Relying on loans for investment will be directly affected by market interest rates, changes in capital supply and demand, and government and bank policies. Once the funds are tight, the enterprise capital chain is in danger of breaking. Therefore, kazuo inamori stressed that enterprises must operate on the basis of cash on hand and strive to increase the proportion of their own capital to ensure their own cash flow.

Second, the principle of one-to-one correspondence.

In the process of enterprise management, the flow of money and things is inevitable. Kazuo inamori demanded a one-to-one correspondence between money, goods and * *. On the surface, this correspondence is taken for granted, but in fact it is often not the case.

Kazuo inamori said: "* * has been dealt with first, and then the goods arrived. Or on the contrary, the goods arrive first and will not be opened until the next day. This kind of situation will often happen even in first-class enterprises. This kind of' * * operation' or even' off-account processing', even if only a little bit is allowed, means that the figures are only temporary measures, and how to change them if you want. To put it in an extreme way, the settlement of this enterprise is not trustworthy. "

Because once allowed not to correspond, it will lead to deception. For example, if the sales data this month is not ideal, it is immoral and has no future for you to collude with good customers to write a * * to make the books look good.

In Kyocera, kazuo inamori insisted on putting an end to this kind of behavior, "building a glass-like transparent system so that it can't hide or blur the facts." No matter what the circumstances, we must ensure the one-to-one correspondence between money, goods and * *, especially between credit sale and credit purchase. What each pen corresponds to must be clear and cannot be hedged in general.

Adhere to the principle of one-to-one correspondence, the data can truthfully reflect the business facts, and the figures on * * add up to the real data of the company as a whole, and the settlement statements based on this can truthfully reflect the current situation of the company. More importantly, the implementation of this principle can improve the moral standard of the company, make employees trust each other, and is of great significance to ensure the healthy operation of the enterprise.

Third, the principle of income and expenditure ratio (or "muscular" principle).

Once the company's shares are listed, in order to maintain the confidence of investors, operators need to maintain a good image of the company, and the decorative image will derive fat. Kazuo inamori believes that operators must have a strong will to overcome the temptation of excessive beautification of enterprises.

Generally speaking, the principle of income-expense ratio can be realized by the following measures: First, reduce fixed costs and production costs.

Kyocera's experience is to buy second-hand goods. At the beginning of starting a business, due to lack of funds, people often buy second-hand equipment. The price of first-class equipment is often more than ten times that of second-hand goods, but the work efficiency may only be improved by two or three times. Compared with cheap second-hand goods, its investment efficiency is not high. If enterprises invest too much in advanced equipment, the fixed expenses will increase rapidly and the breakeven point will rise sharply, which is not conducive to the sustainable development of enterprises.

Second, timely * * inventory. Kyocera adopts the order production method, and will produce a certain number of redundant products according to the normal yield, which will become unsold inventory. For example, there is an order for 1 10,000 products, and1.20,000 products have been produced for insurance. Although the quality of these 2000 products in the warehouse is no problem, it is useless. Kazuo inamori compared it to a "roadside stone".

He believes that worthless things cannot be kept as property for the sake of good figures on the asset book. The warehouse keeper will not * * these "stones", and the operators should always check the warehouse in person and * * out the "stones" in time. This is kazuo inamori's "ceramic stone theory".

Third, be wary of the increase in fixed costs. Kazuo inamori said that fixed costs mainly include equipment costs and labor costs. Kazuo inamori believes that a large amount of equipment investment and the increase of non-production employees are actually "puffiness" and must be highly vigilant.

Fourth, profit by sweat and never speculate. Kazuo inamori is very disgusted with the abuse of the concept of "financial management" and hates "venture capital" and thinks it is speculation. In the era of Japan's bubble economy, many enterprises bought land with bank loans empty-handed, and then sold it to make a fortune. Some enterprises are eager for this completely effortless profit.

But kazuo inamori thinks: "Only the money earned by sweat and hard work can become a profit." So when the bank suggested that kazuo inamori invest in real estate, he firmly refused. It is precisely because kazuo inamori withstood this temptation that Kyocera stood firm under the impact of the bubble economy.

Fifth, buy immediately. Kazuo inamori put forward: "No budget system. When you need to spend money, apply immediately and decide immediately. " In purchasing, kazuo inamori adheres to the principle of "buy one liter". Even if buying barrels is cheaper and more attractive, I will only buy one liter of what I need now, and there will never be a backlog.

Fourth, the principle of perfectionism.

"The so-called perfectionism means that ambiguity and compromise are not allowed, and all work must pursue perfection and reach every detail." As an operator of an enterprise, we should not only grasp the development direction of the enterprise macroscopically, but also understand the details of the work. "It can even be said that when a subordinate takes time off, if he can't take his place, he is not qualified to be a leader."

For production, sales targets and research and development progress, we must ensure the realization of 100%, even if it is a little bit worse, we will never give in. Otherwise, "the company's management is neglected and the company's internal discipline is slack." For accounting statistics, operators should strictly examine and verify, and no mistakes are allowed.

The principle of perfectionism can permeate the whole company and become the habit of every member, if the operators strictly implement it themselves. "Sorry, I'll do it again" is an escape, and mistakes can't be erased with an eraser.

Five, the principle of double confirmation.

Kazuo inamori advocates "heart-oriented" business philosophy. He believes that the human heart is fragile and also the most reliable. Because people's hearts are fragile, they need a system to restrain them and prevent employees from making a big mistake because of one idea.

Therefore, Kyocera implements a "double confirmation" system in the whole management system, from the receipt of raw materials, the delivery of products to accounts receivable, so that more than two people and more than two departments can check and confirm each other, thus promoting the work.

Specifically, for the handling of incoming and outgoing funds, the person who issues the invoice and the person in charge of the money must be separated; For the daily total cash balance, it must be consistent with the amount of * *, not only the total amount, but also with each time point;

For the company seal, set up a double lock, which must be used by two people; When purchasing goods and services, the department that needs goods must send * * to the purchasing department, asking the purchaser to issue an order, and it is forbidden for the department that needs goods to contact the supplier directly;

For the collection and payment of credit sales, it is not arranged by the sales staff alone, but all through the company's finance department * *; For waste disposal, the quantity and amount must be double confirmed; Even the cash of vending machines and pay phones, although the figures are too small to be owned by one person, two people should confirm each other.

Kazuo inamori emphasized that the principle of double confirmation is not based on distrust of employees, nor on the assumption that human nature is evil, but on people's inner vulnerability. "It is the care of the operators for their employees and a good belief that employees are not allowed to commit crimes."

Sixth, the principle of improving efficiency.

The way to improve the benefit is mainly manifested in the "unit time benefit accounting system" operated by Amoeba. "Amoeba's business plan, performance management, labor management and other business matters are all operated by itself." Amoeba realizes transparent management with full participation and independent accounting.

It should be noted that amoeba management applies market rules to enterprises, but it is by no means advocating fierce competition among amoeba, but through the independent accounting of amoeba, it can clearly reflect its contribution to the whole company and promote the mutual support and survival of the company.

Seven, transparent as glass working principle.

The transparency of operation should first be manifested in aboveboard finance, and must not be manipulated financially. Not only top managers should know what employees are doing, but employees should also know what top managers are doing. Kōnosuke Matsushita once worried about how to realize information openness and transparency after the expansion of the company's scale. The amoeba management in kazuo inamori solved this problem.

However, in order to ensure the good operation of amoeba, the overall information of the company needs to be conveyed to every employee comprehensively, accurately and timely. One of the prerequisites for the implementation of amoeba management is mutual trust among members of the organization. Whether employees trust leaders depends on whether leaders can truthfully publish information and set an example first. "Operators will take the lead and employees will be clear at a glance." Some leaders advocate not publishing the business data of enterprises for the sake of confidentiality.

Kazuo inamori believes that this kind of behavior does more harm than good, because employees can't understand the relevant situation of the enterprise, so it is difficult to have a * * * relationship with leaders, and it will not generate the motivation to work hard. In order to operate as transparent as glass, kazuo inamori advocates that the most important thing is that leaders should be strict and self-disciplined and impartial, and then truthfully tell employees what the leaders think, the status quo and goals of the enterprise, and even if there are "bad things", they should immediately tell them truthfully.

Enterprises become social tools after listing, and it is the responsibility of operators to disclose information truthfully. When there are difficulties in business operation, timely disclosure will help to convey correct information to investors and avoid rumors, which will help investors to enhance their confidence and raise their stock prices in the long run. Kazuo inamori emphasized that if enterprises always adhere to the management accounting principles such as one-to-one correspondence and have a clear understanding of the current situation of enterprises, then naturally they will not worry about the unexpected problems that may occur after the information is published.

Therefore, the principle of one-to-one correspondence is the essential condition, while the principle of glassy transparency is the limiting condition. Business operators adhere to the correct way of life and thoroughly implement the principle of one-to-one correspondence, which will naturally be as transparent as glass. On the other hand, if there are irregular behaviors in the business process, then the operators certainly dare not implement the principle of glass transparency.

A bad system prevents good people from doing good things and even forces good people to do bad things; A good system enables good people to do good deeds and even forces bad people to do good deeds. The dispute between good and evil in human nature often holds one end. If we only emphasize the goodness of human nature, we will ignore the role of the system, so that people who do good deeds will not be guaranteed. If we only emphasize the evil of human nature, it will make the system go to the negative side and only prevent people from doing bad things.

Kazuo inamori jumped out of this dispute between good and evil of human nature, and he emphasized the accepted concept of * *, starting from a correct life, taking care of and promoting the goodness of human nature as the basic point, and at the same time seeing the fragile side of human nature. The thinking caused by this is not based on accounting dogma, but on real life, and summed up seven principles of management accounting in kazuo inamori's business practice.

The essence of accounting in kazuo inamori is "human accounting", which is the greatest contribution made by kazuo inamori who doesn't understand accounting. His accounting and his business philosophy are combined, and it is enough to summarize them in four words: "restraining evil and promoting good". (Source: Amoeba Practice Institute)