Identify advantages and disadvantages of standard costs and variance analysis In the following list, identify whether the situation would indicate that a company should use standard costs and variance analysis or if the company should move away from standard costs and variance analysis. Move away from Use standard standard costs Situation costs There has been an increase in automation in the 1. manufacturing process and a corresponding decrease in direct labor 2.Would like to increase employee motivation levels 3.Would like to facilitate the budgeting process Will be implementing lean practices throughout the organization al Would like to use operational performance measures and visual management cues 6. Need timely reports about production results 7. Would like to simplify the bookkeeping process 8. Want benchmarks by which to judge actual costs