Theory of Constraints

image showing early stages of growth for a single plant

Transform Your Organization with a New Way of Thinking about Strategy; The Ever-Flourishing Company

“Value is created by removing a significant limitation for the customer, in a way that was not possible before, and to the extent that no significant competitor can deliver.” Eliyahu Goldratt The average lifespan of a company listed in the S&P 500 index of leading US companies has decreased by more than 50 years in the …

Transform Your Organization with a New Way of Thinking about Strategy; The Ever-Flourishing Company Read More »

Black queen on chessboard with pawns in the background

Theory of Constraints Applied to Strategy

The Gestalt of ToC “Truth is ever to be found in simplicity, and not in the multiplicity and confusion of things.” – Isaac Newton The Theory of Constraints. What sort of management strategy is that? Who calls a management approach a “theory”? And “constraints”; isn’t that the same thing as a “bottleneck”? If you’ve read Eliyahu …

Theory of Constraints Applied to Strategy Read More »

handshake

An Introduction to the Theory of Constraints

Decision Making – Focus on the Goal Almost every manager is aware of Pareto’s law, the important few – the trivial many which is often thought of as the 80/20 rule. 80% of results are generated by 20% of the actions. To improve your effectiveness, one only need to focus on the 20% and you’ll get …

An Introduction to the Theory of Constraints Read More »

Theory of Constraints & Strategy – An Introduction

The Gestalt of ToC “Truth is ever to be found in simplicity, and not in the multiplicity and confusion of things.” – Isaac Newton The Theory of Constraints. What sort of management strategy is that? Who calls a management approach a “theory”? And “constraints”; isn’t that the same thing as a “bottleneck”? If you’ve read Eliyahu …

Theory of Constraints & Strategy – An Introduction Read More »

Reconsider Your Rules on Materials and Suppliers

In my previous post about checking your assumptions, I talked about the rules and requirements about your process.  The supply chain is no different.  After all, rules are made, boundary conditions established around how you deal with your suppliers.  Therefore, you should also look at your supply chain policies to find possibilities to increase output – …

Reconsider Your Rules on Materials and Suppliers Read More »

ship on water with oil boom in foreground

Challenge Your Assumptions about the Process

To increase output, whether in a disaster or in everyday pressures, you must challenge your assumptions to find solutions.  Usually, the solution is not obvious (otherwise, it would have been implemented, right?), so you have to dig deeper.  Challenging assumptions helps us see where we can change the process.  There is still more to get out …

Challenge Your Assumptions about the Process Read More »

Manage and Align Performance by Applying Uniform Standards

The more contractors or departments involved in a project, the more chances for variation and, often, more confusion.  There is always the opportunity for misalignment and miscommunication.   The larger the organization, the more opportunity for missing cues on priorities and direction.  For the process owner, the challenge is to align a team to drive progress towards …

Manage and Align Performance by Applying Uniform Standards Read More »

Little’s Law – The ONE thing you can do to improve process performance

Is your system in chaos? What do I mean by chaos? I mean resource shortages, priority battles, constant expediting, too much work in process, or too much rework. Everything just takes too long. Little’s Law is a very simple concept that will help you gain control over your system. Mastering this concept will arm you with …

Little’s Law – The ONE thing you can do to improve process performance Read More »

Focus on the Constraint

What if you can’t simply reallocate resources to maximize flow because the constraint is the process or a machine itself?  Sometimes it takes a little more creativity to identify how to exploit the constraint (the drum), but just because a machine is the constraint does not mean the fix is more expensive equipment.  The key to …

Focus on the Constraint Read More »

Scroll to Top