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In essence, the Theory of Constraints (TOC) 'Thinking Process' to which we subscribe
applies scientific methodologies to resolving business problems. It was originated
by Dr. Eli Goldratt
and introduced through his best selling book "The Goal" - a business novel on production and operations
solutions.
Dr. Goldratt characterized organizations as a 'system' that is comprised of interlocking
subsystems, much like a chain. The operation or productivity of such an example
is limited by its weakest link or constraint. The Thinking Process
is a system improvement process and is designed to answer three questions, aimed
to achieve more of your company's goal:
- What to change
- What to change to
- How to bring about the change
Through this approach, the Thinking Process leads one from finding the problem,
creating the breakthrough solution, planning the solution/implementation, and finally
monitoring the effectiveness of the solution/implementation. The Thinking Process
directs a focused resolution through a five-step process to achieve a successful
solution/implementation that benefits the entire system.
The Five Focusing Steps:
- IDENTIFY the system's constraint.
- Decide how to EXPLOIT the system's constraint.
- SUBORDINATE everything else to the above decisions.
- ELEVATE the system's constraint.
- Return to step 1 -- don't let INERTIA become the system's constraint!
More information on the Theory of Constraints.
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