Category:Theory of Constraints
About Theory of Constraints
The Theory of Constraints is a set of holistic processes and insights, all based on a systems approach that simplifies the improving and managing of complex organizations by focusing on the few physical and logical constraining “leverage” points. Furthermore, it provides a tool set to build and implement the “levers” (holistic rules) that synchronize the parts to achieve an order of magnitude improvement in the performance of the system as a whole.
The theory of constraints has three underlying assumptions:
Convergence - Inherent Simplicity
•The more complex a system is to describe, the simpler it is to manage. Consistency - There are No conflicts in Nature
• If two interpretations of a natural phenomenon are in conflict, one or possibly both must be wrong Respect - People are not Stupid
• Even when people do things that seem stupid they have a reason for that behavior
Eliyahu Goldratt originated the idea in his book The Goal as a way of managing organizations to increase profits. ToC is a proven method that can be used by existing personnel to increase throughput (sales), reliability, and quality while decreasing inventory, WIP, late deliveries, and overtime. Successful organizations also adopt the Theory of Constraints to help make tactical & strategic decisions for continuous improvement.
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Pages in category "Theory of Constraints"
The following 32 pages are in this category, out of 32 total.