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Theory of Constraints Handbook - James Cox Iii [649]

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are not negotiation tools but tools to discover and communicate truth.

The EC addresses the combined goal (objective A) of two parties and the needs (Requirements B and C) of both sides. The conflict (D and D′) comes when one side needs to act in a specific way to meet its need but this specific action impinges upon the need of the opposite side. By examining the needs of both sides and the assumptions, a suitable injection can always be found for common conflicts.

The Negative Branch Reservation exposes how even the best of intentions can lead to negative effects. Communicating the causes of these negative effects highlights where the system can be improved. Moreover, the additional injections needed to eliminate the negative effects always improve the system as a whole. When a chronic conflict surfaces, using the EC and Negative Branch Reservation, with the parties working together, creates a new level of understanding and cooperation.

The Prerequisite Tree (or Ambitious Target Tree) is a very effective tool to overcome the obstacles facing any new initiative. Groups that work together to overcome the obstacles develop significant teamwork skills and achieve ambitious targets.

Controlled Resource Allocation

Another needed injection addresses the need to allocate resources correctly. Initially TDD will highlight areas that require senior management attention; however, once unit managers learn what the capabilities of their local resources are and how to manage effectively using DBR and CCPM, they will be making fewer commitments that cannot be met. Increasingly there will be requests for commitments from customers and other organizational units that cannot be met immediately due to capacity constraints. It will be critical for the organization to allocate resources in such a way as to maintain the balance of flow in the organization, develop the resources of the organization, and use the most critical resources in the most effective way.

In Reaching the Goal (2008, Chapter 4), Ricketts elegantly describes the management of the resource bench. Assigning critical resources from a central pool according to the needs of different parts of the organization makes very good use of the resources. Managing the central resource pool to accommodate returning resources, attrition, and acquisition of resources in advance of the need is handled with a resource buffer. This resource pool concept works exceptionally well when those using the resources are encouraged to return unused resources to the resource pool as soon as they are no longer used (an IDD measure encourages this). This will only work when project and department managers know they will receive an adequate number of resources when needed.

Carrying Rickett’s resource bench to the next level helps project managers and department leaders make even better use of their limited resources. Too often, the best, most qualified resources are overloaded and unable to offload work to other less qualified resources. This situation delays the development of the less qualified resources and prevents the organization from fully benefiting from the expertise of the most qualified.

The solution for this problem involves separating a small group of the most qualified resources (10 to 20 percent of like resources is sufficient) from the everyday duties of the work. This local expert group acts as a local resource bench to move in and out of the day-today activities as the need arises. This way, the less qualified resources can do the day-to-day activities and develop capabilities. If a less qualified resource runs into a problem that cannot be resolved within the allotted time (when TDD is threatened), then the experts from the local resource bench come and help. This develops the less qualified resource right at the time the resource is ready to learn, protects the due date, and allows a few experts to use much of their free time on improving the local processes. When on-time delivery is an absolute necessity, all resources of a group may need to participate in an all-out effort

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