Theory of Constraints Handbook - James Cox Iii [766]
14See Chapter 24 for an explanation of these processes.
1© E. M. Goldratt used by permission, all rights reserved.
2Thomas Aquinas (1225–1274), the most important Catholic medieval philosopher and theologian, was most likely the one who came up with the classification of “sins of omission” and “sins of commission,” but there are references to “the sin of failing to do something good when you know you should” and “the sin of doing the wrong thing” in the Bible (the Good Samaritan parable and Ten Commandments are classic examples of such references).
3The improvement challenges identified by Barnard are similar in nature to those identified by Dr. Eli Goldratt in The Choice (2009, 157–158) as obstacles that must be overcome to achieve a full life (through the choice to think like a scientist). These include “perception that reality is complex,” “accepting conflict as given,” “blaming others,” and “thinking that you know.”
4See Chapter 25 of this Handbook.
5See Chapter 16 of this Handbook for a case study involving such a five-day workshop.
6© E. M. Goldratt used by permission, all rights reserved.
7A time buffer is a release control mechanism that protects the due date of an order against expected disruptions (Murphy) by releasing it significantly earlier than the actual processing time of the order while not so early that it will contribute to long queues, high WIP and longer lead times. The general rule in TOC is that time buffers are set at 50% of the pre-TOC implementation lead time and are divided into three equal zones (green, yellow and red) with orders that enter red status, triggering expediting actions.
8Goldratt’s latest insights on the required focusing mechanism for continuously improving Operations, Distribution, Projects, and Sales can be found in Goldratt’s generic S&T that have been released into the public domain. These can be found in the S&T Library embedded in HARMONY (S&T Expert System) downloadable from www.goldrattresearchlabs.com.
9TOC draws a distinction between issues that are truly important and issues that are of a peripheral nature. Goldratt has used a wonderful word from the Israeli slang to describe trivial issues: choopchick. Apparently, “choopchick” comes from the behavior of teenage boys that spend so much time on their “choop”—their hair—with a real belief that this will help them attract “chicks”—teenage girls—therefore, it refers to an action that takes significant efforts, but accomplishes very little else. The effect of choopchicks within the management process can be devastating. Wasting time and resources on relatively unimportant issues diverts efforts from genuinely significant concerns.
10See, for example, T. Pyzdek and P. A. Keller, 2010. The Six Sigma Handbook. 3rd ed., New York, McGraw-Hill, 127–133.
11DMAIC is the acronym used for the Six Sigma process that includes five steps—Define, Measure, Analyze, Improve, and Control.
12All the latest S&Ts are available at www.goldrattresearchlabs.com with a free download of Harmony S&T viewer.
1Examples of TOC success stories that were not sustained, or eventually failed due to one or more of the listed mistakes include Bethlehem Steel and General Motors.
2Dr. Eli Goldratt (Goldratt, 1999b) calls the exponential growth in performance the “red curve” and the improved stability curve with diminishing returns towards a maximum level, the “green curve.”
3(Cost World: Managing using rules that assume Global Optima = Sum of Local Optima). Throughput World: Managing using rules that acknowledge Global Optima ≠ Sum of Local Optima. Global optima is achieved through better protecting, exploiting or elevating system constraints to increase System goal units (Throughput) with the minimum Operating Expenses and Investment.
4Goldratt (2009) has recently shared his own realization that TOC can be summarized in one word—FOCUS, as outlined in Chapter 1. Goldratt also explains that for him the definition of FOCUS is simply preventing the two mistakes identified by Ackoff (2006). Real FOCUS