Recent economic events have changed the relationship many companies have with their markets. Not recognizing this change is dangerous. You may need the change the way you are managing, and quickly. Goldratt's Theory of Constraints (TOC) asks four fundamental...
We are continuing our series based on The Goal by Eliyahu M Goldratt and the Theory of Constraints. {This series was co-written with Brad Stillahn.} The PQ quiz below is deterministic, with one correct answer. You have only ten minutes to take the quiz once you have...
Ready to Implement Technology (RIT) The good news is that improved Ready to Implement Technology (RIT) processes are available. The bad news is that the Western World is implementing these processes slowly, and much slower than some other parts of the world. Here is a...
We are continuing our series based on The Goal by Eliyahu M Goldratt and the Theory of Constraints. {This series was co-written with Brad Stillahn.} “A Technology Gap” At the recent NTMA conference, Professor Paul Zane Pilzer spoke of the importance of technology in...
“Incentives Work, Don’t They?” Dr. Lisa: “Brad, ever since I’ve known you, you have been interested in the effectiveness of incentives. You have a strong opinion on incentives. Tell me why.” Brad: “It started when I bought my label printing business back in 1991. I...
If we can compute the impact of any action using T, I, and OE, which are global measures (and part of Throughput Accounting), then we can compute the bottom line financial impact quite easily: · Throughput minus Operating Expense equals Net Profit (T-OE=NP). ·...
To make managing a complex organization easier, we break organizations into pieces. Many of the current measurements have the purpose of measuring local performance, under the erroneous assumption that the overall performance of the organization will be maximized if...
Reliability To increase our reliablity, we need things to NOT go wrong. Dr. Goldratt proposed that there are just two categories of things that can go wrong - unreliability and ineffectiveness. These two things account for everything, and have no overlap....
Measurements (Not Incentives) “Tell me how you measure me, and I will tell you how I will behave. If you measure me in an illogical way…do not complain about illogical behavior”. This quote by Dr. Eli Goldratt, the father of the Theory of Constraints (TOC), speaks...
Q6 Dr Lisa: Are there some basic questions our clients can use to assess the “time span of discretion” for an individual? Tom: In his Time Span Handbook, Elliott Jaques outlines ten questions for a diagnostic interview. While most diagnostics, related to employment,...
