Goal II ppt


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Book Review and learnings from the Book GOAL 2 written by Illiyaho Goldratt - Useful for Management students

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Goal II ppt

  1. 1. Goal IIIts not luck
  2. 2. Introduction to the book After the grand success of Goal I Dr. Eliyahu Goldratt came up with Goal II in 1994. The book revolves around Alex Rogo, the VP of three recently acquired companies under diversification strategy of the group. The book teaches us how to use a transition tree to move from current reality to future reality. It effectively teaches us to move from lose- lose situation to win-win situation.
  3. 3. THE DIVERSIFIED GROUP I Cosmetics led by Stacey Printing press led by Pete Pressure Steams led by Bob
  4. 4. Communication & English The language is simple and easy to understand unlike the one used by other foreign authors. The story is gripping & gives touches of both personal and business examples. Though it’s a sequel of Goal I one can understand Goal II without reading Goal I.
  5. 5. Target Audience Goal II is a Business, Educational, Realistic and Fun Novel. The practical examples given in the book appeals to all classes of the audience. Hence we can say that it targets not only Business Applications but also at personal levels.
  6. 6. The Story There has been recession in the market due to which the board decides to concentrate on core competency. Owing to this shift in the strategy the board decides to put these companies on the auction block. Alex is given the responsibility of turning these companies around to fetch attractive returns. So Alex is in a dilemma: If he succeeds, the companies can be sold for a good price; if he fails, the companies will be closed.
  7. 7. Contd… Following his tutor Jonah’s techniques, Alex tries to analyze the situation and attack the root cause. He applies thinking processes and break through solutions by not using the traditional approach. He gives less importance to the traditional approaches like making more investments, offering new products, cutting costs etc but prefers tailoring his approach towards market.
  8. 8. Thinking Clouds Current Reality Tree :2. To identify Symptoms troubling the manager (UDE).3. To make Logical Injections using If-Then Logic to establish relation between UDE and the root cause of the problem.4. To analyze the established logical relation and address the conflict by tackling it effectively.
  9. 9. Thinking Contd. Future Reality Tree2. Starts with problems to root causes of current reality tree.3. Attempts to reach the set of desired objectives.4. A Transition Tree is used to move from Current Reality tree to Future Reality Tree.
  10. 10. Illustrations Ensure the safety Sharon Home of Sharon before 10 o clock Have a Good Family Life Sharon is Sharon home Popular around 12 o clock
  11. 11. WE WILL HAVE FRICTION IN FUTURE. It will be annoying for son to get a NO in future. Son get used to Father don’t having the car at want to share his disposal the car For a lengthy period, son When people can use can use the car whenever something regularly, it he wants becomes a habit- A Right When Father is Father is away away, the car is for a lengthyat Son’s Disposal period of time
  12. 12. BREAKTHROUGH SOLUTIONS OBTAINED BYAPPLYING THE THINKING PROCESS Implemented sales strategy for press business wherein, the customers were offered a small batch size on frequent shipment basis. Implemented a distribution strategy for the cosmetic business wherein, the shops were asked for sales report and replenishment was done on day to day basis accordingly. Started manufacturing and selling spare parts/mountings of other makes as well, rather than being restricted to their own for the pressure steam division.
  13. 13. Message of the book It is futile to define a goal without defining the boundaries within which we can attempt to reach it. A goal must address all sides of the issues Most problems can be solved by simple solutions if addressed in a systematic manner. It is important to identify the cause of the problem and deal with it effectively.
  14. 14. Scope of the book The book proves beneficial to management students in a sense that it opens their mind and forces them to challenge established theories which one may otherwise accept at face value. It gives a practical approach of analyzing complicated problems in any field. Hence it is a book which is a must read for any avid reader of books.
  15. 15. FUTURE OF THE BOOK The book might provide an innovative solution rather than the application of quick fix solutions. It gives a clear message that winning in business is not a matter of luck but of detailed planning linked to vision. Based on these grounds, the book will continue its appeal to the masses in the near future.
  16. 16. Conclusion The book clarifies management techniques that are based on very simple concepts. Reiterates the idea that management is common sense and displays how common thinking becomes removed from common sense. It is a book that forces us to think and to challenge the accepted practices in the industry.