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Introduction To Theory of Constraints

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Hasham22

This presentation contains an introcution to the Theory of Constraints. The concept of \'systems as chains\' is explained in detail.

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Introduction to Theory of Constraints Presented by Hasham Muhammed [email_address] 23rd September, 2008
Contents ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],23rd September, 2008
Do we really want or need another New Theory? 23rd September, 2008
Do we really want or need another New Theory? 23rd September, 2008 “ The significant problems we face today can not be resolved at the same level of thinking we were at when we created them.” - Albert Einstein
Thinking Process ,[object Object],23rd September, 2008
Thinking Processes 23rd September, 2008 ,[object Object],[object Object],[object Object]
[object Object],System’s Thinking 23rd September, 2008
[object Object],23rd September, 2008 The key point here is INTERACTION. System’s Thinking
[object Object],23rd September, 2008 Cooking food is a good analogy – Final product is different from the individual ingredients The key point here is INTERACTION. System’s Thinking
The System’s Goal Why do Systems exist? 23rd September, 2008
The System’s Goal 23rd September, 2008 Why do Systems exist? ,[object Object]
The System’s Goal 23rd September, 2008 Why do Systems exist? ,[object Object],[object Object]
Who gets to decide what the goal should be? The System’s Goal 23rd September, 2008
23rd September, 2008 Who gets to decide what the goal should be? The System’s Goal ,[object Object]
23rd September, 2008 Who gets to decide what the goal should be? ,[object Object],The System’s Goal ,[object Object]
Theory of Constraints is about Management 23rd September, 2008
[object Object],[object Object],[object Object],[object Object],23rd September, 2008 Theory of Constraints is about Management
[object Object],[object Object],23rd September, 2008
Concept of System Constraints 23rd September, 2008
Concept of System Constraints 23rd September, 2008 What keeps your system from doing better?
Concept of System Constraints 23rd September, 2008 What keeps your system from doing better? Is there something that is constraining your system from reaching its GOAL?
Systems as Chains ,[object Object],23rd September, 2008 A B 1 2 3 6 5 7 4
Systems as Chains (cont..) ,[object Object],[object Object],23rd September, 2008 A B 4
Constraints and Non-Constraints 23rd September, 2008
Constraints and Non-Constraints 23rd September, 2008 ,[object Object],[object Object]
Constraints and Non-Constraints 23rd September, 2008 ,[object Object],[object Object]
Constraints and Non-Constraints ,[object Object],23rd September, 2008 ,[object Object],[object Object]
Strengthening the Chain 23rd September, 2008
Strengthening the Chain ,[object Object],23rd September, 2008
Strengthening the Chain ,[object Object],23rd September, 2008 Strengthen the weakest link
Core of TOC 23rd September, 2008
Core of TOC 23rd September, 2008 If you don’t impact the Constraint, you have no effect
Basic Questions for Managers ,[object Object],[object Object],[object Object],[object Object],23rd September, 2008 Note: These are system-level questions, not process-level
23rd September, 2008 TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
23rd September, 2008 1 . Identify the Constraint 2 . Exploit the Constraint 3 . Subordinate everything to the Constraint 4. Elevate the Constraint 5 . Repeat for the new Constraint ‘ Beware’ of Inertia TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
A Production Example 23rd September, 2008 A simple production System
TOC – Step 1 23rd September, 2008
[object Object],TOC – Step 1 23rd September, 2008
TOC – Step 1 ,[object Object],23rd September, 2008 Step C is the Constraint
TOC – Step 2 23rd September, 2008
[object Object],TOC – Step 2 23rd September, 2008
[object Object],TOC – Step 2 23rd September, 2008 ,[object Object]
TOC – Step 3 23rd September, 2008
TOC – Step 3 23rd September, 2008 ,[object Object]
TOC – Step 3 23rd September, 2008 ,[object Object]
TOC – Step 3 23rd September, 2008 ,[object Object],Capacity Increased at Step C
23rd September, 2008 TOC – Step 4
23rd September, 2008 TOC – Step 4 ,[object Object]
23rd September, 2008 ,[object Object],[object Object],TOC – Step 4
23rd September, 2008 ,[object Object],[object Object],[object Object],TOC – Step 4
23rd September, 2008 TOC – Step 5
[object Object],23rd September, 2008 TOC – Step 5
[object Object],[object Object],23rd September, 2008 TOC – Step 5
Types of Constraints Internal External ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],23rd September, 2008
23rd September, 2008 1 . Identify the Constraint 2 . Exploit the Constraint 3 . Subordinate everything to the Constraint 4. Elevate the Constraint 5 . Repeat for the new Constraint ‘ Beware’ of Inertia TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
Theory of Constraints ……a summary ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],…… Goldratt has used business novels to get his concepts across which can be grasped by people like us and practiced… 23rd September, 2008
Goldratt – TOC Bestsellers 23rd September, 2008
23rd September, 2008 There is no such thing as staying the same. You are either striving to make yourself better or allowing yourself to get worse. - Source Unknown
23rd September, 2008 The Logical Thinking Process – A systems approach to complex problem solving - H. William Dettmer References

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Introduction To Theory of Constraints

  • 1. Introduction to Theory of Constraints Presented by Hasham Muhammed [email_address] 23rd September, 2008
  • 2.
  • 3. Do we really want or need another New Theory? 23rd September, 2008
  • 4. Do we really want or need another New Theory? 23rd September, 2008 “ The significant problems we face today can not be resolved at the same level of thinking we were at when we created them.” - Albert Einstein
  • 5.
  • 6.
  • 7.
  • 8.
  • 9.
  • 10. The System’s Goal Why do Systems exist? 23rd September, 2008
  • 11.
  • 12.
  • 13. Who gets to decide what the goal should be? The System’s Goal 23rd September, 2008
  • 14.
  • 15.
  • 16. Theory of Constraints is about Management 23rd September, 2008
  • 17.
  • 18.
  • 19. Concept of System Constraints 23rd September, 2008
  • 20. Concept of System Constraints 23rd September, 2008 What keeps your system from doing better?
  • 21. Concept of System Constraints 23rd September, 2008 What keeps your system from doing better? Is there something that is constraining your system from reaching its GOAL?
  • 22.
  • 23.
  • 24. Constraints and Non-Constraints 23rd September, 2008
  • 25.
  • 26.
  • 27.
  • 28. Strengthening the Chain 23rd September, 2008
  • 29.
  • 30.
  • 31. Core of TOC 23rd September, 2008
  • 32. Core of TOC 23rd September, 2008 If you don’t impact the Constraint, you have no effect
  • 33.
  • 34. 23rd September, 2008 TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
  • 35. 23rd September, 2008 1 . Identify the Constraint 2 . Exploit the Constraint 3 . Subordinate everything to the Constraint 4. Elevate the Constraint 5 . Repeat for the new Constraint ‘ Beware’ of Inertia TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
  • 36. A Production Example 23rd September, 2008 A simple production System
  • 37. TOC – Step 1 23rd September, 2008
  • 38.
  • 39.
  • 40. TOC – Step 2 23rd September, 2008
  • 41.
  • 42.
  • 43. TOC – Step 3 23rd September, 2008
  • 44.
  • 45.
  • 46.
  • 47. 23rd September, 2008 TOC – Step 4
  • 48.
  • 49.
  • 50.
  • 51. 23rd September, 2008 TOC – Step 5
  • 52.
  • 53.
  • 54.
  • 55. 23rd September, 2008 1 . Identify the Constraint 2 . Exploit the Constraint 3 . Subordinate everything to the Constraint 4. Elevate the Constraint 5 . Repeat for the new Constraint ‘ Beware’ of Inertia TOC- FIVE FOCUSING STEPS ( Which will Strengthen the Chain )
  • 56.
  • 57. Goldratt – TOC Bestsellers 23rd September, 2008
  • 58. 23rd September, 2008 There is no such thing as staying the same. You are either striving to make yourself better or allowing yourself to get worse. - Source Unknown
  • 59. 23rd September, 2008 The Logical Thinking Process – A systems approach to complex problem solving - H. William Dettmer References