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TOC- To improve Supply Chain with special emphasis

The three level strategies i.e. Strategic, tactical and operational level planning of a TOC project. Quick reference guiding tool for academicians, researchers and industry professional to gain insights into the TOC literature and applications to achieve significant improvement in manufacturing, services and not-for profits sector.

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TOC- To improve Supply Chain with special emphasis

  1. 1. Research PapersA Literature Review Of Theory OfConstraint In PerformanceImprovement With Special EmphasisOn Supply Chain Management by Kuldeep Singh Malik
  2. 2. Theory of Constraints role in the success of ITwith special reference to ERPAbundant literature is available on the revolutionary theory of management known as “the Theory of Constraints” .Itdiscusses the applications of this theory but in very few limited aspects of management. The present paper overcomesthis limitation and broadens the scope of literature review by covering the latest studies including the studiesconducted till March 2011.Although the paper highlights different applications of TOC in manufacturing, projectmanagement, ERP, integration of TOC with Lean, Six Sigma including 6TOC,specific applications in marketing, HRM,Product management, sales management, education field, restaurants, Healthcare, medical science, sustainabledevelopment E–commerce, Innovations management, Small business management, Enterprenership, Oil refineries,Airlines, and Banking sector Yet, special mention has been given on the recent studies of TOC based on distributionmanagement and replenishments practices resulting in an increase in ROI, reduction in operating expenses,improvements in sales force performance, sales force productivity and range selling in FMCG sector. The present paperalso highlighted the three level strategies i.e. Strategic, tactical and operational level planning of a TOC project. Thispaper can serve as a quick reference guiding tool for academicians, researchers and industry professional to gaininsights into the TOC literature and applications to achieve significant improvement in manufacturing, services andnot-for profits sector.The TOC is a systems management philosophy developed by an Israeli physicist Eliyahu M. Goldratt. It took overtwo decades research, claiming that each system has at least one constraint, challenging current state ofbusinesses practices and its been inspired from root cause analysis. In his book, “The Goal: A Process of OngoingImprovement”. Goldratt states that a firms goal is to make money now and in the future. A company will not exist ifit is not making money. Any activity that does not help make money is a waste of time and resources [The Goal,Goldratt].1. Theory Of ConstraintsThe real inspiration of TOC came from Prof. Ishikawas the Fish-bone analysis/ the root -cause analysis. Itbuilds on the Lean philosophy of eliminating waste to cut costs and decrease production time ([38] LoriRanson., 2010).In his book, “The Goal: A Process of Ongoing Improvement”. Goldratt states that a firmsgoal is to make money now and in the future. A company will not exist if it is not making money. Any activitythat does not help make money is a waste of time and resources ([15] Goldratt, 2004).Each system has atleast one constraint that challenges the current state of a businesss practices and its location can be in themarket, resources, suppliers, knowledge and competence. In the absence of it, the system could produceunlimited amounts of profit ([31] Kuldeep Singh Malik., (2011).The identification and exploitation ofconstraints or bottlenecks remains focus of TOC to get closer and closer to fully attaining its performanceobjectives ([38] Lori Ranson., 2010). Although TOC has been praised as a beneficial theory yet the same hasalso been subject to criticism mainly by ([52] Paul Husby); 2007) on the ground of being complex to master,excessively using an "intellectual" language for problem-solving process , a strong need of a well trainedexperts for implementation and the top-down nature that discourages all team members.2. Applications Of The Principle Of TOCThe TOC applications range from Project Management, Distribution, Production, Supply Chain, FinancialManagement, Marketing, HRM, Sales& Buy-In, Managing People, and Strategy & Tactics, Health care andEducation sector .However, there are several other areas of TOC applications yet to be explored. In Projectmanagement, it has been discussed through Buffer management by Dr Goldratt and Fox in 1986, DrGoldratt and Cox in 1992, Stein in 1996, Cox and Spencer in 1998, Goldratt in 1997 and Goldratt et al in2000 and they found that Buffer management was the key to effective production scheduling. InDistribution, It involves the drum-buffer-rope (DBR) scheduling method, buffer management, and the VATanalysis through the TOC based measurements to make the system accomplish its goal of making money.TOC based Performance measurement includes operating measures (throughput, inventory, operatingexpenses) and local performance measures (throughput-dollar-days and inventory-dollar-days) ([68] TogarM Simatupang et al; 2004).The benefits of the TOC interventions in Distribution are mainly an increment inthe sales volume together with the reduction in the expenses of a distributor/retailer in the distributionVector Consulting Group
  3. 3. Theory of Constraints role in the success of ITwith special reference to ERPnetwork, reduction in the investments and hence, improvement in the ROI. The bottlenecks are tackledusing automatic- replenishment method ([9] Cyplik P., Hadaś Lukasz, Domański R., 2009).In the Educationfield, Goldratt established a not-for-profit foundation named "TOC for Education" in 1995 with a goal toimprove childrens education by training them on TOC tools for better learning, thinking andcommunication skills. The academic institutions of Philippines, Malaysia, Mexico, Yugoslavia, Venezuela,United Kingdom, and South Africa are taking advantage of the TOC. In Malaysia alone, about 35,000teachers and 650,000 students are being taught TOC. According to ([64] Smith et al;1996).TOC makes iteasier to make sensible decisions in areas such as product mix, product pricing, capital investment andprocess improvement expenditures, and product addition/deletion decisions that are in alignment withcorporate goals.3. Literature ReviewAccording to ([71] Victoria J. Mabin: (2003), majority of books and items on TOC made claims like increasedthroughputs, reduced inventories and lead-times, which in turn would lead to higher sales, and improvedprofits, quality, and customer satisfaction. While, majority of the TOC applications involved the philosophy,operations management, DBR, and the constraint management led continuous improvement along with theFive Focusing Steps. The TOC applications in an FMCG sector has been discussed by ([31] Kuldeep SinghMalik, 2011), in the area of Supply Chain Management and significant improvements in the system has beenpresented .The paper also discusses the variable affecting the success of a TOC project. The variables mostsignificant are the initial loss of sales due to changeover of the old system of replenishment to TOC basedDBR, The loss of man days as a result of the sales force being trained of the job, 3) Resistance to change ofthe concerned entities, Training of 980 distributors, Sales officers, and 1698 salesmen of the company at themass level covering over thousand distributors and salesmen. The paper describes the unique strategyadopted by the management to buy back the existing excess stock of retailers to start from scratch ratherthan awaiting for the stock to get sold. The need and challenges of monitoring the physical stock at retail bythe sales force for each outlet to adhere to TOC guideline has been mentioned. Since the TOC generatesdata on replenishment and It has to be Managed by the less equipped sales force, which becomes achallenging issue in the success of a TOC project. Fulfilling of single piece orders by the distributors requiresstrong commitment levels. Training of the all retailers in their outlets by the company sales force on TOCwithout any formal arrangements suitable for training becomes a challenge to HR department.([31] KuldeepS.Malik, 2011) discussed the TOC applications in distribution logistics in FMCG sector and explained howTOC can improve ROI of distributors and retailers leading to improvements in Sales force performance. Thispapers strength lies in the TOC projects practical application described at strategic, tactical and operationallevel. The challenges narrated through a case study can serve a guide to top management, practitioners andTOC consultants while successful implementing TOC. The paper also discusses a survey of opinions ofdistributors and the company executives to gain buy-ins of all the entities concerned. ([32]KuldeepS.Malik;2011) presented a unique combination of TOC and ERP called TOC-ERP which is suggested to makean ERP Project to achieve success during all the stages of an ERP project life cycles. The presentation of thepaper in the conference covered the success achieved of the TOC-ERP in an Indian firm named Sheela Foamlimited. In a study conducted by ([34]Kuldeep S.Malik,2011),a combination of TOC and Lean has beendiscussed and it has been revealed that the TOC-Lean combination is very powerful tool in which theweaknesses of Lean are covered into strengths and the combination leads a firm in achieving continuousimprovements.([65]Seung-Hyun Rhee ,2010) discussed combination of TOC and BPMS and asserted thatTOC improves the efficiency in a system by BPMS in heavy workloads.([41] Mahesh Pophaley, 2010)discussed the combination of TOC and TPM; and explained how the combination leads called “TOC-TPM”improves flow and Throughput, reduces OE and inefficiencies. The author studied An Indian plant that wasalready using the 5S, Kaizen, and Daily Management. In a study ([2] Amarpeet Kohli, 2010) implementedTOC in Restaurants and presented a case study on a small family-owned Pizza restaurant and presented theresults achieved using the TOCs five focusing steps .The significant improvement noticed in Throughput,Vector Consulting Group
  4. 4. Theory of Constraints role in the success of ITwith special reference to ERPresource utilization and customer satisfaction along with a reduction in Operating Expenses. ([43] MarizaSiller ;2010) used a TOC Project case study of a Mexican firm with one- piece production for on-timedelivery.([1] A Ray ,2010) developed a unique TOC modeling and presented an Analytic hierarchy process(AHP). The study also compared the TOC, AHP and Integer Linear Programming models and concluded thatAHP was the best among the three methods. TOC in Healthcare was studied by ([57] Roy Stratton ,2010)wherein the TOC based time buffer management was used to improve patient flow in UK hospitals usingJonah software and the results reported were reduction in length of stay over 20%, improvement inemergency and accident handling. In a case study presented by([6]Bernardo Villarreal ,2010) a Mexicanfirm was studied for handling agility using FMS and explained a scheme by ranking set-up reductionprojects to achieve the Goal .TOC applications in small scale firms was discussed by ([40] Mahesh c. Gupta,2010) and suggested 3 M frameworks for small fir owners with a new mindset of “Increasing Throughputrather than “Reducing Expenses”. In a study by ([60] Seonmin Kim, 2010) a literature review of TOC TPs wasconducted to find the research gaps. The Compared TOC tools and their usages, by using TOC EvaporatingCloud and simulation and it was concluded that the level of WIP inventory and the protective capacitydetermines cycle time and throughput of the re-entrant line. TOC project and the critical chainmethodology and simulations was used by ([26]John H Blackstone Jr , 2009) using uniform, triangular andexponential distributions. TOC and A3 reports were implemented by ([59] Satya S Chakravorty; 2009) inmanufacturing operations of an Aircraft repair project the results were discussed using an exploratorystudy. The study highlighted the four phases of a TOC project with the help of A3 reports. The four phasesare namely; 1) Preparation and training, 2) Process mapping and current state analysis,3) Process mappingand future state analysis and 4) Implementation and ownership. The role of TOC in innovation has beendescribed by ([59] Michael A Dalton, 2009) wherein TOC lead innovation discovered bottleneck-the theconstraint that is holding back the entire process. The Five focusing steps were used to eliminate constraintsand move to next level with increased innovation throughput. The importance of a good implementer toreduced the perceived risk of failure has been discussed by ([25] John Fagan, 2009). TOC improved theefficiency and financial performance of the sick and inefficient shop owned by ([66] Tim Sramcik, 2009). Theauthor asserted that Lean should not be partly applied in a business. It should be adopted throughout abusiness to gain its full benefits. An Exploratory study was undertaken by ([19]Frank Birkin (2009) in Nordiccountries to identify business model for sustainable development and it was concluded that social contextand the right management tools such as TOC were found to be critical for sustainable development. TOCapplications in retail and supply chain were studied by ([49]Neetu Andotra , 2009) by comparing a firmpractices and its customers perceptions on supply chain links variables using survey based research andsuggested some specific lot sizes in retail towards supply chain efficiency. ([67] Todd Creasy, 2009) said that6 TOC as a combination of Lean and Six Sigma was proposed to avoid the organizational failures and a newmethod for buffers management at critical resources in shop floor control was proposed. ([54] R. A. Inman,2009) empirically examined the relationships among TOC, expected results of TOC, and organizationalperformance by using a structural equation modeling and revealed the results in form of improvedperformance. The book “The Goal” was reviewed by ([56] Ronald S, 2009) using a fictional case study. It wasasserted by ([7] Bob Sproull, 2009) that Lean and Six Sigma are important for success of TOC. It wasdiscussed by ([44] Maria Z Ramos, 2009) that a TOC and Lean integration helps to create the rightsequence of production on equipment. TOC application in mental health discussed by ([20] Gupta and Kline,2008) and revealed that TOC could improve clinician efficiency and reduce waiting times in mental healthcare industry. TOC applications in banking industry has been study area of ([53] Richard A Reid, 2008) and itwas revealed that TOC improved efficiency in banking system through the use of the five focusing steps andsystem control. TOC applications in marketing has been proposed by ([10]David Lavin ,2008) to satisfycustomer demand with reliable delivery and rapid response and it was concluded that TOC helps toincrease demand for products. An Empirical research on Inter organizational systems based on TOC hasbeen conducted by ([50] Nitza Geri, 2008) in 139 firms in Israel. The proposed study explained organizationsreluctance to implement IOS models and barrier found were lack of management support and uninterestedVector Consulting Group
  5. 5. Theory of Constraints role in the success of ITwith special reference to ERPpotential partners. It was suggested that TOC removes these barriers. A case study of a dynamic Expertsystem developed on the TOC was presented by ([22]I Rosolio ,2008) and the proposed system wasimplemented at an Oil Refineries in Israel. The model responds to dynamic bottlenecks and marketconstraint by linking production planning and operation control to maximize profits. A case study waspresented by ([46] Mats Larsson, 2008) and the limitations of continuous improvement philosophies werediscussed along with a proposal of the nine ways of increasing the system boundary. In a study of TOC andJIT by ([29] K J Watson, 2008) the impact of buffering was discussed under JIT and TOC and a simulationoutput suggested that TOC was better than JIT. ([3] Amitava Ray, 2008) developed an outsourcing model bycombining the Hurwicz criterion, TOC and linear programming and with the help of a case study proved thatthe proposed model could maximize the product throughput. In a study of TOC & Technology ([4] Anton V.D. Merwe, 2008) presented limitations of TOC in providing opportunity cost and technology adoptiondecision scenarios. TOC and Inventory area was explored by ([27] John Mansuy, 2008) and it was revealedthat TOC did not regard inventory as an asset. It was proposed to add inventory contra account to thebalance sheet. TOC and healthcare were discussed by ([51] Noriaki Aoki, 2008) with TOC applications inmedicine, diagnosis and treatment field. The study proposed physician executives to use the systematicthinking along with the three principles: 1). Total optimization 2) Constraints and 3) Policy-measurement-behaviour.TOC Literature was reviewed by ([42] Mahmoud M Yasin, 2008) and a field research wasconducted. The field research revealed operational and customer related benefits as a result of TOCimplementation and emphasized the need of systematic implementation, change management techniques,the total system and Benchmarking. TOC for Green Environment was discussed by ([28] Julie Lockhart,2008) the role of TOC has been highlighted in the production of clean products with maximum benefitsthrough a better mix of Earth-friendly products. TOC in E-Businesses studied by ([48] Narcyz Roztocki, 2008)and the paper explored TOC based Throughput Accounting (TA) using a case study of an on-line retailer andthe TOC based TA has been proposed over costing for E-Businesses for operating efficiency and profitability.TOC and Six sigma has been discussed by ([52] Paul Husby, 2007) stated that Six Sigma lacks a value chainorientation and supply chain orientation whereas TOC has both these orientations. The author alsodiscussed the limitation of TOC .The TOC language is tough to understand becoming a barrier inimprovement efforts. TOC Replenishment and supply chain area has been explored by ([68]T.M.Simatupang, 2007) and studied a conceptual framework for TOC approach through supply chaincollaboration. It was concluded that collaborative replenishment policy with Collaborative performancemetrics helped in improving customer satisfaction in Supply chain. The quantification of replenishment byTOC and reverse logistics were given as the future research areas. The area of Supply chain managementthrough replenishment has been discussed by ([72] Victoria J Mabin, 2007) with a case survey to ascertainthe real impact of TOC for improving lead time, cycle-time, and revenue. The research indicates TOC is asource of competitive advantage for manufacturing organizations and proposed for commercial and for not-for-profit sectors. Goldratt & Goldratt, (2007) Considered that points of sale generally operate with shortagelevels of at least 20%.The TOC distribution methodology decreases system stock (typically 50%),increase insales (typically at least 20%),increases stock turnover (typically over 100%),decreases internal transferencesbetween regional warehouses, decreases obsolescence (typically to less than 50%),Operational Expensekept approx the same and improvement in relationship between clients and suppliers.Period Key Focus Areas1980-90 Production, Throughput Accounting.1990-95 TOC TPs(Jonah certification)1995-97 Distribution, Marketing management1997-99 Project Management1999-00 TOC-Technology2000-07 TOC-Business strategy, TOC for Airlines management.Vector Consulting Group
  6. 6. Theory of Constraints role in the success of ITwith special reference to ERP2007-09 TOC-JIT-Six Sigma-TQM-Lean2009-10 TOC--5S-TPM- Kaizen–FMS–BPMS2010-11 TOC in NGOs, E-Business, Environment, Healthcare, Retail, Sustainable Development.The Theory of Constraints development in literature can be examined by drawing a parallel with Product lifecycle. The Introduction stage (1980-90) of the Theory of constraints focused on Production and Throughputaccounting and the TOC was considered as a software program only rather than a philosophy. During it,Dr.Goldratt himself was the pioneer in popularizing it across the world through his novels and books suchas, The Goal, The race, and The Haystack Syndrome. The second stage, the growth stage further can bebroken down into the initial tools based growth stage (1990-95) which marked an era of the TOC thinkingprocess in which structured training and certification programs were developed that were riding high on thesuccess of the success at the introduction stage. The tools developed at this stage were namely TheEvaporating Cloud (EC) based on The Core Conflict (CC), The Current Reality Tree (CRT), The Transition Tree(TT), and The Future reality tree (FRT). The second part of the growth stage (1995-97) is TOC basedDistribution, Marketing and logistics management. During this phase, several research papers and successstories exhibited how TOC was effective in reducing the Operating Expenses (OE), reducing the stock levelsacross the supply chain, improving Throughputs and reduce investment to improve ROI. The impact of DBRand the Dynamic Buffer Zones on inventory control was highlighted in several cases studies. The third partof the growth stage marked a beginning of using TOC in managing projects with the Critical Chain to ensureon time performance. The fourth part of the growth stage (1999-00) dealt with collaboration of TOC withERP and other technologies. There is special mention of how TOC can help ERP project to achieve successthroughout the life cycle of an ERP implementation. The book “Necessary but Not Sufficient” deals withsame issue in this phase. The fifth part of the growth stage (2000-07) involves a focus on TOC application inbusiness strategy and some highly specific applications in service sector e.g. Airlines management. In thisperiod, TOC has been made popular using the TOC holistic approach through the eight video sessionreleased by the Goldratt School. The sixth part of TOC (2007-09) discussed TOC in collaboration with theother management philosophies of improving the system performance of an organization. Thecollaborations of TOC –JIT, TOC-Six Sigma, TOC-TQM and TOC-Lean have been discussed by several thoughtleaders like ([52] Paul Husby, 2007) on TOC and Six sigma. However TOC applications in the area of Supplychain management have been mentioned by([68] T.M.Simatupang, 2007),Goldratt & Goldratt, (2007) and([72] Victoria J Mabin, 2007) .The seventh part of the growth stage of TOC philosophy (2009-10) againdemonstrates TOC collaboration with several popular philosophies namely TOC--5S, TOC-TPM, TOC- Kaizen,TOC–FMS, and TOC–BPMS. The current year (2010-11) represents the latest stage of growth of TOCphilosophy with discussion recent issues belonging to the new millennium. The notable work in this eradeals with TOC applications in NGOs, E-Business, Environment protection, Healthcare management ,Retailsector, Sustainable Development, Banking & Insurance, small business management, Restaurantmanagement, biomedical and engineering services, aircraft maintenance and repair operations, andinnovation investment & leadership. The work of ([60] Seonmin Kim, 2010) on TOC and re-entrant linesusing TOC TPs, ([40] Mahesh c. Gupta, 2010) on 3 M frameworks for small firm entrepreneurs, ([6] BernardoVillarreal, 2010) on a case study of a Mexican firm for handling agility using FMS, ([57] Roy Stratton, 2010)on TOC in Healthcare to improve patient flow in UK hospitals using the Jonah software to improve inemergency and accident handling, ([1] A Ray ,2010) presented and compared the TOC, AHP and IntegerLinear Programming models, ([43] Mariza Siller ;2010) discussed one piece production using TOC case studyof a Mexican firm to achieve on –time delivery, ([2] Amarpeet Kohli ,2010) presented a case study on a smallfamily-owned Pizza restaurant to improved Throughput, resource utilization and customer satisfaction withlesser OE, ([41]Mahesh Pophaley ,2010) and ([65]Seung-Hyun Rhee ,2010) studied the collaborations ofTOC with TPM and BPMS respectively, ([34]Kuldeep S.Malik,2011) studied the combination of TOC withLean to overcome the weaknesses of Lean to provide a powerful combination to improve businessperformance, ([32]Kuldeep S.Malik;2011) revealed that when TOC is used along with an ERPVector Consulting Group
  7. 7. Theory of Constraints role in the success of ITwith special reference to ERPimplementation, TOC can provide support on human issues during all stages of the ERP project life cycle and([31]Kuldeep S.Malik,2011) demonstrated through a case study of an Indian FMCG firm that how TOC cannot only help a firm to reduce stock pressures at retail, distributors and CFA but also improve the KeyPerformance Indicators (KPIs) of the FMCG sales force including significant improvements in productivityand Total Lines Sold in Day (TLSD).The Theory of Constraints development in literature can be examined by drawing a parallel with Product lifecycle. The Introduction stage focuses on Production and Throughput accounting and it is a softwareprogram only rather than a philosophy. The second stage is tools based growth stage which marked an eraof the TOC thinking with tools developed like The Evaporating Cloud (EC) based on The Core Conflict (CC),The Current Reality Tree (CRT), The Transition Tree (TT), and The Future reality tree (FRT). Later ,TOC basedDistribution, Marketing and logistics management to reduce the Operating Expenses (OE), reducing thestock levels across the supply chain, improving Throughputs and ROI have been mentioned in the TOCliterature through cases studies. The third part mentioned Projects management which later followed bycollaboration of TOC with ERP and other technologies. The book “Necessary but Not Sufficient” remainedthe most significant work in this phase. Later, the focus of TOC shifted to application in business strategyformulation and service sector along with the audio-visual content developed in the form of eight videosession released by the Goldratt School. The sixth part discusses TOC in collaboration namely TOC –JIT, TOC-Six Sigma, TOC-TQM and TOC-Lean. However TOC applications in the area of Supply chain managementhave been mentioned by several authors including Dr Goldratt himself .Later till the end of the presentdecade, TOC collaborations namely TOC--5S, TOC-TPM, TOC- Kaizen, TOC–FMS, and TOC–BPMS werehighlighted. The first quarter of current year (2011) represents the latest stage of growth of TOC philosophywith discussion of recent issues & TOC applications in NGOs, E-Business, Environment protection,Healthcare management, Retail sector, Sustainable Development, Banking & Insurance, small businessmanagement, Restaurant management, biomedical and engineering services innovation investment&leadership. As per the authors knowledge the recent study by ( Kuldeep S.Malik,2011) demonstrated aTOC case study in FMCG sector in the areas of distribution, replenishment and supply chain across retailand distributor points .The study stands unique to discuss findings of the opinion survey conducted on thedistributors and executives of the firm prior to the TOC rollout and the associated improvements of the KeyPerformance Indicators and sales force performance management in a TOC environment.References:A Ray, B Sarkar, S Sanyal (2010), the TOC-Based Algorithm for Solving Multiple Constraint Resources, IEEE Transactions onEngineering Management. New York: May 2010. Vol. 57, Iss. 2; pg. 301.Amarpeet S Kohli, Mahesh Gupta (2010), “Improving Operations Strategy: Application of TOC Principles in a Small Business”,Journal of Business & Economics Research. Littleton: Apr 2010. Vol. 8, iss. 4; pg. 37, 9 pgs.Amitava Ray, Bijan Sarkar, Subir Sanyal (2008), “A holistic approach for production outsourcing” Strategic Outsourcing: anInternational Journal. Bingley: 2008. Vol. 1, Iss. 2; pg. 142.Anton van der Merwe (2008), “Debating the principles-Theory of Constraints”, Cost Management. Boston: Mar/Apr 2008. Vol. 22,Iss. 2; pg. 26, 9 pgs.Balintfy J.L (1964), On a Basic Class of Multi-Item Inventory Problems, Management Science, vol.10.Bernardo Villarreal (2010)., “A TOC Approach to Setup Reduction to Improve Agility”; Journal of Business Case Studies. Littleton:Jul/Aug 2010. Vol. 6, Iss. 4; pg. 1, 7 pgs.Bob Sproull (2009),“To focus improvement efforts to find the "Leverage Point"; Foundry Management & Technology. Cleveland: MarVector Consulting Group
  8. 8. Theory of Constraints role in the success of ITwith special reference to ERP2009. vol. 137, Iss. 3; pg. 40, 2 pgs.Cynthia Ruppell (2010), “Velocity: Combining Lean, Six Sigma and the Theory of Constraints to Achieve Breakthrough Performance-ABusiness Novel”; Journal of Applied Management and Entrepreneurship. Fort Lauderdale: Jul 2010. Vol. 15, Iss. 3; pg. 113, 2 pgs.Cyplik P., Hadaś Lukasz, Domański R (2009), “Implementation of the theory of constraints in the area of stock management withinthe supply chain - a case study.” Log Forum vol5/issue3/no6.David Lavin, Max Krug (2008); “Grow your capacity. Grow your market share”, Wood Digest. Fort Atkinson: Dec 2008. Vol. 39, iss.12; pg. 14, 2 pgs.Derek Korn; Revisit "The Goal", Modern Machine Shop. Cincinnati: May 2009. Vol. 81, Iss. 12; pg. 14, 1 pgs.Eliyahu M. Goldratt (1990), “The Haystack Syndrome: Sifting Information Out of the Data Ocean.” Great Barrington: North RiverPress.Eliyahu M. Goldratt (1990), “What is thing called the Theory of Constraints, and how should it be implemented.” Croton-on-Hudson:North River Press.Eliyahu M. Goldratt (1997). Critical Chain. Great Barrington: North River Press.Eliyahu M. Goldratt (2004)., “The Goal: A Process of Ongoing Improvement”. North River press.Eliyahu M. Goldratt. (1994). “Its not luck.” Great Barrington: North River Press.Eliyahu M. Goldratt., Schragenheim, E & PTAK, C (2000)., “Necessary but not sufficient.” Great Barrington: North River Press.Fernando Bernardi de Souza, Sílvio R.I. Pires (2010), “Theory of constraints contributions to outbound logistic”, ManagementResearch Review. Patrington: 2010. Vol. 33, Iss. 7; pg. 683.Frank Birkin, Thomas Polesie, Linda Lewis (2009), “A new business model for sustainable development: an exploratory study usingthe theory of constraints in Nordic organizations”, Business Strategy and the Environment. Chichester: Jul 2009. Vol. 18, Iss. 5; pg.277.Gupta, Mahesh, Chahal Hardeep Kaur, Gurjeet Sharma, Ramji (2010); “Improving the weakest link: A TOC-based framework forsmall businesses”; Total Quality Management & Business Excellence; Aug2010, Vol. 21 Issue 8, p863-883, 21p, 2.Holmberg, S (2000). , “A system perspective on supply chain measurement.” International Journal of Physical Distribution & LogisticsManagement, v. 30, p. 847-868.I Rosolio, B Ronen, N Geri (2008)., “Value enhancement in a dynamic environment - a constraint management expert system for theoil refinery industry”; International Journal of Production Research. London: Aug 2008. Vol. 46, Iss. 16; pg. 4349.J Q Wang, S D Sun, S B Si, H A Yang (2009)., “Theory of constraints product mix optimization based on immune algorithm”,International Journal of Production Research. London: 2009, Vol. 47, Iss. 16; pg. 4521.James F. Cox, Michael Shea Spencer (1997), the constraints management handbook, CRC press series.John Fagan (2009), “Break free from constraints”, Automotive Body Repair News. Cleveland: Jul 2009. Vol. 48, Iss. 7; pg. 56, 3 pgs.John H Blackstone Jr, James F Cox III, John G Schleier Jr(2009), A tutorial on project management from a theory of constraintsperspective ,International Journal of Production Research. London: 2009. Vol. 47, Iss. 24; pg. 7029.John Mansuy (2008), “ACCURATE VALUE”, Industrial Engineer. Norcross: Mar 2008, Vol. 40, Iss. 3; pg. 47, 5 pgs.Julie Lockhart, Audrey Taylor (2007)., Environmental Considerations in Product Mix Decisions Using ABC and TOC ManagementAccounting Quarterly. Montvale: Fall 2007. Vol. 9, Iss. 1; pg. 13, 6 pgs.K J Watson, A .Patti (2008). , “A comparison of JIT and TOC buffering philosophies on system performance with unplanned machinedowntime”, International Journal of Production Research. London: Apr 2008. Vol. 46, Iss. 7; pg. 1869.Vector Consulting Group
  9. 9. Theory of Constraints role in the success of ITwith special reference to ERPKendal, G.I (2005). “Viable Vision: transforming total sales into net profits.” Boca Raton: Ross Publishing.Kuldeep Singh Malik, Hemalatha PK (2011). “Theory of Constraints applications in FMCG Distribution channel: A case Study”proceedings of the “Biennial Supply Chain Management Conference 2011” organized by Indian Institute of Management Bangalore,dated Jan 7– 8, 2011.Kuldeep Singh Malik,Hemalatha PK (2011)., “Theory of Constraints role in the success of IT with special reference to ERP”proceedings of the “1st International Conference on Computing Business Applications and Legal Issues”, hosted by Institute ofManagement Technology , Ghaziabad , dated March 3-4, 2011.Kuldeep Singh Malik,Hemalatha PK (2011)., “Theory of Constraints in Social Engineering: an application in consumer durableIndustry in India” presented in “International Conference on Green Business Strategy 2011” organized by JK Business School,Gurgaon, Haryana, dated Jan 6 - 7, 2011.Kuldeep Singh Malik, Binod Kumar Singh (2010)., “Lean & TOC collaboration: The whole is greater than the sum of the parts”proceedings of “The National Conference on Recent Trends in Mechanical Engineering 2010” hosted by Datta Meghe College ofEngineering, Maharashtra , dated Aug 28-29,2010.Kiyun Woo, Soonyoung Park, Shigeru Fujimura (2009).“Real-time buffer management method for DBR scheduling” InternationalJournal of Manufacturing Technology and Management. Geneva: 2009. Vol. 16, Iss. 1/2; pg. 42.Kuldeep Singh Malik, Hemalatha PK (2011), “Theory of Constraints applications in FMCG Distribution channel: A case Study”proceedings of “Biennial Supply Chain Management Conference 2011”; Indian Institute of Management Bangalore on 7& 8Jan,2011.L Hadas, P Cyplik, M Fertsch(2009)., “Method of buffering critical resources in make-to-order shop floor control in manufacturingcomplex products”, International Journal of Production Research. London: 2009. Vol. 47, Iss. 8; pg. 2125.Lori Ranson (2010), “Deltas focus on constraints is driving down engine overhaul turnaround times”, Flight International. London:Sep 14-Sep 20, 2010. Vol. 178, Iss. 5257; pg. 28, 1 pgs.Mabin, V.J.; Balderstone S.J (2003). “The performance of the theory of constraints methodology: Analysis and discussion ofsuccessful TOC applications”. International Journal of Operations & Production Management, v. 23, n. 6. Publishing, 2005.Mahesh C. Gupta, Lynn H. Boyd (2008), “Theory of constraints: a theory for operations management”, International Journal ofOperations & Production Management. Bradford: 2008. Vol. 28, Iss. 10; pg. 991.Mahesh Pophaley, R K Vyas (2010). “Optimizing Maintenance Management Efforts by the Application of TOC: A Case Study”, UPJournal of Operations Management. Hyderabad: Aug 2010. Vol. 9, Iss. 3; pg. 48, 14 pgs.Mahmoud M Yasin, Andrew J Czuchry, Rani A Kady (2008),“Re-engineering operational practices and processes to improve thecustomer focus of a marketing organisation”, Advances in Competitiveness Research. Indiana: 2008. Vol. 16, Iss. 1/2; pg. 47, 15 pgs.Mariza Siller, Taidé Sanchez, Jair Onofre (2010)., Reducing Order Cycle Time Through a TOC-Lean Approach: A Case Study, IIEAnnual Conference Proceedings. Norcross: 2010. pg. 1, 6 pgs.Maria Zita Ramos, Alexandra Tenera (2009)., “Leveling the Production of a Potting System: A TOC/Lean approach”, IIE AnnualConference Proceedings. Norcross: 2009. pg. 2091, 6 pgs.Mark Stephen (2009). “Trimming Waste? A Guide to Six Sigma, Lean, and the Theory of Constraints”, Canadian Plastics. Don Mills:Jan/Feb 2009. Vol. 67, Iss. 1; pg. 19, 3 pgs.Mats Larsson, Mohammed Arif, Hani M. Aburas (2008)., “Incremental changes and efficiency leaps in the improvement of internaleffectiveness”; Management Research News. Patrington: 2008.Vol. 31, Iss. 8; pg. 583.Michael A Dalton (2009), WHATS CONSTRAINING YOUR INNOVATION? Research Technology Management. Arlington: Sep/Oct 2009.Vol. 52, Iss. 5; pg. 52, 13 pgs.Narcyz Roztocki (2002)., “Successfully Managing an E-Business by Applying the Theory of Constraints”., IIE Annual ConferenceVector Consulting Group
  10. 10. Theory of Constraints role in the success of ITwith special reference to ERPProceedings. Norcross: 2002. pg. 1,1pgs.Neetu Andotra, Pooja(2009). “TOC Supply Chain Management Solution for Food Processing Industries”, Journal of Small Businessand Entrepreneurship. Regina: 2009. Vol. 22, Iss. 3; pg. 239, 14 pgs.Nitza Geri, Niv Ahituv (2008)., “A Theory of Constraints approach to Inter organizational systems implementation”, InformationSystems and eBusiness Management. Heidelberg. Vol. 6, Iss. 4; pg. 341, 20 pgs.Noriaki Aoki, Sachiko Ohta, Nobutaka Kikuchi, Mariko Oishi (2008)., An Introduction to the Theory of Constraint and How it Can BeApplied to Medical Management. Physician Executive. Tampa. Vol. 34, Iss. 2; pg. 52, 5 pgs.Paul Husby (2007); “Competition or Complement: Six Sigma and TOC”; Material Handling Management. Cleveland .Vol. 62, iss. 10;pg. 51, 5 pgs.Richard A. Reid (2007)., “Applying the TOC five-step focusing process in the service sector; A banking subsystem”., Managing ServiceQuality. Bedford: 2007. Vol. 17, Iss. 2; pg. 209.R. Anthony Inman et al (2009)., “Analysis of the relationships among TOC use, TOC outcomes, and organizational performance”,International Journal of Operations & Production Management. Bradford: 2009. Vol. 29, Iss. 4; pg. 341.Rik Berry, Lola Belle Smith (2005),“Conceptual foundations for The Theory of Constraints”, Human Systems Management, IOS Press,Volume 24.Ronald S Tibben-Lembke (2009), “Theory of constraints at UniCo: analyzing The Goal as a fictional case study”, InternationalJournal of Production Research. London, Vol. 47, Iss. 7; pg. 1815.Roy Stratton, Alex Knight (2010). “Managing patient flow using time buffers, Journal of Manufacturing Technology Management”,Bradford, Vol. 21, Iss. 4; pg. 484.Satish Mehra, R Anthony Inman, Gregory Tuite (2005), “A simulation-based comparison of TOC and traditional accountingperformance measures in a process industry”, Journal of Manufacturing Technology Management. Bradford: Vol. 16, Iss. 3; pg. 328,15 pgsSatya S Chakravorty (2009), “Process Improvement: Using Toyotas A3 Reports”, the Quality Management Journal. Milwaukee, Vol.16, Iss. 4; pg. 7, 20 pgs.Seonmin Kim, Victoria Jane Mabin, John Davies (2008), “The theory of constraints thinking processes: retrospect and prospect”,International Journal of Operations & Production Management. Bradford, Vol. 28, Iss. 2; pg. 155.Schragenheim, A. (2007a), "Managing distribution according to TOC principles", available at: www.inherentsimplicity.comSeonmin Kim, James F Cox, Victoria J Mabin (2010), “International Journal of Production Research”, London, Vol. 48, Iss. 14; pg.4153.Simatupangetal T.M., Wright A.C., Sridharan R (2004),”Applying the Theory of Constraints to Supply Chain Collaboration, SupplyChain Management”, an International Journal Volume 9.Smith, D., Noreen, E., & Mackey, J. T. (1996). The Theory of Constraints and Its Implications for management Accounting, NorthRiver Press, Inc., Croton-on-Hudson, New York.Seung-Hyun Rhee, Nam Wook Cho, Hyerim Bae (Sep 2010), “Increasing the efficiency of business processes using a theory ofconstraints”, Information Systems Frontiers. Boston, Vol. 12, Iss. 4; pg. 443.Tim Sramcik (July 2009)., “SLIMMING DOWN IS CHALLENGING” Automotive Body Repair News. Cleveland, Vol. 48, Iss. 7; pg. 10, 1pgs.Todd Creasy (2009). “Pyramid POWER”, Quality Progress. Milwaukee, Vol. 42, Iss. 6; pg. 40, 6 pgs.Togar M Simatupang, Alan C Wright, Ramaswami Sridharan (2004); “Applying the theory of constraints to supply chaincollaboration”, Supply Chain Management. Bradford, Vol. 9, Iss. 1; pg. 57Vector Consulting Group
  11. 11. Theory of Constraints role in the success of ITwith special reference to ERPUmble, E.J. and Umble, M. (2002), "Integrating the theory of constraints into supply chain management", pp. 479-84.Victoria J Mabin, Steven J Balderstone (1999), “The World of Theory of Constraints”, Lucie Press.Victoria J Mabin, Steven J Balderstone (2003)., “The performance of the theory of constraints methodology: Analysis and discussionof successful TOC applications”, International Journal of Operations & Production Management. Vol. 23, Iss. 5/6; pg 568, 28 pgs. Kuldeep Singh Malik is Head of Research at Vector Consulting Group. Vector Consulting Group ( is the leader of ‘Theory of Constraints’ consulting in India. Vector has been working closely with some of the well known retail chains, FMCG, fashion products, custom manufacturing industry and auto after market companies to improve their overall profitability through supply chain effectiveness. Kuldeep Singh Malik can be reached at kuldeep@vectorconsulting.inVector Consulting Group