May 06
, 2010
Featuring in this TOC Weekly!

Theory of Constraints Handbook – Pre-order with a Gift
Anniversary Offer –TOCICO Conference presentations
Goldratt's Golden Nugget #8 - When you say "red", what do you mean?

This week's FREE Viewing of the following videos:

Defining TOC Managing Production Priorities


  

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Theory of Constraints Handbook – Pre-order with a Gift | top


Theory of Constraints Handbook provides detailed guidance from the world's top experts on how to implement the management and improvement methodology developed by Dr. Eliyahu Goldratt and made famous in his 1984 book, The Goal.


Clear case studies define how the theory works, and why this management and improvement methodology works, what issues are resolved, and what benefits accrue in manufacturing, project management, supply chain/distribution, marketing, sales, services, government, education, medicine, and even human relationships. This authoritative resource discusses strategy, performance measures, operations, supply chains, and project management.

The Theory of Constraints Handbook is comprised of:

  • 8 Sections including: What is TOC by Eli Goldratt; Critical Chain Project Management; Drum-Buffer-Rope, Buffer Management and Distribution; Performance Measures; Strategy, Marketing, and Sales; Thinking Processes; TOC in Services; TOC in Complex Environments

  • 38 Chapters including a selected bibliography of Eli Goldratt

  • 45 Authors (the top TOC experts in the world)

  • Approximately 1200 pages.

  • Each of the sections (excluding 1), is introduced with an academic chapter reviewing the literature related to that subject.

 




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Defining TOC

Eli Goldratt talks about the TOC Handbook and how it forced him to clearly define Theory of Constraints and its evolution.
5 min, English

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Anniversary Offer –TOCICO Conference presentations | top


Understand how the Theory of Constraints is being applied to organizations around the globe, and the results achieved.

Presentations from the annual Gatherings of TOC Professionals sponsored by TOCICO (Theory of Constraints International Certification Organization) to upgrade TOC providers and practitioners from around the globe. Featuring:

  • The keynote presentations by the creator of the Theory of Constraints (TOC), Eli Goldratt.
  • New developments to the TOC Body of Knowledge and practical tips on what it takes to achieve & sustain breakthrough results to establish a culture of ongoing improvement, provided by renowned TOC Practitioners.
  • The insights gained from implementing TOC in organizations and integrating TOC with other methodologies such as Six Sigma or Lean, presented by TOC Practitioners from various types of organizations.

Topics:

Finance and Measurements Operations / Production
Project Management Distribution
Supply Chain Marketing
Sales and Buy-In Managing People
Strategy and Tactics Thinking Processes
Change Management Buy-In
Health Care Personal development

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Goldratt's Golden Nugget #8 - When you say "red", what do you mean? | top




Goldratt's TOC Golden Nugget #8
When you say "red", what do you mean?
(Production)

When we are told that a production company has 20% red orders, what does that mean? Seemingly the answer is clear – it means that if we go to the floor, we will see that 20% of the orders are red. But then again, maybe it means something else – that out of all the completed orders, 20% were finished while being red?

Here we have a situation where one term is being used to describe two different things. This ambiguity wouldn’t be a real problem if the practical implications, stemming from the two different interpretations, where the same. But this is definitely not the case; one of the above meanings of “red� is very important in terms of assessing the state of the operation, while the other has no practical implications and using it leads only to confusion.

In order to clarify the above statement, we ought to better understand the meaning of each definition. The first definition of red percentage is a description of a snapshot – the situation on the floor at a certain moment: how many orders from each color do the production workers see? Figure 1.a schematically shows a distribution of orders’ color on the floor at a specific point of time, under the assumption of a constant stream of incoming orders. The X axis is not a time axis, but rather represents the “ageâ€Â� of an order at the point of time when the snapshot was taken.

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Managing Production Priorities

In this extract from the Goldratt Webcast Series on Make to Availability (MTA), Goldratt presents and explains the strategy, tactics and corresponding assumptions for managing production priorities the TOC way.
17 min, English, Spanish


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