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Mapping theory of constraints to conventional wisdom
Mapping The PDCA Cycle with TOC
The PDCA Cycle is a checklist of the four stages which you must go through to get from `problem-faced' to `problem solved'. The four stages are Plan-Do-Check-Act, and they are carried out in the cycle illustrated below.
Plan
To improve your operations first by finding out what things are going wrong (that is identify the problems faced), and come up with ideas for solving these problems.
Plan In TOC
The first step is defining the throughput of the system and identifying the constraint, which might come in the way of achieving the desired throughput. Lets assume a scenario where the production department and the distribution/outbound logistics departments are functioning as per their pre-set schedules. The departments might have achieved local efficiencies, i.e.. produced maximum output individually, but there is a mismatch between the efficiencies of different departments, which depletes the final throughput as was seen in the case of “Necessary but not sufficient”. So the most crucial step is to look at the organization as a complete system rather than concentrating on local sub-system efficiencies. After deciding on the desired throughput, the next step would
Approximate Word count = 1935
Approximate Pages = 8 (250 words per page double spaced)
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