Theory of Constraints 2017

Topics

• Variation in processing and material transfer times will reduce throughput because time lost at the constraint can never be recovered favorable variation does not offset unfavorable variation
• The constraint or capacity-constraining resource (CCR) limits the throughput of a manufacturing process just as the critical path defines the minimum time in which a project can be completed
• TOC uses exactly three performance measurements
• Dysfunctional purchasing and cost accounting incentives often lead to the accumulation of unnecessary inventory. Use managerial or engineering economics instead to make decisions
• Inventory (less is better, and note that inventory is proportional to cycle time)
• Throughput (more is better)
• The drum buffer rope (DBR) production control system lets the CCR set the pace ("beat the drum") for new production releases to the line, and a protective inventory buffer ahead of the CCR prevents starvation of the CCR
• Operating expense (less is better)
• Henry Ford proved that it is in fact possible to operate a balanced factory at close to 100 percent capacity, but only by eliminating almost all variation from processing and material transfer times
• DBR is however containment rather than actual correction of the underlying issue, the variation in processing and material transfer times
• Tasks must be designed to eliminate all variation in their completion times, and the concept of take time is important here
• Batch and queue processes must be replaced by single unit and continual flow operation, with individual parts moving on conveyor belts or work slides between operations

Who should Attend

• Engineers
• Manufacturing Managers
• Project Management Professionals
• Supply Chain Professionals