The World of the Theory of Constraints

A Review of the International Literature

Victoria J Mabin, Steven J Balderstone

• Publisher: CRC Press
• Year: 2020
• Print ISBN: 9781574442762
• eBook ISBN: 9781000170177
• Topic: Technology & Engineering
• Subtopic: Operations
• Index: Technology & Engineering

The Theory of Constraints (TOC) - as developed by Dr. Eliyahu Goldratt - has seen a rapid expansion since the publication of his book, The Goal. As with most fast growing areas, you can quickly feel out of touch with new developments. The World of the Theory of Constraints provides a summary of recently published research on TOC. The authors explored databases, and sought out papers and books drawing on as wide a range as possible. Aside from the works by Dr. Goldratt himself, the authors focus on items published since 1990, highlighting the most recent developments in TOC. The scope of the material covers works containing specific reference to TOC, including Synchronous Manufacturing and Constraint Management. The book is organized into three sections. The first section contains an analysis and interpretation of the results of the search. The second provides abstracts on all the material. The third supplies author, keyword, and subject indexes along with a list of books, journals, websites, and publishers. Extensively researched and referenced, The World of the Theory of Constraints furnishes comprehensive material on TOC. The multi-search approach has made this arguably the most exhaustive bibliography on this subject available. If you are researching TOC, this is the best place to start. If you use or teach TOC, you will want this resource. Features

Bibliographies and Abstracts

001
Acord, Terry. “The Principles of Success—Material Flow.” Furniture Design & Manufacturing Vol. 68, No. 12 (1996): 60–66.
Keywords: Bottlenecks, Manufacturing, Scheduling

The method of achieving optimal material flow in Synchronous Manufacturing is called the DBR concept. This method determines the rate at which the bottlenecks are consuming parts; establishes a needed level of safety stock to protect the bottlenecks—the buffer; and ties the purchasing and release of materials to the bottlenecks—the rope. The authors propose that companies that do not have a complex operation or are not large enough to consider purchasing such a system might consider Purchasing by Exception, which uses the same basic concepts as DBR in a simplified form.

002
Adelman, Philip, J. “Applying Theory of Constraints in a Service Environment: Hannah’s Donut Shop (A Case Study of Performance, Measurement and Manufacturing Design).” APICS Constraints Management Symposium and Technical Exhibit: Proceedings, Phoenix, AZ. (April 26–28, 1995): 1–12.
Keywords: Accounting, Application, Measurement Systems

The organisation at the centre of this case study was chosen because of its simplicity, and conformance to the input-process-output model. This approach allows readers to easily understand the application of the methodology. The background of the organisation is presented in some detail, highlighting the nature of the business and the problems that management faced prior to implementation of TOC. The operational changes that resulted from the application of TOC are detailed. These include a new measurement system and altered strategy. The author provides a comprehensive description of the application of the 5FS and DBR scheduling. Quantitative results of the application are presented, clearly displaying the success achieved.

003
Albert, Mark. “From Cost Centre to Profit Centre.” Modern Machine Shop Vol. 66, No. 10 (1994): 86–96.
Keywords: Application, Aviation, Manufacturing

Pratt and Whitney, a maker of turbine cases for jet engines, boosted its efficiency by effecting a cultural change and minimising its work-in-process inventory. These were evident during a 1993 tour of its machine shops in Middletown, CT, by Northwest Airlines Inc. by consultants Tom Montijo and Dennis Anderson. P & W convinced the two to implement Synchronous Manufacturing principles at Northwest’s engine shops in Atlanta, GA. Such a strategy proved successful as the company’s outside work rose from zero to 27 engines for the period from the start of the implementation to the end of 1993.

004
Aldred, Katherine. “Scheduling Software Fits the Mould for Manufacturers.” IIE Solutions, Vol. 30, No. 7 (1998): 50–51.
Keywords: Application, Scheduling Software

Toyo Tanso USA is a fully integrated manufacturer of isostatically moulded products, specialising in graphitisation, precision machining, ultra-high purification, and CVD SiC coating. Toyo Tanso decided to implement a new manufacturing scheduling system using the TOC and DBR approaches. Toyo Tanso purchased ThruPut Technologies’ Resonance scheduling and execution software. Resonance releases orders based upon customer demand, typically about 20 orders a day. Machinists work on jobs based upon a set demand-driven schedule. Product flow is smoother and faster. The company’s on-time delivery is approaching 90% for all customers.

005
Anderson, Duncan M. “Vision and Revolution.” Success (November 1994): 64–65.
Keywords: Book Review, It’s Not Luck, Thinking Processes

This book review introduces Goldratt’s new novel, It’s Not Luck. The review has a positive slant with this new work described as “good news.” The basic principles of the TOC management philosophy are detailed including comment about the Thinking Processes. The plot of It’s Not Luck is discussed along with some remarks about the pitfalls of conventional cost accounting. The review also details some Goldratt wisdom relating to the marketing strategies of organisations.

006
Anderson, Duncan M. “Thinking Revolutionary.” Success (January/ February 1995): 8.
Keywords: Goldratt Interview, Thinking Processes

This article contains an interview with Goldratt and an introduction to TOC. Anderson comments on Goldratt’s background in science and the relevance of the scientific method to problem solving. Goldratt’s work as a consultant to industry is described, detailing how he analyses the company’s progress in light of their present situation via cause and effect. Discussion addresses the use of the Thinking Processes as a communicating tool, and the need for appropriate measurements. The benefits of applying the tools of the Thinking Processes are mentioned.

007
Anderson, Duncan M. “The Amazing Goldratt Blazes Paths To Profit.” Success, Vol. 42, No. 1 (1995): 40–46.
Keywords: Application, Evolution

Physicist Goldratt has won a large audience by applying ideas from science to the world of business. The TOC has shortened the product cycle at many companies from six weeks to two days. His Thinking Processes are applicable to politics and family matters as well as to business. Goldratt’s clients include General Motors and the U.S. Transportation Command. Details of the Zycon Corp. and Bethlehem Steel applications are presented as evidence of the effectiveness of the techniques and Goldratt as a consultant.

008
Andrews, C. & S. W. Becker. “Alkco Lighting and its Journey to Goldratt’s Goal.” Total Quality Management Vol.3, No. 1 (1992): 71–95.
Keywords: Application, Buffer Management, Manufacturing, Quality

A case history that details how one company implemented Goldratt’s concepts of DBR together with some ideas about working with vendors to achieve a just-in-time inventory policy. The difficulties encountered in the implementation are described together with the end results of such a program: increased sales volume, profits and returns on assets. It is noteworthy that these results were achieved without the extensive culture changes and training at the lowest levels of the organisation usually associated with total quality management programs. It is concluded that even without the potential benefits from enlisting the lowest levels of the organisation, Goldratt’s concepts are sufficiently powerful to provide rapid benefits to an organisation. There also is evidence that such gains may be tenuous, or short term, without all employees’ longer-term commitment usually engendered by training and engaging them in problem-solving and continuous improvement programs.

009
Angst, David R., Bryan L. McKinney and Carl F. Klien. “Johnson Controls’ Experience with the Theory of Constraints” APICS Constraints Management Symposium and Technical Exhibit: Proceedings (1996): 143–146.
Keywords: Application, Manufacturing, Nonmanufacturing, Thinking Processes.

TOC was applied to various divisions of Johnson Controls Inc. This organisation is a global market leader in automotive seating, facilities management services and control systems, plastic packaging and automotive batteries. The article gives details of three separate applications of TOC, to three different divisions of the organisation, over a two-year period. The results of the TOC applications are outlined and discussed, with some impressive figures evident. (One plant experienced a 100% increase in throughput within five months.) The authors reach the conclusion that TOC implementation has been effective at Johnson Controls for improving both manufacturing and nonmanufacturing systems. As a consequence, other divisions of the organisation are learning about TOC.

010
Anonymous. “Getting from Minority-Owned to World Class: Synchronous Manufacturing at HS Automotive Metal-Forming Company.” Industrial Engineering Vol.25, No. 5 (1993): 24.
Keywords: Application, Manufacturing

HS Automotive Metal-Forming Company adopted Synchronous Manufacuring techniques in its main production facility in July 1992 and saw immediate positive results. By following these techniques the factory now moves materials through facilities faster and reduced the amount of capital tied up in work-in-process (WIP) and raw materials and finished product inventories. The practices now used by HS Automotive customers, primarily General Motors, shift the burden of inventory overhead to the automobile industry suppliers. The customers place a premium on accuracy and flexibility. The new plan creates a new mind-set at the core of manufacturing strategy. HS Automotive employees were reluctant to make changes but are more cooperative after seeing positive results. In three months, the company cut total automotive inventories by 13%, overtime by 45% and late deliveries by 58%.

011
Anonymous. “Synchronous in Step with Global Trends: Synchronous Manufacturing.” Aviation Week & Space Technology Vol. 141, No. 22 (1994): 46.
Keywords: Application, Aviation, Manufacturing

Aerospace firms are discovering that Synchronous Manufacturing processes, which emphasise rapid throughput to achieve short production periods, are well-suited to current market conditions in the aerospace industry. The manufacturing methods of Howmet Corporation and Wyman-Gordon Company are described, along with the results achieved from implementing SM. (We note that Howmet Corporation is reported to be the organisation upon which The Goal is based.)

012
Anonymous. “Break Out of the Box,” Design News Vol. 50, No. 10 (1995): 154–155.
Keywords: Interview, Project Management

Goldratt discusses his management methods.

013
Anonymous. “Primes Spur Lower-Tier Firms with ‘Carrot-and-Stick.”‘ Aviation Week & Space Technology Vol. 140, No. 7 (1994): 48–49.
Keywords: Aerospace, Manufacturing, Statistical Process Control

Major U.S. aerospace companies are using a carrot-and-stick approach to obtain the more demanding performance they need from lower-tier suppliers. The carrot is long-term, exclusive partnering relationships. The stick for suppliers who cannot achieve the higher performance standards, or are reluctant to make the effort, is the loss of business altogether. Many manufacturers are providing tools to help vendors adapt to the new realities of the marketplace. SM is one of those tools. It involves flowing materials through the manufacturing process as quickly as possible, based on customer orders. It is becoming the umbrella under which other tools such as statistical process control are being deployed. To identify the most capable suppliers, major aerospace contractors are employing rating systems and certification programs.

014
Anonymous. “Making Production Predictable.” Manufacturing Engineering Vol. 121, No. 1 (1998): 150–151.
Keywords:Application, Manufacturing, Scheduling

Five years ago, to identify and eliminate bottlenecks, Ralph Carrell, production planner at Brenco Inc.’s Petersburg, VA plant, began using TOC software and DBR practices. The DBR system w...

Table of contents

• Cover
• Half Title Page
• Editors
• Title Page
• Copyright Page
• Preface
• Biographies
• Dedication
• Table of Contents
• Introduction
• Table of TOC Application Data
• Bibliographies and Abstracts
• The Theory of Constraints Book List
• Keyword Index
• Industry Groupings Index
• Author/Co-Author Index
• Publication Source Index
• Glossary
• Partial List of Doctoral Dissertations