The Goal : A Process Of Ongoing Improvement

Elevate the constraint by investing in additional resources which would be necessary if this step involves a true “bottleneck.”

Given three months to turn the plant around, Alex turns to Jonah, his old college physics professor who has become a manufacturing consultant, and enlists his help. Jonah has a unique and potentially risky approach to addressing the problems at the plant. First, he takes what can be a complicated

The Rose Company is building a new plant to reduce cost, improve the quality of products, and maintain competitive leadership by gaining a slight production advantage. The main obstacles to be overcome are the commissioning of a new plant, new methods and process, and administrative reporting issues. As the newly hired General Plant Manager, I plan to resolve these issues by insisting that all plant communications flow through me, instituting training for plant personnel and setting operational expectations.

Jonah asks Alex if the robots have increased the amount of products shipped per day. Secondly, he asks if the robots have reduced the plants people expense. Finally, Jonah asks if the robots have decreased the amount of inventory that the plant has.

Jonah asks Alex if the robots have increased the amount of products shipped per day. Secondly, he asks if the robots have reduced the plants people expense. Finally, Jonah asks if the robots have decreased the amount of inventory that the plant has.

Throughout the entirety of the book, The Goal: A Process of Ongoing Improvement, author Eliyahu M. Goldratt focuses on demonstrating the importance of the Theory of Constraints and what corporations should do in order to increase profits. A major term used throughout the novel is “throughput,” which according to the text, is “the rate at which the system generates money through sales” (Goldratt 60). Once a bottleneck machine in a production process is identified, there are multiple ways to increase throughput without expanding the physical capacity of the machine.

The Goal by Eliyahu Goldratt is an entertaining and thought provoking business book. The story is about Unico manufacturing plant and its manager – Alex Rogo whose job and marriage is hanging in the air. Bill Peach, who is the factory executive comes into the plant and notices that production has gone down since Alex has been appointed manager. There is six months of production backlog and late shipment of order to customers. Unico is neither productive nor profitable. As a result Alex finds himself in an uncomfortable position of having three months to turn things around or the plant goes downhill.

Alex Rogo was tasked with a very difficult job by his superior, Mr. Peach. He had to get the production plant efficient and profitable or it would be closed in three months due to poor results. Lucky for Alex, he enlisted the help of his old physics professor, Jonah. Through Jonah’s advice to Alex, we are able to see the different methods used under the theory of constraints.

When considering operational constraints we looked at people, location, premises, equipment, money, materials, other related activities and services.

The Goal a Process of Ongoing Improvements was Dr.Eliyahu M Goldratt first book. It is a fiction business management novel that primarily focuses on the theory of constraints. The author Goldratt is a critical acclaimed Israeli business manager, physicist professor, and author. He is thought of as the guru of business operation. Goldratt is the creator of optimized production technique and the theory of constraints. He also is the author of the following books: Production the TOC way, IT’S Not LUCK, Critical Chain, Necessary but not sufficient, ISNT It Obvious, The Choice, The Race, What is This Thing Called: theory of constraints, and The Haystack Syndrome.

It takes a day out with the Boy Scots for Alex to discover one of his biggest problems at the plant – bottlenecks. A bottleneck is any resource whose capacity is less than the demand placed upon it and thus limiting the throughput. A nonbottleneck is a resource whose capacity is greater than the demand paced upon it and thus will contain idle time. A capacity constrained resource (CCR) is one whose utilization is close to capacity and could be a bottleneck if not scheduled carefully.

“The Goal” is a book written by Eliyahu M. Goldratt and Jeff Cox in 1984. The book is very famous in the management field. In 2004, the author published the third revision of it and celebrated selling over than three million copied of it around the world. Also, the goal book is taught in over than 120 collages. The book was recommended by my professor to be read and summarize as an extra credit.

Book Review of "Goal" 1. What is the problem? Alex Rogo was a plant manager at the Barrington Plant of Uniware, a division of UniCo. One day Bill Peach, division vice president visited his plant and found that there were lots of problems with schedule arrangement, quality, cost & inventory control in his plant. These problems had already made the organization lose money. At last Bill gave Alex three months to improve, otherwise, the plant would be closed. Three months?! That was all Alex Rogo was able to think about. Alex had to start to consider what was the goal of the manufacturing organization. What on earth was the GOAL of the manufacturing organization? Was it better customer service? Larger market share? Lower cost? High quality?

I read the fictional book called, The goal: A process of ongoing improvement by Eliyahu M. Goldratt and Jeff cox. Goldratt has an extensive history of writing novels about business problems and their solutions. His list of work includes; The race, The haystack syndrome, What is This Thing Called Theory of Constraints and How Should it be Implemented?, It’s not luck, critical chain, and necessary but not sufficient. With his most recent work being in 2009 called Isn’t it obvious focusing on retail. The authors purpose for writing this book would be to educate and show examples on how to think outside the box or solve solutions, possibly even save companies. In his own words, “This book is an attempt to show that we can postulate a very small number of assumptions and utilize them to explain a very large spectrum of industrial phenomena” (Goldratt, Intro to revised edition page 2). He states he wants to show that these methods aren’t fantasy and have been/are working in pants around the world, and says that, “Finally, and most importantly, I wanted to show that we can all be outstanding scientists. The secret of being a good scientist, I believe, lies not in our brain power. We have enough. We simply need to look at reality and think logically and precisely about what we see” (Goldratt, Introduction page 2). This story is about a failing or close to failing manufacturing plant in a place called Bearington. The novel begins with the main character Alex Rogo, a

b. Heterogeneous goals and priorities. Each function’s different goal and subunit orientation causes it toview problems differently. Subunits have become competitive as the attempts of one to achieve goalsthwart the attempts of another.c. Bureaucratic factors. Rondell’s structure has evolved historically and status inconsistencies havedeveloped among different groups and managers—between the heads of R&D and engineering. Althoughthe head of R&D, “Doc” Reeves, formally reports to Frank Forbus, the director of engineering,informally Reeves has more status and power. The manufacturing manager is concerned about his lack of a degree, which he believes lowers his status, so he deliberately causes problems for other managers toincrease his power and status.d. Incompatible performance criteria. Each function is evaluated according to its goals, so when slowengineering design raises manufacturing costs or results in lost customers or penalty clauses in customer contracts, functions come into conflict.e. Competition for scarce resources. Some functions, such as R&D, can command whatever resourcesthey want. Engineering services is running very lean, its engineers stretched thin, and no resources for aneffective preproduction unit. Given that profits have fallen, competition for resources might increase,which will worsen the