The Goal: a Process of Ongoing Improvement

916 WordsJun 11, 20124 Pages
OPM 321 Extra Credit Book Report “The Goal: A process of ongoing Improvement” By Eliyah M. Goldratt and Jeff Cox The Goal, written by Eliyah Goldratt and Jeff Cox, is a 40-chapter book. It is a novel that tells that story of a businessman that is in charge of a plant. This book is more like a business textbook, but is very interesting and easy to understand because is written as a story. As an operation management student, I think this is a very educative book, because it gives you real life situation examples that could happen to anyone. There is a lot to learn from this book. Alex Rogo is a 38-year old plant manager. He is working for the UniCo Company. Six months ago he got promoted and transferred to his hometown,…show more content…
On the contrary, was necessary to get rid of them, because with the help of his team was enough and more productive. Lou, from the accounting department, Bob from the production department, Stacey from inventory control, and Ralph who has a good background in computer, were part of Alex’s team. The first change Alex made was to eliminate the machinery that was not being productive. Obviously, he consulted this with Jonah and his team first. Alex wanted to apply the concept of a balanced plant, but according to Jonah the closer a company is to be balanced, the closer to bankruptcy is. So, it is not a good idea. Consequently, Jonah told Alex the importance of the combination of "dependent events" and "statistical fluctuations" in the plant. After couple of days of trying to understand the relationship between these two concepts, Alex understood low productivity is caused by dependencies of each production line to one another and is slowed by the bottlenecks. In few words, the difficult part for the manager is to identify the bottleneck. One more time, Jonah explained Alex another concept. Jonah explained, “A bottleneck is any resource whose capacity is equal to or less than the demand placed upon it. A non-bottleneck is any resource whose capacity is greater than the demand placed on it”. Alex with the help of his team could identify the bottleneck in the plant and organized the
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