The Problems Faced By Alex Rogo

891 WordsOct 2, 20144 Pages
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. The one and only goal for any company should be to make money. Under the theory of constraints, everything that goes towards achieving that particular goal is productive and everything that doesn’t is unproductive. The first bit of advice Jonah gives to Alex involves the big picture view of what is wrong with the plant. Jonah mentions high inventories and failure to achieve shipping dates as most likely the main problems being faced, and asks Alex multiple questions, without giving answers. This back and forth between Alex and Jonah can be described as the socratic method. This method allows a series of questions to be asked but left up to interpretation, so there is no answer given, but critical thinking is required to find a solution. After this method works to perfection and Alex figures out the answer to these questions, he immediately sets up a meeting with an accountant and they outline what is needed such as increasing net profit, return on investment and cash flow. The next method Alex puts into action is the effect-cause-effect method. This method involves identifying a cause for a
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