Theory of Constraints and Queuing Theory

Determine at least two (2) challenges in identifying Opportunity for Improvements (OFIs). Suggest at least one (1) strategy that business management can use to

There are plenty of ways to reduce wait time its just the way people manage it. One way I can suggest to reduce wait time would be to bring back roller skates. If you ever go to sonic to eat you will see that skates aren’t used to take out orders. Skating is proven to be faster than walking as long as you know how to skate but even if you don’t know how to skate there should be some kind of training to teach you how to skate. Another way to reduce wait time would be to eliminate bad employees. You can’t expect to reduce wait time if you have lazy employees, you need people who want to improve in their work area. For example, I work at sonic and I have witnessed lazy employees in the present and past, and they bring up our times which make us look bad. Eliminating bad employees could solve a lot of problems with reducing wait time. Why should somebody be getting paid for doing nothing? Well I don’t agree that they should, therefore if we can avoid hiring them in the first place we wouldn’t have to go out of our way trying to eliminate

Thus, in my workplace our shifts tend to focus more on intangible factors, such as employee productivity, customer satisfaction and repeat business. In the business of telephone customer service, we view our supply and demand in terms of how well we are meeting the demand of calls coming in and how well we supply the desire of our customers to have their issues resolved in a timely manner. During periods of high demand, such as the holiday season, we staff more employees to work the phones. Similar to the situation in scenario 2, we have to be certain that the number of representatives on the phone is still profitable by the business, so while there may be a small wait time for a customer to speak with an agent, it is more profitable for the customer to have a five minute wait than to put twenty more people on the phone to meet that increased business need.

TCO B-Quality principles not only drive this organizations, but UPS depends on measuring analyzing and gathering results to improve as well as implement change within the company if necessary; internally, externally, or both. Nowadays, companies do businesses under high pressures of competition (such as UPS’s competitors such as USPS and FedEx0 to survive and meet tomorrow’s challenges. It can be difficult for managers to make right decisions and this requires the development of good business strategies and efficient operations to deliver excellent the products and services required to implement the strategies.

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 methods that the organization will take to achieve the required results both now and in the future

It provides a structure to capture the linkage of organizational activities that create value for the customer and profit for the organisation. It is particularly useful to get across the notion that operations and the other activities must work cross functionally for optimal organization performance(Chase et al. 2007).

* What organizational structure, management processes, and philosophy will foster superior performance from the company’s business units?

This analysis delves into the company’s operation management principles to interpret its successful strategies and offer future recommendations.

Decrease the unit of work. If you've got people idle, you can afford to have them do their work in smaller chunks. Under a cost-accounting model, this hurts their "efficiency" by removing certain economies of scale. But you have much faster turn-around time. Everyone's more flexible. Work flows more smoothly. (Well, this is what the book says.)

That relates directly to winning a larger market share. The short-term goal for the company should be to cut coasts and improve the human resource department functions. Which can be done through the above stated suggestions of the improvement of the business.

There are constraints on capacity management and these are normally Time and Capacity. Time may be a constraint where a customer has a particular required delivery date. In this situation, capacity managers often "plan backwards". In other words, they allocate the final stage (operation) of the production tasks to the period where delivery is required; the penultimate task one period earlier and so on. This process helps identify whether there is sufficient time to meet the production demands and whether capacity needs to be increased, albeit temporarily.

In this essay, two companies will be identified and described on how they utilize a queuing system. Only two of the four most basic waiting line structures will be discussed: single-server and multiple-server waiting lines. Since waiting is an integral part of many service related operations, it is an important area of analysis. Each queue system has its advantages and disadvantages, but with no doubt each company’s goal is to cut down on the waiting time and that customer returns. In particular, we examine their implementation of both processes and try to find solutions to improve the waiting line process.

Purpose – Delay is an important issue for service providers. Indeed, previous studies have widely

E. Continued focus on improving efficiency and effectiveness in the organisation, from procurement, to supply chain to customer service delivery.