About this Presentation
This presentation was given by Rocco Surace. This workshop provides the fundamentals or basics of TOC finance and measures. The five focusing steps are introduced and applied to a P and Q product mix problem. Each step is illustrated. The measures of throughput, inventory (investment) and operating expense are presented and illustrated in the example. Several decision-making scenerios are described and solved using TOC concepts.
What Will You Learn
To help you get the most value from this session, we’ve highlighted a few key points. These takeaways capture the main ideas and practical insights from the presentation, making it easier for you to review, reflect, and apply what you’ve learned.
This workshop reframes financial performance around TOC’s core measures - Throughput, Investment, and Operating Expense - and shows why the purpose of measurement is to drive the right system behavior, not just report results.
A central insight is how traditional cost accounting can distort major decisions, especially around inventory, make-versus-buy, equipment investment, and product viability, even when the numbers appear to support them.
The session contrasts “cost world” and “throughput world” thinking, revealing why local efficiencies, big batches, and utilization-driven decisions often damage total system performance.
Instructor(s)
Rocco Surace
Rocco Surace - past Chairman of TOCICO. He is a partner of Bonadio & Co a top 50 CPA firm in the US. He is co-author of the recently published Throughput Economics, which develops a practical methodology for better decision making by looking at the impact of decisions on a company’s bottom line, including the financial impacts, capacity limitations and the impact of uncertainty.
Rocco facilitates the discussion and open with his observations on what opportunities lie ahead.
Christoph Lenhartz
Christoph Lenhartz, MBA, Jonah, TOCICO-certified, Certified Consultant (bdvb), DDPP, DDLP, DDOP, SCOR-P, CSCP, CTSC, CSCA is a TOCICO board ember and past and current Chair of TOCICO. In over 20 years he has acquired a wide-ranging, international experience in industry, as a successful entrepreneur and also a leader of management consulting teams in high complexity TOC implementations. He has lead strategic, business transformation, supply chain management and IT projects and his expertise also includes post-merger integration of supply chain operations for major international groups. One of the leading experts in Europe in TOC and Demand Driven methodologies he is the General Manager of Catena Strategies, a TOC-based consultancy in management and operational excellence. He also serves as Master Instructor for the Demand Driven Institute. He has published articles on TOC, Demand Driven and other management topics in journals such as “Quality Progress” or the prestigious French "Techniques de l'ingénieur" and has translated and written books on TOC and management topics in German. He is an appreciated speaker and teacher of TOC and related topics. Christoph holds an MBA from Clemson University (USA), he graduated from the University Essen (Germany) as a Diplom-Kaufmann and has pursued post-graduate studies at Washington State University (USA).