About this Presentation
Scheduling challenges include: organizations require distinct scheduling algorithms; and significant misunderstanding of what algorithm is appropriate. Most algorithms are cost world focused. System definition must have the system design and one must have the different scheduling algorithms harmonized and focused on throughput. The TOC systemic approach is: 1. Define the goal of the organization & the necessary conditions that the organization cannot violate. 2. Define the system within which the organization exists … the foundation …3. Define the strategy / tactics to manage the system so that the organization reaches its goal. 4. Define the metrics that the organization will use to manage its pursuit of its goal. 5. Identify the system’s constraint that prevents the organization from achieving more of its goal. 6. Exploit the system’s constraint … and the day to day … 7. Subordinate the rest of the organization to the system’s constraint. 8. Elevate the system’s constraint (go back to step 5). Remanufacturing (MRO) environments are different and have higher risks than traditional manufacturing. The enterprise resource planning (ERP) system must have replenishment, EVM/throughput accounting, critical chain and drum buffer rope as the major components. Planning is accomplished through MRP II, ERP and TOC; synchronization is accomplished through integrated enterprise scheduling; and control is accomplished through buffer management.
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 presentation makes the case that scheduling cannot be treated as one generic problem across the enterprise. Different environments require different scheduling algorithms, and the real challenge is harmonizing them so the whole system stays focused on throughput rather than disconnected local objectives or cost-world logic.
A key takeaway is that TOC must be embedded as a systemic operating model, not just a shop-floor tool. The deck links enterprise scheduling to the broader TOC sequence of defining the goal, system, strategy, metrics, constraint, exploitation, subordination, and elevation.
The session highlights that manufacturing and MRO environments need different treatment because their risk profiles are different. Manufacturing is presented as relatively lower risk, while MRO operates with much higher uncertainty and therefore needs more predictive planning, tighter synchronization, and stronger control across repair, procurement, and resource planning.
One of the strongest insights is the integration model itself: replenishment, DBR, CCPM, ERP, and EVM/TA should not operate as separate initiatives. They need to be connected inside one integrated enterprise scheduling system, with buffer management providing the control mechanism that links planning, synchronization, and execution.
Instructor(s)
Daniel P. Walsh
Daniel Walsh is a sought-after lecturer, coach, strategic thinker and is a trusted advisor to many senior corporate executives, is currently a member of numerous corporate boards. In addition, he is co-founder of Exepron©, an advanced EPPM SaaS solution based on Critical Chain methodology. His current efforts are focusing on developing synchronous enterprise value chain solutions in multiple industry sectors. His research and development are centered on identifying the need to identify and leverage the strategic constraints of the enterprise, which is the key to increasing throughput. This culminated in the development of the Integrated Enterprise Scheduling®, (IES®) solution engine. Initial empirical results from deploying the IES® in a dozen large companies over a five-year period have been very promising. Many executives and thought leaders are convinced this may very well be the unified scheduling solution required for maximizing the profit of an enterprise-wide value chain. The IES approach was chronicled when he co-authored The TOC Handbook, the seminal Theory of Constraints reference textbook.