About this Presentation
The panel of theory of constraints (TOC) and lean speakers includes: James Holt (moderator), Dee Jacob, Baha Inozu, Lisa Scheinkopf, Kevin Kohls, and discuss lean, six sigma and TOC blended together. Several topics were discussed some points are listed here. TOC puts lean/six sigma in the strategy and tactics (S&T) tree. Why do companies want to stay where they are? Usually measures (how many kiasan events have you held?) are ineffective and the company is comfortable where they are. Subordination means give up resources and budget! Managers don't want to do that. Savings translates into line items that should be reduced in budgets. Budget buffers might be a viable solution. The objective is to create companies that are successful now and in the future. TOC implementations should focus other efforts and be the over-arching philosophy. What is the problem that lean/six sigma is trying to solve that TOC doesn't address? Use the Standing on the Shoulders of Giants (SOSG) process to resolve problems in areas not addressed? For example, incorporating VMI with kanbans clashes with our dynamic buffering. Six sigma fits well in buffer management. Black and red zone variations are examples of processes out of control using six sigma. Lean and six sigma are not paradigm shifts; reducing waste and cost is under my control. TOC requires at least one paradigm shift usually many more if a holistic implementation. Throughput world mentality is counter intuitive. Between links in a supply chain there may be conflicts between lean and TOC.
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.