Steps To Apply the Theory of Constraints in Your Business

The Theory Of Constraints


Irrespective of the type of industry, there is always a chance of improving the overall performance. An excellent way of doing this activity will involve all the constraints and the bottlenecks that are holding you back. But you are required to identify the bottlenecks at first before trying to eliminate them. Here comes the use of the well known approach which is known as the Theory of Constraints. The concept was introduced by Dr. Eli Goldratt which was published in his book known as ‘The Goal’ in the year 1984.

Basic Concept

The theory of constraints is the process by which the weakest links can easily be identified in the business process. The constraints that create obstruction in achieving the goals of the business can be identified and resolved until it no longer remains to be a limiting factor. The constraint is often called the bottleneck in the manufacturing process. It is basically a scientific approach of improvement. It assumes that the complex manufacturing process which is multilinked with various activities, consist of a single constraint which acts as weakest link in the entire chain. Therefore optimizing the areas of non constraints will not be helpful unless the constraint is identified and improved.

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