Improving Business Performance

* Analyze a complex value creation system using management concepts.

Then, using Part 2 of your The Goal readings, research and select three short passages that contain one or two essential concepts pertaining to management that you found to be compelling. Analyze each using the Course Outcome you selected as a framework. Note: A theme this week you can focus on is to explain why the techniques that the team are implementing working, and how "breaking the rules" in this case makes sense from a systems performance perspective).

For this Shared Practice, write a 3- to 4-paragraph essay. Identify the Course Outcome you selected and the passages from Part 2 of The Goal. Explain why each passage you chose is relevant and important in effective business management. Justify your response, and include citations for each passage. As you move on to next week, reflect on this statement, "If I had only known this, back when..."

“According to the theory of constraints (TOC), the bottleneck is a critical resource, which determines the throughput rate and therefore an operation’s ability to make money” (Chakravorty, 2006).While reading The Goal Part 2, I found the assigned reading very interesting from beginning to end. It amazed me at how Mr. Rogo found a solution to possibly help him straighten out the plant all from a camping trip with his boy scouts. The solution that Mr. Rogo had found was tested during the camping trip and it worked. He then thought it’d be a great idea to take back to his plant. When he first discussed his idea and the proven results from the camping trip, many of his colleagues looked at his as if he were crazy. “The five-step process developed to help managers implement TOC principles requires subordination of all operational focus to ensure that the bottleneck is utilized 100%” (Goldratt 1990).

“Inside a plant, when the departments get behind and work-in-process inventory starts building up, people are shifted around, they’re put on overtime,...