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Theory of Constraints (TOC) was developed by Dr. Eli Goldratt by applying the principles and processes of the “Hard Sciences” to the science of analyzing, managing, continuously improving and predicting the performance of organizations in a holistic way. The most important of these are the fundamental beliefs in science, define in the TOC as the four pillars, that “all complex systems are governed by inherent simplicity” and that "all conflicts (inconsistencies) with systems can be resolved...if we can find the erroneous assumption(s)", fundamental believe that “people are good” and the understanding that we must check our assumptions, or as we say in TOC “never say I know”. The essence of these beliefs in science is summarized with the truism that “the strength of any chain is governed by the strength of its weakest link”. If you want to strengthen the chain, and improve the performance of the system as a whole, you need to find and strengthen its weakest link. The application of this simple "governing law" can enable us to differentiate between the many parts, processes and relationships within a system that can be improved, from those few that must be improved to get more goal units.

 

TOC has evolved into a holistic management philosophy, and set of focusing and critical thinking processes that enable us to determine what really is limiting or blocking further improvement in your chosen subject matter or system, and also how to identify and implement the necessary and sufficient solution to overcome these limitations in a way that will achieve the buy-in and active contribution of all the key stakeholders.

 

TOC’s application specific generic solutions that provide the necessary and sufficient constraint focused rules for improving and managing functional areas, such as

  • Managing Manufacturing, Supply-Chain logistics (drum-buffer-rope, replenishment, dynamic buffer management).

  • Project management (Critical Chain Project Management).

  • Retail.

  • Finance and Measurements (Throughput Accounting).

  • Sales & Marketing (Building Unrefusable Offers).

  • Business Strategy.

 

TOC is using some additional powerful tools that are used for analysis and creating the specific solutions for our clients. The tools are:

  • The Five Focusing Steps.

  • TOC’s Thinking Processes (TP)

  • TOC’s Throughput Accounting (TA)

  • TOC’s Six (Necessary & Sufficient) Questions of Technology

  • TOC's Innovation Processes (IP)