A constraint is any factor or element such as cost, schedule and scope that prevents a system from performing at the highest level possible in relation to its objective. There are many types of constraints that prohibit performance. Continuous Improvement strategies such as: Lean, Six Sigma and the Theory of Constraints are effective ways to reduce or remove constraints.
1. Cost/ Resources
2. Schedule/ Time
3. Scope/ Quality
5. Policy or Procedure
Cellular layouts are the optimal flow based layout. A cell is a close arrangement or setup of people, machines or workstations. The purpose of a cellular layout is to fulfill a processing sequence while simultaneously reducing wait times, transportation and other forms of muda. In addition to removing various forms of waste, cells are very effective and promote and facilitate effective flow. Cells can be in many different shapes and attempt to spread work evenly amongst the resources.
The balanced scorecard shows key metrics on a dashboard which provide key performance indicators and insight regarding four main areas of an organization: Financial, Customer, Internal Business Processes and Learning and Growth. The balanced scorecard is used in strategic planning and management in a wide variety of industries. For more in depth study of the balanced scorecard we recommend reading Dr. Robert Kaplan and Dr. David Norton's book titled The Balanced Scorecard: Translating Strategy into Action.
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