The Theory of Constraints is a philosophy that is used to identify the point in a process where constraints and bottlenecks prevent the process or system from achieving its highest level of performance. To simplify the definition, the theory of constraints tells us that "the throughput of a system is determined by the systems biggest constraint (bottleneck).
The Philosophy was developed by Dr. Eliyahu M. Goldratt. He covered the philosophy in many different books such as: The Goal and Theory of Constraints. You can click on any of the links in this definition if you are interested in reading one of Dr. Goldratts books.
Dr. Goldratt taught that there were five essential steps used in the theory of constraints. Those five steps are:
Throughput is the rate at which a process or a system reaches its objectives/goals. The rate was first discussed and heavily analyzed in the book Theory of Constraints. The metric is most often measured using "rates" or "monetary" measurements (meaning money). Throughput is often referred to as manufacturing cycle time.
The Traditional Yield is taken at the final step of a process to measure the effectiveness of the overall process. This type of measurement does not take into account scrap, rework or any other inefficiencies in a process it only looks at what goes in and what comes out.
John is machining 5 parts today. During the machining phase 2 parts are oversized. John goes back and machines the parts down to size and they pass inspection giving him 5 good parts. His yield on the 5 piece run was 100%.
Takt time is a German phrase for the baton the conductor uses to set the tempo of an orchestra. In Lean and Six Sigma applications Takt time refers to the rate that products and/or services need to be completed in to keep up with customer demand.
How to Calculate:
Takt time is calculated by dividing the available time per day by the customer demand.
If the available time per day is 7.5 hours and the customer would like to receive 350 parts per day, what would the calculated takt time be?
The ©TREAT 1,2,3 methodology is a problem solving methodology used by Lean Strategies International LLC that when applied to processes (technical, methodological, philosophical) can effectively reveal root causes related to issues / problems or opportunities in the process and guide users towards solutions for a more stable, effective, efficient and value adding process. The methodology is universal at all scopes of an organization and can be used by any individual, team or organization. There are 5 major steps involved in the ©TREAT 1,2,3 problem solving process:
The ABC's of