Thinking processes (Theory of Constraints)
Encyclopedia
This page is about thinking processes in the Theory of constraints
. Wikipedia also has a list of thought processes.
Thinking processes in Eliyahu M. Goldratt
's Theory of Constraints
, are the five methods to enable the focused improvement
of any system
(especially business
system).
Sometimes two other questions are considered as well:
and:
A more thorough rationale is presented in What is this thing called Theory of Constraints and how should it be implemented.
A more thorough work mapping the use and evolution of the Thinking Processes was conducted by Mabin et al.
Some observers note that these processes are not fundamentally very different from some other management change models such as PDCA
"Plan-Do-Check-Act" (aka "Plan-Do-Study-Act") or "Survey-Assess-Decide-Implement-Evaluate", but the way they can be used is clearer and more straightforward. More on this can be seen on Goldratt's Theory of Constraints - A Systems Approach to Continuous Improvement by William Dettmer ISBN 0-87389-370-0.
Theory of constraints
The theory of constraints adopts the common idiom "A chain is no stronger than its weakest link" as a new management paradigm. This means that processes, organizations, etc., are vulnerable because the weakest person or part can always damage or break them or at least adversely affect the...
. Wikipedia also has a list of thought processes.
Thinking processes in Eliyahu M. Goldratt
Eliyahu M. Goldratt
Eliyahu Moshe Goldratt was an Israeli physicist who became a business management guru. He was the originator of the Optimized Production Technology, the Theory of Constraints , the Thinking Processes, Drum-Buffer-Rope, Critical Chain Project Management and other TOC derived tools.He authored...
's Theory of Constraints
Theory of Constraints
The theory of constraints adopts the common idiom "A chain is no stronger than its weakest link" as a new management paradigm. This means that processes, organizations, etc., are vulnerable because the weakest person or part can always damage or break them or at least adversely affect the...
, are the five methods to enable the focused improvement
Focused improvement
Focused improvement in Theory of Constraints is the ensemble of activities aimed at elevating the performance of any system, especially a business system, with respect to its goal by eliminating its constraints one by one and by not working on non-constraints.The method to achieve focused...
of any system
System
System is a set of interacting or interdependent components forming an integrated whole....
(especially business
Business
A business is an organization engaged in the trade of goods, services, or both to consumers. Businesses are predominant in capitalist economies, where most of them are privately owned and administered to earn profit to increase the wealth of their owners. Businesses may also be not-for-profit...
system).
Purpose
The purpose of the thinking processes is to help one answer questions essential to achieving focused improvement:- What to change?
- What to change it into?
- How to cause the change?
Sometimes two other questions are considered as well:
- Why Change?
and:
- How to maintain the process of ongoing improvement (POOGI)?
A more thorough rationale is presented in What is this thing called Theory of Constraints and how should it be implemented.
A more thorough work mapping the use and evolution of the Thinking Processes was conducted by Mabin et al.
Processes
The primary thinking processes, as codified by Goldratt and others:- Current Reality TreeCurrent reality treeCurrent reality tree refers to the repair activity for ships. An initial inquiry check for availability of dock space and repair berth, vessel draft restriction, repair scope compared with yard work load estimating and forward any queries....
(CRT, similar to the current state map used by many organizations) — evaluates the network of cause-effect relations between the undesirable effects (UDE's, also known as gap elements) and helps to pinpoint the root cause(s) of most of the undesirable effects. - Evaporating CloudEvaporating cloudThe Evaporating Cloud is one of the six Thinking Processes in the Theory of Constraints initially developed by Eliyahu M. Goldratt to enable the focused improvement of any system...
(conflict resolution diagram or CRD) - solves conflicts that usually perpetuate the causes for an undesirable situation. - Core Conflict Cloud (CCC) - A combination of conflict clouds based several UDE's. Looking for deeper conflicts that create the undesirable effects.
- Future Reality Tree (FRT, similar to a future state map) - Once some actions (injections) are chosen (not necessarily detailed) to solve the root cause(s) uncovered in the CRT and to resolve the conflict in the CRD the FRT shows the future states of the system and helps to identify possible negative outcomes of the changes (Negative Branches) and to prune them before implementing the changes.
- Negative Branch ReservationsNegative Branch ReservationsNegative Branch Reservations are an emerging phenomenon that occurs when one doubts and brings up negative effects or outcomes when one is interrogating a Future Reality Tree, Transition Tree, or Prerequisite Tree which are part of the Thinking Processes of Eliyahu Goldratt's Theory of Constraints....
(NBR) - Identify potential negative ramifications of any action (such as an injection, or a half-baked idea). The goal of the NBR is to understand the causal path between the action and negative ramifications so that the negative effect can be "trimmed." - Positive Reinforcement LoopPositive Reinforcement LoopThe Positive Reinforcement Loop is one characteristic that emerges through the use of the Thinking Processes of Eliyahu Goldratt's Theory of Constraints....
(PRL) - Desired effect (DE) presented in FRT amplifies intermediate objective (IO) that is earlier (lower) in the tree. While intermediate objective is strengthened it positively affects this DE. Finding out PRLs makes FRT more sustaining. - Prerequisite Tree (PRT) - states that all of the intermediate objectives necessary to carry out an action chosen and the obstacles that will be overcome in the process.
- Transition TreeTransition TreeThe Transition Tree is one of the Thinking Processes of Eliyahu Goldratt's Theory of Constraints....
(TT) - describes in great detail the action that will lead to the fulfillment of a plan to implement changes (outlined on a PRT or not). - Strategy & Tactics (S&T) - the overall project plan and metrics that will lead to a successful implementation and the ongoing loop through POOGI. Goldratt adapted three operating level performance measures—throughput, inventory and operating expense—and adopted three strategic performance measures—net income, return on investment, and cash flow—to maintain the change.
Some observers note that these processes are not fundamentally very different from some other management change models such as PDCA
PDCA
PDCA is an iterative four-step management method used in business for the control and continuous improvement of processes and products...
"Plan-Do-Check-Act" (aka "Plan-Do-Study-Act") or "Survey-Assess-Decide-Implement-Evaluate", but the way they can be used is clearer and more straightforward. More on this can be seen on Goldratt's Theory of Constraints - A Systems Approach to Continuous Improvement by William Dettmer ISBN 0-87389-370-0.
Software
- jThinker is an open-source tool for visual building of thinking processes diagrams.
- Harmony is a Strategy & Tactics Expert System.
- Flying Logic a cross platform TOC thinking process suite.
Books
- H. William Dettmer. The Logical Thinking Process: A Systems Approach to Complex Problem Solving (2007). ISBN 978-0-87389-723-5
- H. William Dettmer. Strategic Navigation: A Systems Approach to Business Strategy (2003). ISBN 0-87389-603-3
- Eliyahu M. Goldratt and Jeff Cox. The Goal: A Process of Ongoing Improvement. ISBN 0-88427-061-0
- Eliyahu M. Goldratt. It's Not Luck. ISBN 0-88427-115-3
- Eliyahu M. Goldratt. Critical Chain. ISBN 0-88427-153-6
- Eliyahu M. Goldratt, Eli Schragenheim, Carol A. Ptak. Necessary But Not Sufficient. ISBN 0-88427-170-6
- Lisa J. Scheinkopf Thinking For a Change: Putting the TOC Thinking Processes to Use. ISBN 1-57444-101-9
- Eli Schragenheim. Management Dilemmas: The Theory of Constraints Approach to Problem Identification and Solutions. ISBN 1-57444-222-8
- John Tripp TOC Executive Challenge A Goal Game. ISBN 0-88427-186-2