Theory of Constraints

What is the theory of constraints?

The theory of constraints (TOC) is a holistic management philosophy developed by Dr. Eliyahu M. Goldratt that is based on the principle that complex systems exhibit inherent simplicity.  Even a very complex system made up of hundreds of people and scores of machines can have any given time only a very, very small number of variables—perhaps only one (known as a constraint)—that actually limits the ability to generate more of the system’s goal.

See in-depth information and related links.

What are the benefits of TOC?

Infusing TOC holistically into your management approach can

• increase the ability to achieve the system’s goal—for manufacturers that means increased net profits and return on investment now and in the future
• reduce the amount of chaos in operations
• decrease production lead time
• reduce inventory—especially work-in-process in a production environment and/or finished goods in a distribution network
• improve on-time delivery performance
• give staff the ability to analyze and resolve day-to-day conflicts

What can CIRAS do for my company?

PROJECTS: The CIRAS Productivity Improvement Team can assist Iowa manufacturers who wish to infuse TOC holistically into their management approach. CIRAS staff will facilitate the process as the top company officials lead their employees through the change process.

WORKSHOPS: CIRAS provides a number of workshops that range from providing exposure to the basic concepts of TOC to training staff on implementing aspects of the TOC functional solutions. For a list of TOC workshops, click here.

SELF STUDY: CIRAS also provides valuable educational materials on TOC on this web site. To access the TOC educational materials, click here.

What is my next step?