- Do you know where your business' bottleneck is?
- Does everyone in the business know and agree?
Proactive constraint management improves throughput and reduces costs at the same time
It has been a long time since Eliyahu Goldratt formally defined the Theory of Constraint (TOC). It is well-proven and yet its application in business is at best sporadic.
Once the initial constraint analysis has been conducted we work with you to develop a strategy, which will enable your team to proactively manage the bottleneck, while simultaneously reducing the costs in the non-bottleneck processes. And guess what: once again a large portion of such an intervention is a Change Management effort...
Example of Our Work
Mathematical Business Process Modelling
Project: UG Gold Mine Northern Territory, Australia - Business review, innovative mathematical modelling applied to the Value Chain Model (VCM) to identify the site’s primary operating constraint ('bottleneck') beyond doubt. Then, using a mathematically-based Value Driver Tree (VDT), high impact business opportunities ('levers') were clearly identified and sensitivity analysed. The business later pursued these via an implementation project.
Outcomes: (NPV = $18M at a $1.25M investment).
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