Constraint-Based Decision Making

Constraint-Based Decision Making is both a stand-alone program and a foundational module that is integrated into all our programs.

3 hours

The performance of everything we create, produce, build, and maintain is governed by constraints of form, fit, & function. The workflows we use to create, produce, build, and maintain are also governed by constraints, and should be managed accordingly.

In this program participants examine how the following decisions impact the bottom line:

  • Product Decisions based on Business Profitability vs Product Profitability

  • Capacity Decisions based on Workflow Management vs Resource Utilization

  • Improvement Decisions based on Throughput vs Cost Savings

Benefits
Attendees will learn:

  • The importance of having a clearly defined business goal, when connecting actions to outcomes

  • How to use TOC’s Five Focusing Steps and constraints to better connect decisions to the bottom line

  • How to evaluate decisions using Throughput (T), Investment/Inventory (I), and Operating Expense (OE)

  • Why decisions based on Product Cost or Product Profitability don’t translate to Business Profitability

  • How the interactions of workflow dependency and variability increase Lead Time, reduce On Time, and increase Cost

  • How safety buffers of time, capacity, and inventory keep the unseen interactions of dependency and variability from adversely impacting Lead Time, On Time, and Cost performance

  • The differences between bottlenecks and constraints

  • Why “wandering bottlenecks” are bad for business

  • Why a Resource Efficiency mindset, such as “If a worker doesn’t have anything to do, let’s find them something to do,” does not translate to desired Business Performance Outcomes

  • Why properly identified and positioned constraints serve as

  • Business Performance “Regulators,” providing Focus and Alignment across the organization – a Strategic Advantage

  • Why improvement cost savings seldom materialize

  • How to evaluate investment decisions based on T, I, & OE impact

  • How to determine when more business (more orders) is bad for business

Who Should Attend

  • Senior-level leaders who want to have an efficient, effective, and competitively positioned production-based workflow management system

  • Senior-level leaders who are inspired to innovate

  • Senior-level leaders at growth companies who are challenged to scale

  • Seasoned and influential executives who will use this opportunity to make an even greater difference in their careers and their organizations’ future

Format
The class is presented online in a live, virtual Zoom classroom. To accommodate our global customers, programs are available in three time zones: EDT/EST (North America), CET/CEST (Europe), and SGT (Asia Pacific).

Recommended Reading
The Goal: A Process of Ongoing Improvement by Eliyahu M. Goldratt and Jeff Cox

Program Requirements
Attendees must have a computer on which they can download PDF program material, as well as an app to view PDF files such as Adobe Acrobat Reader DC. Bandwidth which meets or exceeds minimum Zoom recommendations for audio and high-quality video (600kbps down) or HD video (1.2Mbps down) is optimal.

Price
US$295 per seat - live online (Zoom)
Limited to 20 participants

Contact us at agi@goldratt.com for more information.

 

Cancellation & Rescheduling Policy

AGI understands that occasionally circumstances require a change in schedule that results in a registrant not being able to attend a program as planned.

If you wish to CANCEL your registration and receive a full refund, you must submit your request via email to agi@goldratt.com at least 30 days prior to the program start date. If you submit your request 15 to 29 days before the program start date, you will receive a refund equal to 50% of the full program fee. If you submit your request within 14 days of the program start date, you are not eligible to receive a refund.

If you wish to RESCHEDULE your registration to a LATER date at no charge, you must submit your request via email to agi@goldratt.com at least 30 days prior to the program start date. If you submit your request 15 to 29 days before the start of the program, you will be charged a change fee of 10% of the full program fee. If you submit your request within 14 days of the program start date, you will be charged a change fee of 25% of the full program fee.

For those who have rescheduled to a later date, and then wish to cancel, no refund will be given.

You may RESCHEDULE your registration to an EARLIER date at any time if space is available. There is no fee for this change.

You may REPLACE yourself with another attendee at any time at no charge.