Managing Constraints to Optimise Outcomes
Based on the internationally acclaimed “Theory of Constraints” (TOC)
Most managers hate constraints and bottlenecks. Even more so after 2020!! After all constraints and bottlenecks cause delays, don’t they? Lewis Trigger presents a complete turnaround, showing managers to value their constraints by leveraging them - to look after them, to protect them from nasty surprises, and so enable managers to deliver consistently better results from the resources you already have. After all Constraints and bottlenecks are what ultimately controls the output of your business. Through Lewis’s powerful and practical workshop, you will internalize the management techniques of managing your constraints to optimize outcomes. Constraint Innovation is based on the internationally acclaimed Theory of Constraints (TOC) and combines other leading management doctrines such as Lean, Concurrent Engineering, and System’s thinking.
In this 2-day Constraint Innovation workshop, international CI expert Lewis Trigger shares common sense, practical solutions, drawn from the advanced management doctrine TOC (Theory of Constraints) to address the challenge of “Unlocking Value” via leveraging your Constraints be it Resource Constraints, a Policy Constraint, as well as a Market Constraint.
The workshop focuses on 3 critical management challenges, providing Constraint Innovations breakthroughs in Leveraging Constraints, KPI’s, Synchronizing Shared Resources in a dynamic environment.
Emphasis is placed on the active involvement of the participants with an emphasis on their working environment. As part of the workshop, the participants will be divided up into workgroups, with each group being assigned a challenging area from at least one of the participant's working environments. As we proceed with the learning, each group will be required to illustrate the practical relevance of the learning to their nominated case study. Exercises are extensively used, and group learning through open discussions is encouraged. Reliable case studies that have shown great success using CI’s methodology are elaborated on throughout the workshop. The workshop is limited to 15 participants.
Day 1: The Building Blocks of Constraint Innovation
The core idea is that every System has at least one Constraint. The performance of the Constraint is what ultimately determined the performance of the System. The building blocks focus on significantly improving performance via leveraging the Constraint.
The six steps for unlocking value within existing resources are:
Defining the System’s "Goal".
Identifying the constraint (i.e. the "Bottleneck")
Exploiting the Constraint (i.e. "Take what you’ve got to get 100% use of the constraint")
Subordinating to the Constraint (i.e. "Rearrange others to what you need to maintain 100% of the constraint")
Elevating the Constraint (i.e. "Innovate to get greater than 100%)
Identifying the new Constraint - continual improvement loop.
The above 6 steps are the building blocks of Constraint Management and they provide the key to unlocking the door of: "How can we get more out of what we have before purchasing additional resources? And if we need to add resources where can we get the best values for our $'s?”
Day 2:Morning: Managing performance – KPI’s.
“Tell me how you measure me and that is how I behave!!!” Having said that we can appreciate the power of Key Performance Measurements (KPI’s). Performance measurements have the potential for advancing an organization’s goal, but at the same time, they can be misused causing tremendous damage. This workshop provides a creative solution for KPI’s that drives positive performance based on the principles of Constraint Innovation. Using the KPI’s of Constraint Innovation, decisions at ALL levels can now be linked to the “bottom line” of the organization. More than that, the KPI’s in themselves change behavior to being effective rather than simply being efficient. Many leading organizations around the world have adopted these KPI’s as have leading academic institutions such as the Harvard Business School.
3 fundamental KPI’s, based on the “Theory of Constraints” KPI’s are elaborated on:
“Throughout” - defined as Effectiveness
“Operating Expenses” - a different approach from traditional Cost Accounting
“Inventory” – a universal definition that can also be applied in a service environment
Afternoon: Synchronizing Shared Resources: Revealing an effective and practical application of Resource Synchronization and Scheduling, known as "Drum Buffer Rope" (DBR). DBR provides a competitive advantage be it a Resource or Market Constraint via shortening lead times, reducing costs, and improving quality.
Scheduling rules will be demonstrated using an engaging simulation scenario. For those participants who come from a manufacturing environment, the following areas will also be addressed: how to treat idle capacity, how to achieve a balanced production line, optimizing batch size, establishing a reduction policy, offloading from one resource to another, reducing inventory build-ups, and cost reductions.
Completion: Developing an effective implementation plan:
The remainder of the day will focus on the development of a Co.' wide improvement program based on the TOC paradigm; i.e. via leveraging the organization's constraints. The outcome is a realistic implementation plan with tasks, milestones, and the delegation of responsibilities.
Meeting commitments: deliverables on time and within budget; meeting service levels within cost; Reducing downtime of key facilities and equipment.
Enhance service levels, greater inventory turnover, and shorten lead times. Enhancing the ability to improve system performance without incurring additional costs.
Improve quality by focusing our corrective and preventative actions on what counts most.
A shift in thinking from localized efficiency towards system effectiveness.
Focusing management efforts on where it counts most.
Allocating resources to where it counts most.
Enhance teamwork and job satisfaction.
Lewis Trigger is a recognized international expert in Constraint Innovation.Australian-born, Israel resident, Lewis is an industrial engineer (MBA, MSc, PMP),
with over 25 years of experience in applying Theory of Constraints (TOC) within the Israeli military’s maintenance; engineering, and logistics systems, within government and private industry.Over the last 18 years, Lewis has shared his expertise through his workshops to many leading Australian organizations such as Rio Tinto, Oz Minerals, Newcrest Mining, Iluka Resources, Schweppes / Asahi, Visy, Arnott’s, The Australian Submarine Corporation, The Adelaide Health Service, AKD Sawmills, the Spotlight Retail Chain, Dairy Farmers, Rosebank Engineering, AW Bell, Coopers Brewery, Government agencies at a Federal, State, and Local level. His public workshops throughout Australia have been sponsored by Industry Partners Australia, SIRF, the University of South Australia, APICS, AIG (The Australian Industry Group), QMI (Queensland Manufacturing Institute), QUT (Queensland University of Technology), The University of Queensland, The Terrapinn Group, Dandenong South East Business Networks, (BIIG (Ballarat Innovation Industry Group).
To hear Lewis, click on the following link
“Your course was excellent and delivered the outcome I was looking for. It has raised awareness and started the juices flowing for improvement around the site. “ Nick Strong – Previous Manager for Performance and Projects, Cadia Valley Operations, Newcrest Mining Ltd; Present General Manager – Underground Mining - Rio Tinto Copper & Diamonds
“I can honestly say that was the best experience and workshop I’ve been to in a very long time. The information I was able to gather from the workshop has answered questions I’ve been searching for answers to for a very long time. It was incredibly informative and presented in a very enjoyable fashion, I loved it” - Steven Crewe - C.I. Manager -Australia Asahi / Schweppes
"We completed training …. Since this time one month ago, the throughput of product through our production constraint has increased by exactly 50%." Andrew Meek –CEO – AWBell - Melbourne Australia
"This was one of the best structured training courses I have attended. Very relevant and the practical aspects were effective tools". Nick Porter – Senior Manager Hill Defence Products, Adelaide
"Application of theory to practice, in real-life projects that DAFWA personnel could understand the relevance. Excellent Lewis. As ever, very professional and informative performance with the right amount of enthusiasm and humor to engage us in the application of this practical theory of improvement." Stuart Clarke - Senior Director of Public Service Western Australia
"Lewis has succeeded in combining theory with practice and passing on to workshop participants a useful set of tools as well as a systems approach. He has demonstrated a varied and in-depth knowledge and experience." Brigadier General Zacharier Chay (retired) – Previous Head of the Israeli Defence Force Ordnance Corps.
"I attended your session in Perth recently and found it fascinating. I’m implementing it in one part of our business which has always given us headaches. Now we’ve identified the constraint, the problem has become simple to see. Great stuff." Geoff Brown - Director of a leading Australian multimedia supplier.
“TOC and your presentation of the subject have had a huge effect on our organization, and we use your methodology on a weekly, if not daily basis.” Steve Macdonald – GM Albins – Victoria
“You are a natural teacher and storyteller, Lewis. Your ability to communicate something quite complex, in a way that we can immediately understand and apply, is genius.” – Dr. Sarah Kelly, MBA Director – Business School – University of Queensland
"Thank you again for an incredible 3 days. I felt privileged to work with you, hear your stories and messages and see the lights come on for some of my public sector colleagues in how this approach (Constraints innovation) can help focus our effort and leverage our resources more effectively for the WA community " - Michelle Raymond, Manager, Workforce Development - Public Sector Commission WA
What is Constraint Innovation? The central insight of the Theory of Constraints (TOC) is that at any time a single constraint or pacemaker (bottleneck) determines the capacity of any system which seeks to maximize performance. The constraint may be inside or outside the enterprise. Lost time at the constraint cannot be recovered. The constraint must be identified. Non-constraints must supply the constraint with quality, on-time inputs, protect it from interruptions and unnecessary tasks, and protect the throughput of the constraint from damage. Enterprises can improve their bottom line only by better managing the constraint. Cost-cutting and improvement activities that do not protect the constraint may reduce performance. Constraint Innovation, the application of the Theory of Constraints, complements the implementation of Lean systems by providing focus and early results. Strategic safety buffers are deployed to supplement lean efforts against "Murphy" until such time that the full lean effort has "kicked in". The Kaizen techniques are reflected in ToC’s 5 fundamental steps of continual improvement. An adapted Kanban system to the reality of the Australian business environment is taught via the TOC technique of “Drum – Buffer – Rope”. 5 “S” is given a deeper meaning through the TOC principle of “Subordination”. The list goes on of further adapted Lean techniques that are integrated into the learning material.” Constraint Management training gives managers a simple, intuitively appealing way to immediately expose and put into service the hidden capacity of their existing systems. It does not rely on information technology or software. Enterprises can defer and even avoid the cost of enlarging the capacity of system constraints by getting more from them. At the same time, enterprises can reduce process lead times (by up to 50%), decrease backlogs of work in progress (by up to 30%), and increase throughput and job satisfaction. TOC is a powerful universal management theory that applies to any organization – public or private, commercial or non-profit, service, or manufacturing. Workable non-nonsense procedures have been developed for the spectrum of management activities. For this workshop, the emphasis will be on Operations, Maintenance, Supply Chain, & Service industries. TOC is generally best known through the publication of the internally acclaimed management bestseller book "The Goal" by Dr. Eli Goldratt. This very innovative management methodology has been adopted globally by literally 1000's of successful organizations around the world, including such names as General Motors, Westinghouse, the United States Air Force, Navy and Marines, Lucent Technology, Nike; and more recently in Australia by BHP, Roy Hill.