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Theory of Constraints 103: The Four Fundamental Principles of Flow

In the previous post, I described how many companies’ embrace of local optima leads to overwork and burnout for employees, and reduced throughput and profitability for the bottom line. Before we look at what TOC proposes as a solution, we have to take a brief look at the history of flow, beginning with Henry Ford. Ford … Continue reading Theory of Constraints 103: The Four Fundamental Principles of Flow

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Theory of Constraints 102: The Illusion of Local Optima

In the previous post, I argued that many people unknowingly subscribe to a defunct management philosophy: that you can improve the performance of a company as a whole by individually improving the performance of its parts. These isolated improvements are known as “local optima” (or in traditional manufacturing contexts, “local efficiencies”). A local optimum is whatever … Continue reading Theory of Constraints 102: The Illusion of Local Optima

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