"Beyond Goldratt: Navigating Legacy and Innovation in TOC"
Kevin Kohls
I help logical leaders improve profitability and create long term change. Ask me how :) Want to talk? Schedule a time at calendly.com/kevinkohls or go to linktr.ee/kevinkohls
After watching the YouTube video titled "Goldratt's Rules of Flow - My Story Behind the Book" presented by Efrat Goldratt-Ashlag, I was filled with mixed emotions.
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The sound of Eli’s voice in the video was comforting, bringing back fond memories. However, the realization that he's no longer with us is a somber one. Interestingly, some of the topics Efrat discussed have already been addressed in my past endeavors.
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Efrat's conversations with her father mirrored some of the challenges I encountered at GM. It demanded courage to confront prevailing perceptions at GM, navigate internal politics, and negotiate over budgets and staffing. The “Survivor-like” corporate culture eventually led to my buyout.
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As an engineer, my thought processes often align with those of a physicist like ELI. This occasionally brings about a blend of humility and arrogance, which is quite evident in the TOC community and platforms like LinkedIn. Such traits might be on full display in this article, given that the TOCICO conference is underway in Hollywood, Florida.
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It's worth noting that many issues Efrat highlighted have already been resolved.
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During his visit to GM, Eli Goldratt praised the Throughput Improvement Process, taking pride in the fact that its success was independent of his direct involvement. Rather, it was inspired by his writings and spearheaded by a small group of internal innovators. This process had been instrumental in GM's success, contributing to $1B in profits. I've presented on this topic at TOCWorld and TOCICO events. Additionally, our team has mastered the art of designing manufacturing systems using TOC methodologies – a concept we term as 'Design in the Constraint.' This innovation stems from the teachings of a visionary.
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Moreover, the Engineer-to-Order system utilized at REX Materials abandons the three-color buffer chart, emphasizes flow and focus, and looks at delivery date distributions based on the Critical Chain. The most pivotal feature is the "What ifs" capability, which is integral to every TOC implementation I've been a part of. Surprisingly, the presentation based on these concepts was rejected by TOCICO.
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Similarly, the Critical Chain Production System using Robotic Process Automation didn't make the published schedule in this year's TOCICO agenda. CCPS avoids early starts and multitasking. It was validated using the P&Q example, finding problems with the traditional answer. ?The P&Q system IS profitable – in 40 weeks. If we are doing an Accounting Problem, it's worth knowing.
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Eli Goldratt's influence on thinking business is undeniable. However, post his demise, many in the TOC community have become complacent, adhering only to his teachings. But a handful, like myself, continued to question and innovate, building upon his foundational knowledge. Paradoxically, less interaction with him might have fostered independent thinking.
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In essence, the conference is a golden opportunity for TOC enthusiasts. Constructive critique of TOC principles should be welcomed. To all attendees, savor and make the most of it!