#TOC theory of constraints in project management
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solarelites · 4 months ago
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The Theory of Constraints in the Solar Business World
The Theory of Constraints (TOC) is a powerful management philosophy that can significantly enhance the performance of solar businesses. By identifying and addressing the most critical limiting factors, or constraints, within a business, TOC helps organizations optimize their processes, improve efficiency, and ultimately drive growth.
Understanding the Theory of Constraints
TOC, developed by Dr. Eliyahu M. Goldratt, is based on the premise that every organization has at least one constraint that limits its ability to achieve its goals. The key steps in applying TOC include:
Identify the Constraint: Determine the single most significant limiting factor that hinders the organization’s performance. In the solar business, this could be anything from design inefficiencies and supply chain issues to regulatory hurdles or inadequate sales processes.
Exploit the Constraint: Make the most of the existing constraint without incurring additional costs. For example, if the constraint is a slow design process, investing in advanced design software can streamline operations and reduce time to market.
Subordinate Everything Else: Align all other processes to support the constraint. This may involve adjusting workflows, reallocating resources, or enhancing communication among teams to ensure that the constraint is prioritized.
Elevate the Constraint: If the constraint still exists after the first three steps, consider making significant changes, such as investing in new technology, hiring additional staff, or reshaping business strategies.
Repeat the Process: Once a constraint is resolved, the focus should shift to identifying the next constraint, creating a continuous improvement cycle.
Application of TOC in the Solar Business
1. Identifying Constraints
In the solar industry, common constraints may include:
Design and Engineering Bottlenecks: Inefficient design processes can delay project timelines. Utilizing advanced solar design software can enhance accuracy and speed, addressing this constraint effectively.
Sales Process Inefficiencies: Complex eligibility criteria for solar leads can slow down the sales cycle. Streamlining the lead qualification process and enhancing customer education can help overcome this barrier.
Supply Chain Limitations: Delays in obtaining solar panels and components can hinder project completion. Establishing strong relationships with multiple suppliers can mitigate this risk.
2. Exploiting and Subordinating
Once constraints are identified, businesses can exploit them by implementing targeted solutions. For instance, if the constraint is in the sales process, investing in customer relationship management (CRM) tools can help manage leads more effectively. All other business processes should then be aligned to support this enhanced sales strategy.
3. Elevating Constraints
If a persistent constraint affects growth, businesses may need to elevate it through significant investments or strategic partnerships. For example, collaborating with financial institutions to offer better financing options can attract more customers, addressing financial constraints that may limit sales.
4.Continuous Improvement
The solar industry is rapidly evolving, with new technologies and market dynamics constantly emerging. By applying the TOC framework, solar businesses can foster a culture of continuous improvement, ensuring they remain competitive and responsive to changes in the market.
Free Training Opportunity
To further support your growth in the solar business, we are excited to offer free training on the Theory of Constraints and its application in the solar industry. This training will equip you with practical tools and insights to identify and overcome constraints effectively.
If you’re interested in participating or want to learn more, feel free to reach out to us at [email protected]
In conclusion -
The Theory of Constraints offers a structured approach for solar businesses to identify and address their most critical limiting factors.
By following the TOC methodology, companies can enhance their operational efficiency, improve customer satisfaction, and drive sustainable growth in the expanding solar market. This version includes a gentle promotion of your free training and a clear call-to-action for readers to contact you via email.
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marcubus-dev-blog · 2 years ago
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Theory of Constraints
Hey folks, here's a more chonky theory to wrap your brains around: Theory of Constraints (TOC)
From the robot:
The Theory of Constraints (ToC) is a management philosophy that emphasizes identifying and addressing the most critical limiting factor in a system to improve overall performance. The idea is to focus on improving the constraint, rather than trying to optimize the entire system. ToC has five key steps, including identifying the constraint, exploiting its capacity, subordinating everything else to support the constraint, elevating the constraint with investments, and continuously evaluating and improving the system. This approach can be applied to a variety of industries and processes, from manufacturing to healthcare and project management. By prioritizing the constraint and improving it, organizations can achieve significant improvements in efficiency, quality, and profitability. In essence, ToC is about strategic thinking and prioritization. It encourages individuals and organizations to identify the most important things to focus on and make meaningful improvements in those areas.
This is really just common sense, you focus on the constraints for a system to make things more efficient - however there is a big trap here with local optimisation. If you don't take a holistic view of the system to truly find the real constraints (i.e optimise the wrong part of the system) you will exacerbate the bottleneck created by constraint and make things worse!
It's temptingly easy to fall into this trap as you optimise within a team without considering the downstream impact on another person or team.
Consider a scenario where a team has a bottleneck on DevOps work (not possible btw) - if you were to do 20% more work - and choose not deal with the DevOps bottleneck, then you've made the bottleneck worse . You've optimised something that wasn't a constraint and made the problem worse - it likely takes longer for your work to get to customers in this scenario and you've potentially slowed down other teams.
Sometimes to go faster you need to help someone else.
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magonline · 4 years ago
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TOC|Theory of Constraints in Project Management - Seven Steps Global
TOC is a methodology for identifying the constraint, most important limiting factor that stands in the way of achieving a goal and then systematically improving that constraint until it is no longer the limiting factor
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vectorconsultingg · 2 years ago
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Rooted in project management, the theory of constraints has since broadened its applicational scope to a plethora of domains. This rapid rise in its utility has since led to a surge in demand for TOC consultancy. Moreover, the high level of efficiency associated with such services is causing a growing number of enterprises to incorporate this facility into their operational activities.
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vectorconsultinggroup · 2 years ago
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A Beginners Guide To The Theory Of Constraints In Construction Projects
Every working setting has limitations. However, sometimes we are not conscious of the constraints or put more pressure on ourselves than necessary.
The theory of constraints (TOC) is an issue approach used in construction project management to assist you in finding one of the most significant bottlenecks or limiting factors impeding your project's aims and targets. You may utilize the idea of limitations to determine the most significant impediment to your launches. Then, utilizing the five focusing processes, you may "break" that limitation so that it no longer affects your product launches unfavourably.
Theory of constraints in a project It is essential to adapt to new technologies and concepts in the current construction environment. The endgame is continuous progress. Essentially, TOC will assist in regulating the limiting variables and continuously pursuing innovative approaches to overcome delay and cost overruns where the proper system of work is not followed.
The working environment in construction entails collaboration between several parties. Project management becomes challenging when working with multiple parties due to their needs and limitations. These can turn into confrontations and disputes, which have both direct and indirect financial repercussions for clients and contractors.
Project management is everywhere—having its moment. Companies have noticed that the field of project management provides established procedures and instruments to help them complete their tasks more successfully and efficiently.
The theory of constraint in construction projects is divided into five significant steps:
Determine the constraint- You must first locate the weakest link in the chain until you can fix it.
Utilize the limitation- Make immediate improvements using current resources.
Everything else must be subordinated to the restriction- Ensure that all other efforts in the process are focused on resolving the limitation.
Increase the constraint- If the limitation persists, consider what more you can do to solve it, such as adding resources.
Avoid inertia by repeating the procedure- This TOC process is a loop in the sense that it begins but does not end-one must be diligent in resolving the limitation, wherever it may appear.
The objective of constraint theory in construction projects:
In order to successfully combat delay, cost overrun, and subpar work, the limitations must be reduced.
To research the causes of these kinds of restrictions and discover strategies for reducing and finally eliminating them.
To emphasize the significance of pinpointing certain restrictions in the contemporary building sector and their repercussions.
To raise the standard.
Advantages of the Theory of Constraints in Construction Project
TOC primarily aims to optimize productivity by streamlining management and industrial systems. But that's not all; an effective TOC implementation in a construction project will provide the following advantages:
Operating expenditure reduction
Profit and return on investment have increased.
Enhanced capacity Enhanced throughput rate
When should the theory of constraints be used in construction management?
You may use the principle of constraints in construction projects to:
Enhance ongoing procedures that have a significant business effect
React to a bad product launch or a missing corporate aim.
Allow a group to improve by simply using what they already have (and without additional investment or team members)
Identify and resolve possible issues with critical projects.
Enhance the project risk management process.
Likewise, the construction project management theory of constraints may be used to address restrictions. This technique depicts the "three constraints" issue-the necessity to balance scope, money, and time to create a high-quality product.
Construction projects are challenging and time-consuming tasks. To produce the desired outcomes in terms of functional satisfaction, aesthetic satisfaction, on-time and within-budget delivery, worth the money spent, and safety and health, construction projects require effective management.
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teamwavees-blog · 4 years ago
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Transition to Critical Chain Multi-Project Management
Transition to Critical Chain Multi-Project Management for Long Duration Projects
What to Do Until Buffer Management Kicks In
Abstract
The transportation from traditional project regulation to Critical Chain Project Management (CCPM) in a multi-project surroundings presents a formidable problem with projects of long duration. A simple chamber is presented for that connection and provides the metrics necessary to directly encourage and cement the behaviors needed for Critical Chain Multi-Project Management. This paper assumes the readers is familiar with CCPM.
The Multi-Project Implementation
This paper focuses on the last of time from estimation the first Critical Chain (CC) project, the cut-over project, to endings of the finish traditionally managed project. This can be a long period of time before the enterprises has fully implemented Critical Chain Project Management. Theory of Constraints (TOC) practitioners involved in Critical Chain Mulit-Project Management (CCMPM), often discovery this transit to be the toughest fragment of an implementation.
The Implementation Conflict
In lineup to successfully journey Critical Chain Multi-Project Management, we must obtain food for it. Everyone expects that CCPM will be another flavor-of-the-month tenacity that fades away if properly ignored. To obtain that support, we must start with one project to prove that CCPM works. And to be successful, we must change the whole project formatting to CCMPM. Because Critical Chain requires Buffer Management and traditional projects can't use it, we must requirement CC on all projects at the same time.
Implement One Critical Chain Project First
Even though we know it works, we must prove that it claim "here!" A common resolution is to utility a pilot (trial) project as a medium to demonstrate CCPM and get the bacteria out of the existing system. One project at a time is much simpler to handle than many. The pilot project should not be say of as a trial. It's really the first Critical Chain (CC) project, the cut-over project. Every new project chasing it testament also be a CC project.
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Typically, for a transition, the cut-over project is planned while the work-in-process is ignored. But in a multi-project ordinances environment, that size that some or many shared furniture evidence be fought over by the CC and non-CC projects. The clothes are usually expected to multitask and have many projects in custom at one time. Multitasking is a huge means in projects creature slow. How can scarce resources be assigned where they are displacement needed, if the statuses of these projects are measured differently?
The common approach to adding a new project to the tunnel of projects is to commit to a furnishings and put it in the system. With little understanding of the numbering of vocation in the formatting and the system's capacity, vocation is pushed in with the expectation that it testament get done.
With a intrigue full of work-in-process projects, it testament revenue a long time to complete this first CC project. Continued multitasking between projects evidence assure it. The actuality is that people are asked to not multitask on the CC project while they are multitasking on the others. The non-CC projects testament postponement the faster, CC project. It will be difficult to determine and size the Critical Chain project's success compared to the others. Some group will believe it gets special pointer and evidence move to slices its resources.
The more difficult problem is the failure of Critical Chain partition management. Lacking CC project buffers, traditional projects can't utility partition management. Priorities among the projects may be determined by perceived example as expressed by the project managers. Implementing the first Critical Chain project has not always been easy.
Big Bang Approach
The whole project formatting tins be changed in one massive replan of all projects. It may makes a enclosure of sense since we know we won't be done until all the projects are CC projects. All projects are measured the same resources and they quickly get up to speed. Or do they? How does the whole design get changed? All of the projects must be re-planned and changed to CCPM by shortening the duration of many, many encumbrance of many projects.
In a small system, the big bang approach is a actuality option. In a large system, it is definitely scads more challenging and probably not possible. To change all the projects to be Critical Chain projects requires re-planning while they are in progress. The same people that are surgery the projects are stipulation to do the replan. It's likely to be chaotic and it won't happen overnight. Re-planning evidence stay the implementation, deferment current projects and may jeopardize an initial (or any) success. Just the opposite of what was intended.
Delay Until the System is Ready
Do not insert the cut-over project until the means can focus on it. Prioritize the projects. Since any prioritization is effective in increasing the expedition of a system, utility the commitment dates as priority to boldness determine what to hearts consideration on. Propose a drum warehouse and synopsis the sovereignty of the cut-over project to be synchronized with this drum. That sets up the next issue. How do appliances (and management) know what to firm on next? We restriction partition management. We still can't have it.
Unfortunately, it is not possible to start with a clean slate, no projects. We must deal with the custom as it is in the system. It visage like we have to expectation to use buffer statute until after all projects in the intrigue are CC projects. We still have an persistence conflict.
A New Approach
Create a dresser of comparing a Critical Chain project's status with a traditionally managed project's status, while advertising better behaviors.
(1) Prioritizing the behavior allows us to recognize that some undertaking may be low enough hunger to be delayed or canceled. Use buffer mode on the first CC project, and create a temperament of virtual buffer for the other projects. Then use virtual partition regulation on all of those projects without re-planning them.
(2) Collect layer for all projects as "How long until you are done with your task?" If percent complete is provided, accept it and restate it back as, "Does that mean you have 5 era of business remaining and you expect to be finished by next Wednesday?" Also ask, "Is there anything else you are system on?" Be consistent and persistent in asking for food remaining. Don't argue closely it. Accept whatever they give you. Reality testament fair up eventually.
(3) For each main chain of pressure (the Critical Path) and each feeding chain, compare the planned (base) conclusion with the turning expected finish. The classification (days ahead or behind) connection to the summary indicates how it is doing. This same reckoning is done for Critical Chain's partition regulation and is called buffer raid (in days).
(4) This information is used to manage the existing projects with their tides due dates, without adding buffers to them, to create an unbuffered regulation report. The tendency is to prepare the existing projects by inserting a milestone at the vitality of the project, and between each feeding chain and the critical path. The milestone, entity the last feats in the chain, indicates the planned conclusion of the chain. As standing is added, the expected conclusion of the tendency task pushes all inheritor to the future or pulls them earlier. Do NOT recalculate the critical path unless it type a significant unlikeness to the flow.
(5) Compare the tendency expected endings designation with the share milestones (planned) endings date. This becomes an unbuffered aggression and tins be reported and/or plotted for each chain of the project. Unbuffered Management tins be used for all the projects, including the Critical Chain project. This provides a media to compare the vigor of all of the projects and a gives a basis for assigning scarce resources. The Critical Chain project would also have a Critical Chain Fever Chart and Buffer Report.
Unbuffered Management
Create a drawing with % Complete on the X-axis and Days Ahead/Behind on the regular axis. The outline testament have timber like a temperatures chart. Place a zeros queue horizontally (exactly on schedule), and system age seat above and years ahead below the line. Like the temperatures chart, it is a visual sign that the projects are achievement or losing ground. The scheme indicates how each the project is doing and its likelihood of perfecting on time. It has a virtual buffer. The partition is really not there, but its appropriateness is.
Traditionally managed projects typically have significant safety in each feats in a futile apprehension to get every feats completed on time. Most project director either believe they have little or no shutter in their projects or they believe that their shutter is a minimal stipulation to keeping their schedule. They have substantial experience to prove it. They know that time and Murphy are very fickle. By using unbuffered projects, they bringing their original task estimates and project due date. By adjustment behaviors toward Critical Chain requirements, task protections is much less needed and evidence accumulate at the vitality of the project. All projects are likely to go faster than they were. Project Managers see real results on their existing projects and seeming like heroes.
Conclusion
Critical Chain Buffer Management provides core for demeanor signal to significantly improve project performance. Since it is extremely difficult to shipment from a traditional project management schemes to CCMPM, a transportation methodology supplying stores similar to Critical Chain Buffer Management is a significant bridge for that gap. With prioritization and unbuffered management, consideration is focused where needed. Then good behaviors and a Road Runner ethic are developed, with the mettle on completing as soon as possible, rather than on nomination the due dates. All of the employment incomes odds of unbuffered command and the whole plot flows faster during the transition.
This methodology is only for the transit to Critical Chain Multi-Project Management. It is not to eliminate buffers. It puts all of the projects on a tiers playing field until the deportation is complete.
For more about https://teamwave.com/features/project-management
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udemy-gift-coupon-blog · 6 years ago
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Creative Thinking ##UdemyFreeCourses ##udemykupon #Creative #Thinking Creative Thinking GET PROFESSIONAL CREATIVE THINKING CERTIFIED WITH THIS COURSE! ------------------------------------------------ NOTE: This course is not a "belt" training program, but a supplementary program to increase your Lean Six Sigma value to your company. Types of Belts: White Belt > Yellow Belt > Green Belt > Black Belt > Master Black Belt ------------------------------------------------ WHAT THIS COURSE CONTAINS This course consists of six (6) videos that are part of 4 modules namely: Introduction, Mind Tuning, Techniques, and Conclusion. Each module comes with excellent audio-visual demonstrations with high quality professional narrations. All the concepts are explained with easy to understand practical examples. Additionally, there are 5 templates, exercises, and course materials provided to you to make you quickly gain the expertise and confidence on the concepts. You can download all these course materials, templates and the exercises. ------------------------------------------------ LEARN MORE ABOUT LEAN SIX SIGMA + CREATIVE THINKING Lean Six Sigma is a method that relies on a collaborative team effort to improve performance by systematically removing waste and reducing variation. It combines lean manufacturing/lean enterprise and Six Sigma to eliminate the eight kinds of waste, known as ‘muda’: ·         Defects ·         Over-Production ·         Waiting ·         Non-Utilized Talent ·         Transportation ·         Inventory ·         Motion ·         Extra-Processing   Lean Six Sigma not only reduces process defects and waste, but also provides a framework for overall organizational culture change. Lean Six Sigma is a synergized managerial concept of Lean and Six Sigma. Lean traditionally focuses on the elimination of the eight kinds of waste/muda classified as defects, over-production, waiting, non-utilized talent, transportation, inventory, motion and extra-processing. Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in (manufacturing and business) processes. Synergistically, Lean aims to achieve continuous flow by tightening the linkages between process steps while Six Sigma focuses on reducing process variation (in all its forms) for the process steps thereby enabling a tightening of those linkages. In short, Lean exposes sources of process variation and Six Sigma aims to reduce that variation enabling a virtuous cycle of iterative improvements towards the goal of continuous flow. Lean Six Sigma uses the DMAIC phases similar to that of Six Sigma. Lean Six Sigma projects comprise aspects of Lean's waste elimination and the Six Sigma focus on reducing defects, based on critical to quality characteristics. The DMAIC toolkit of Lean Six Sigma comprises all the Lean and Six Sigma tools. The training for Lean Six Sigma is provided through the belt based training system similar to that of Six Sigma. The belt personnel are designated as white belts, yellow belts, green belts, black belts and master black belts, similar to judo.   Lean Six Sigma Organization Structure For each of these belt levels skill sets are available that describe which of the overall Lean Six Sigma tools are expected to be part at a certain Belt level. These skill sets provide a detailed description of the learning elements that a participant will have acquired after completing a training program. The level upon which these learning elements may be applied is also described. The skill sets reflect elements from Six Sigma, Lean and other process improvement methods like the theory of constraints (TOC) total productive maintenance (TPM).   How Lean and Six Sigma Come Together Lean six sigma organizes lean and six sigma to cut production costs, improve quality, speed up, stay competitive, and save money. From six sigma they gain the reduced variation on parts. Also, lean focuses on saving money for the company by focusing on the types of waste and how to reduce the waste. The two coming into lean six sigma to better each other creating a well-balanced and organized solution to save money and produce better parts consistently. ------------------------------------------------ BENEFITS OF LEAN SIX SIGMA FOR A BUSINESS Lean Six Sigma Increases Profit By: ·         Lean Six Sigma increases your organization’s profit by streamlining processes. ·         Streamlined processes result in products or services that are completed faster and more efficiently at no cost to quality. ·         Simply put, Lean Six Sigma increases revenue by enabling your organization to do more with less – Sell, manufacture and provide more products or services using less resources.   Lean Six Sigma Decreases Your Organization’s Costs By: ·         Removing “Waste” from a process. Waste is any activity within a process that isn’t required to manufacture a product or provide a service that is up to specification. ·         Solving problems caused by a process. 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TOC is a methodology for identifying the constraint, most important limiting factor that stands in the way of achieving a goal and then systematically improving that constraint until it is no longer the limiting factor.
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pandarashmi-blog · 6 years ago
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Read article on Theory Of Constraints and their Thinking Process. Also learn more on toc solution, project management and its process at Vector Consulting Group.
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theamitpatel123-blog · 6 years ago
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Read article on Theory Of Constraints and their Thinking Process. Also learn more on toc solution, project management and its process at Vector Consulting Group.
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digitalmohini-blog · 6 years ago
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postwell · 2 years ago
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Popular project management approaches explained
Project management strategies offer a range of methods, processes and tools to oversee and complete project tasks. They guarantee consistency, reduce complex processes, cut costs and minimize the risk. There are several proven methods of managing projects that are well-established.
Here are some of the most well-known types of management techniques for projects:
A phased approach to managing projects
Lean project management
The management of projects is incremental and iterative.
Management of Critical Chain Projects
Planning based on products
Process-based management
Production management of projects
1. The phased approach to project management
A staged approach is the most suitable option for large and complex projects that must be carried out in phases in order to meet external project restrictions. The method is that each phase is a journey through all five processes from beginning to end. When the final phase, the entire work is evaluated and transferred to the next stage in a sequence.
The approach that is phased is commonly called a waterfall model or a traditional one . It is an ideal option for smaller, clear-cut projects. Risks and uncertainties are abound. due to the size and complexity that the undertaking.
2. Lean project management
Lean management of projects is a method driven by data focused upon improving processes while eliminating waste by efficient utilization of resources (cost time, money and resources). The project management method includes thorough planning, detailed documentation, ongoing analysis, and constant process improvements.
A project is considered be lean if it adheres to the fundamental guidelines of lean. Deming Cycle (PDCA), Lean Six Sigma (DMEDI) and Value stream Mapping (VSM) and Kanban methodology are a few of the most well-known lean project management techniques.
The majority of businesses prefer value stream mapping since it provides them with a precise and precise visualization of all phases of the development. This PMP Training guide will be of help.
Value Stream Mapping (VSM) is an effective, two-dimensional tool that documents and manages the lean process from a larger-picture perspective. It is not just a tool to help businesses comprehend the total lead time but also displays each individual lead duration and cycle time and gives clarity on the sources of waste that hinder the flow of projects.
Through observing and knowing the visual process of a project companies can cut out the costs of lean processes, cut down on administrative time, and ensure that they reach project deadlines and targets.
3. The management of projects is incremental and iterative.
The incremental and iterative method is a project management that is driven by change technique that was created to manage change and decrease the inherent risks associated with projects. This method of managing projects is the ideal option for large-scale projects that involve multiple companies with complex requirements and a significant level of risk. It is typically used to manage software development.
An array of different methods for managing projects like agile project management Extreme Project Management, much more have developed out of the iterative and incremental model.
4. The critical chain management of projects
Critical chain management (CCPM) is employed to plan and manage projects, while still allowing for constraints on resources (personnel equipment, people and equipment). It is founded upon the theory of constraints (TOC) that states that chains are only as strong as the weakest link.
Within CCPM, project delays can be avoided by introducing buffers to intrinsic resource as well as dependencies on the project task.
5. PRINCE2 is a product-based approach to planning
Product-based planning is an organized method of managing projects that concentrates on the outputs of projects and their delivered products (including intermediary products) and is different from traditional approaches that concentrate on activities and projects.
Because there are less things to be delivered than tasks it's fairly simple to define and organize them in a systematic way. PRINCE2 method can be the best and most popular application of this method.
6. Process-based project management
Process-based project management enables project managers to develop and manage projects that are aligned with the mission, vision, and fundamental values of an organization. Every project's objectives and activities are planned in as to help in achieving the main objectives of the organization.
Process-based project management consists of six phases:
Definiting the process
Identifying process indicators
Performance measurement
Readjusting objectives
Planned improvements
Implementing improvements
OPM3 (Organizational Project Management Mature Model) and CMMI (Capability Maturity Model Integration) are among the most well-known process-based maturity models for project management.
7. Project management of production
The concept of project production management (PPM) is an approach to strategic planning that uses concepts and concepts of operations science to comprehend and optimize the process of delivering projects.
What distinguishes PPM distinctive is that it makes use of actual data from the project to anticipate limits and figure out what is achievable. It assists in the design of suitable control mechanisms that can buffer fluctuations. If you’re in Atlanta, you must check out the guide of PMP Training in New York City, that gives you the best resources to make yourself job-ready. 
What are the primary causes of a project's failure?
Every viable idea is susceptible to fail because of one of the five causes as listed below:
Deficiency in resources insufficient resourcesinsufficient ressources to finish the project.
Insufficient time framehaving difficulties finishing the project in time.
Inconsistent goals Thelack of a detailed document can result in unsuitable outcomes.
Poorly managed stakeholder expectationsproject scope adjustments which are not embraced by all stakeholders, resulting in varying opinions of quality, timing or budget.
A lack of risk management Risk management is not adequate.failing to identify the risks that come with every project could cause the project to fail.
Nobody starts a project in the hopes that it will be a failure however, the majority of initiatives fail when project managers ignore the necessity of streamlining their processes for managing their projects.
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sanjeevhimachali123-blog · 7 years ago
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Theory of Constraints TOC Talent Management Part 2
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Case - I
When the case of Madhumita Sharma came to me in the last quarter of 2015, both she and her boss were frustrated with each other and the scenario was not only affecting the performance of Madhumita but that of the entire team. Madhumita was working with an automobile company as a Director – Client Management for just over a year. In the past, she had given a solid stellar performance in the company, such that in the previous 10 years of her association with the company, she already had THREE major promotions.
Earlier in 2015, Madhumita went on a maternity leave with her first child. The organization decided not to get a temporary replacement for her. Instead, her second-in-command was tasked to oversee her responsibility and report to the boss of Madhumita. All decisions were coming from Madumita’s boss. Things worked out fine until Madhumita came back.
For a year, before going on maternity leave, Madhumita enjoyed her freedom to make decisions and take the lead in all aspects of client management. But when she came back her boss decided that the dynamics when Madhumita was not around worked out so well that it should stay that way. She was asked to seek her boss’s decision for everything before she made any move. That didn’t sit well with Madhumita and for the first time she felt totally not in control and that new set-up had affected her performance leading to frustration. She did not welcome the idea of getting her boss’s approval for every step of the new business she was brewing.
Analysis & Recommendation - In this case, for an outsider, the boss might appear like a probable bottleneck on way of otherwise outstanding performer Madhumita. However, that wasn’t the case. We did a 360-degree review for Madhumita and her boss conducted a psychometric assessment using Extended DISC and mapped workflow processes of Madhumita before taking maternity leave and after her return. First of all, the personality of Madhumita and her boss were in conflict with each other.
Madhumita came across as a kind of leader who was driven to keep seeking bigger and better, and the act of exploration was central to her enjoyment of life. Her goal was to take in more and more. She had high energy levels, and along with that came a high need for excitement. Because of which, she tended to be a risk taker, and she didn’t mind being under pressure. In fact, she would view pressure as a positive thing.  She didn’t like feeling constrained. In fact, she had a high need for freedom. She would tend to see a big, wide world of opportunity.  
On the other hand, her boss came across as one among leaders who rely on a high degree of confidence. Over a period, he had trained himself to believe in his own abilities, he was slow to recognize the errors of his own ways. He lacked patience for any ideas that contradicted him. His team used to view him as arrogant but he would brush that aside, assuming that others didn’t understand the “real” state of affairs. He considered himself as “uncompromising” realists.  He would rarely adjust his perceptions to make the world seem nicer. That’s why he was very clear in his mind that when Madhumita initially joined his team, he wanted things in a certain way and now since the work process changed in her absence, she must adjust to the new process and get going.  
Neither Madhumita wanted to leave her job nor her boss wanted to lose a high-potential and high-performing employee. In her role, Madhumita was primarily responsible for generating new business and growing existing business across markets, customer base, and product sets. Finally, it was decided that Madhumita would involve her boss in all strategic decisions related to all new high-revenue clients. They also agreed to a monthly meeting to review new prospects and business challenges in new markets.
Case – II
The CEO of a packaging company contacted me in June 2015 to help him prepare a high-performing employee, the Operations Director, for scaling up the production capacity by more than double of the current capacity.
Ganesh Chandrasekaran was the Operations Director with this packaging company that specializes in the use of water soluble materials. GC had recently joined this company after its former Operations Director had quit after realizing that he couldn’t fix the never ending problems of the operations department. GC was having more than 20 years of experience. The management had high hopes for him. He was seen as someone who could turn around the operations department to meet its expected performance especially since it was the heart of the company. Failure in the operations department means failure to meet client requirements and eventual loss of customers.
Since GC first stepped into the company’s facility, he had worked long hours making sure the facility was ready for production every day, people needs were met and ample planning and preparation was done for future production. Thus, so far he had done an exemplary job. But the management knew that GC was at his peak. Any more work would make him crash and may affect his performance. In early June, the company had received confirmation that two of their customers had increased their order by 10 and 20 million respectively with 60 million projected sales for following 5-7 years.
Analysis & Recommendation – For this project, I asked Ganesh to take a psychometric assessment, spoke to his team members, and his family, and observed him at work for one week. He came across as a leader who had natural skepticism that made him less attentive to team dynamics. He was lacking an open or trusting attitude towards other people, and hence he needed to be in the workplace for longer hours. He had a strong drive to control the world around him, to have some influence on the variables that affect him.  He merely attached a lot of “should” to his outlook on life. People should work a certain way, projects should be managed a certain way, and business should be run a certain way.  Due to this approach towards work and people, he was finding it next to impossible to entrust and delegate work to others. He had very little patience for other people who he would consider as incompetent. Ina situation where he had to work with according to him less able people, he would work around them. He gave them minimal responsibility and did not include them on updates, rather than making an effort to fully engage them and discover their passions and talents.
He had set extremely high standards for himself and for people around him. He wouldn’t be much impressed when things went well, however, when things went wrong, his disapproval was loud and clear.  His team members found it intimidating and demoralizing and it caused them to focus on avoiding mistakes than on really pushing themselves to stretch and grow.
About Us
As a Principal Consultant, Sanjeev is credited with pioneering best practice HR systems and processes for clients. As a Talent Strategist, Sanjeev partners with organizations hiring managers to find, select, and hire top talent which provides a foundation for organization's future growth
Contact Us
No: 22, C2, 6th Floor
Hermes Heritage – II
Shastri Nagar, Yerwada
Pune – 411006
Phone no: 9975689991
Email Id:  [email protected]
Website:  
http://sanjeevhimachali.org
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theimpals-blog · 7 years ago
Text
Theory of Constraints TOC Talent Management Part 1
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The theory of constraints (TOC) is an overall management philosophy introduced by Eliyahu M. Goldratt in his book, The Goal, published in 1984. According to him, , constraints are usually external in nature;   Physical [Equipment, Material Shortage, Lack of People, Lack of Space], Policy [Government Regulations, Company Procedures, Union Contracts], Paradigm [Organizational beliefs and culture], and Market [when production capacity increases sales, etc.],  that can be fixed  using FIVE focusing steps  – Identify the constraint, Exploit the constraint, Subordinate and synchronize to the constraint, Evaluate the performance of the constraint and Repeat the process. Consequently, the theory of constraints can be used to improve the efficiency of organizational operations, project management, supply-chain and logistics, high-speed automated production lines, marketing and sales, and finance and accounting. However, even best of the processes cannot work if employees are not skilled or competent or the right fit for the job or are not motivated. Hence, the theory of constraint works effectively well in Talent Management too, such as performance management, recruitment, employee retention, etc. In his book, “What got you here won’t take you there”, Marshall Goldsmith has explained how human habits, behaviors, and beliefs can be constraints and can limit their performance and growth. He highlighted 21 behavioral constraints which can be eliminated through coaching using FIVE focusing steps as explained by Goldratt. In this article, I will be explaining how I am using TOC in Talent Management and helping leaders, managers and high potential employees in eliminating constraints that are limiting their individual and team performance.      
Since 2007, I have been helping organizations, initially as a part of internal HR Team and later as a Management Consultant, in improving performances of their employees and teams, more often, the performance of sales team. Earlier, when I was working as a part of HR team in an organization,  I used to get recommendations from reporting managers to terminate the employment of random employees based on poor performances. An investigation into the case would often suggest that the cause of poor performance was not a real constraint. As a management consultant, it is my responsibility to find a right performance constraint, whether in an individual, or a team and sometimes in an organization and fix it, just like an automobile mechanic.    
According to my experience, potential performance constraints are as follows:
1.    Poorly defined role – competency match [Job Description]
2.    Unclear objectives and performance parameters
3.    Inadequate communication within the organization
4.    Poorly designed performance management system [KRA’s, Definition of Good Performance, Rewards, etc]
5.    Lack of resources and authority to get things done
6.    Poor and conflicting working conditions
7.    Inadequate performance of subordinates or managers
In addition to  above mentioned constraints, career aspirations of employees, their motives and motivations, poorly defined priorities and family life of employees also work as performance constraints [for e.g. An employee going through a divorce and a fight over the custody of his children won’t be able to give 100% to his work].  As a Management Consultant, someone who is helping others to improve their performance, it becomes paramount for me to identify the performance bottleneck and eliminate it from the way, and restore the flow
Khoury’s Performance Equation has summarized it beautifully –
Performance = [(D + A)/O]*Motivation
Where,
D = Degree of Quality and Direction [Knowing what to do, Objectives, Goal, Clear definition of Outstanding and Unacceptable Performance]
A = Ability of an individual [Knowledge, Skills, Competencies, and Right fitment into the role]
O = Obstacles/Opportunities [Lack of resources, Poor Processes, Lack of Authority, etc.]
M = Motivation [Career Path, Future, Family, etc.]
Which means a highly skilled and motivated person won’t be able to perform optimally if he doesn’t have properly defined parameters. Similarly, an employee working in an environment that drives performance and has right system and processes in place won’t be able to perform if he is not a right fit for the role or if he is not motivated enough.  
For me, cases of “D” and “O” come under Consulting Assignments and “A” and “M” come under Coaching Assignments.
Tools to Identify and recognize bottlenecks
To find the bottleneck, whether at organizational level or at the team or an individual level, I use several tools, such as – Problem Specification, Present State / Desired State Technique, Process Mapping, Backward Process Mapping, Scenario Thinking, Fishbone Diagram, Systems Analysis, Psychometric Assessments and 360-degree feedback.  Let me explain these techniques in brief.
Problem Specification – It helps in collecting specifics and appropriate data for defining a problem statement that clearly indicates the link between an undesirable “as is” situation and the desired “should be” situation.
Present State/Desired State Technique – This technique helps us identify where we are and where we want to go so that an appropriate path can be found to reach the desired objective. It also helps us to know whether the solution goals (desired state) are consistent with our needs (present state).
Fishbone Diagram – An Ishikawa Diagram, or the fishbone diagram, because of its unique shape, is a way to visually organize and examine all factors that may influence a given situation by identifying all possible causes that produce an effect.
Process Mapping – This identifies and maps all cross-functional processes, organizations metrics, and estimated processing time. It ensures a systematic understanding of the “as is” situation and improvement process.
Backward Process Mapping – BPM is a method of solving a problem by assuming and imagining that your problem is solved and then working backward. While conventional thinking urges us to think forward, one step at a time from a beginning point, the working backward method encourages us to move from an imaginary ideal solution and then think backward to the beginning point.
Scenario Thinking – Action learning teams are frequently used to explore the roots of an issue or problem confronting an organization. One of the tools often deployed in such situations, and which has applicability to case-based learning, is scenario thinking and planning. Unlike traditional forecasting methods, the attempt to predict trends and exert management control over uncertainty, scenario thinking and planning embraces uncertainty and engages in processes of prospective thinking about alternative possibilities. The purpose of scenarios is not to produce predictions or to enhance planning, but to change the mindset of people who develop and use them.
Systems Thinking – It is a framework to observe interrelationships and study patterns of change rather than static “snapshots”. Today, systems thinking is needed more than ever because we are becoming overwhelmed by complexity. Perhaps, for the first time in history, humankind has the capacity to create far more information than anyone can absorb, to foster far greater interdependency than anyone can manage, and to accelerate change faster than anyone’s ability to keep pace. Certainly, the scale of complexity is without precedent. Organizations are breaking down despite individual brilliance and innovative products because they are unable to pull their diverse functions and talents into a productive whole. The essence of Systems Thinking lies in a shift of mind – seeing interrelationships rather than linear cause-effect chains and seeing processes of change rather than snapshots.
About Us
As a Principal Consultant, Sanjeev is credited with pioneering best practice HR systems and processes for clients. As a Talent Strategist, Sanjeev partners with organizations hiring managers to find, select, and hire top talent which provides a foundation for organization's future growth
Contact Us
No: 22, C2, 6th Floor
Hermes Heritage – II
Shastri Nagar, Yerwada
Pune – 411006
Phone no: 9975689991
Email Id:  [email protected]
Website: http://sanjeevhimachali.org
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hassaneliwa · 7 years ago
Link
via Project Management Blog
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