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Introducing Theory of Constraints in an MPA course. Bruce J. Neubauer Richard C. Gay Albany State University. What is Theory of Constraints?. TOC is a management philosophy based on systems thinking introduced by Dr. Eliyahu M. Goldratt. The constraint is what limits throughput or outcome.
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Introducing Theory of Constraints in an MPA course Bruce J. Neubauer Richard C. Gay Albany State University
What is Theory of Constraints? • TOC is a management philosophy based on systems thinking introduced by Dr. Eliyahu M. Goldratt. • The constraint is what limits throughput or outcome. • Challenges some of the core assumptions of scientific management.
What is a constraint? • A constraint is what limits throughput of either an industrial or “business” process. Inspection Shipping Assembly Painting
Identify the constraint . . . A constraint is what limits throughput of either an industrial or “business” process. Activity 7 Activity 8
A logical constraint is what prevents a program from being successful. • Critical success factors and necessary conditions are potential “show stoppers.” TOC Intermediate Objectives map represented using Transformation LogicTree software
Some additional basic terms . . . • Goal • Critical Success Factors (CSR) • Necessary Conditions (NC) • Intermediate Objective (IO) • Undesirable Effect (UDE) • Causal relationship • Feedback loop • Root Cause (RD)
Some basic TOC diagrams . . . • Intermediate Objectives (IO) map • Current Reality Tree (CRT) • Evaporating Cloud (ED) (Conflict resolution diagram) • Future Reality Tree (FRT)
Intermediate Objectives (IO) map . . . • Goal(s) • Critical Success Factors • Necessary Conditions for achievement of Critical Success Factors
Current Reality Tree . . . • The problem or lack • The essential reasons for the problem/lack • Undesirable effects • Root causes
Evaporating Clouds . . . • Conflict resolution diagram • Examine assumptions • Identify needed “injections” Source: Clark Ching -- More Chilli Please Website http://www.clarkeching.com
Future Reality Tree . . . • The goal achieved • The CSF’s • The NC’s • Positive feedback loops • Injections
The MPA course . . . • PADM 5823 • Albany State University • Program Development, Management and Evaluation • Spring 2009
The class project . . . • To design a new youth recreation program for Calhoun County, Georgia so as to address multiple needs in the county. • To do so using Theory of Constraints and Transformation LogicTree modeling software.
The software . . . • Transformation LogicTree
Calhoun County . . . • In rural Southwest Georgia • Limited employment opportunities • Limited recreational opportunities • About 49% African American and about 49% White • Growing Hispanic population • Substantial adult rate of illiteracy
Class experiences . . . • Construction of an Intermediate Objectives diagram was not difficult. • Construction of a Current Reality Tree (CRT) was moderately difficult. • Construction of Evaporating Clouds was confusing and difficult. • Construction of Future Reality Tree (FRT) was difficult.
Suggestions based on experiences . . . • The instructor should first read Dettmer’s two books – • The Logical Thinking Process • Strategic Navigation. • Don’t assume that reading books is sufficient. • Arrange to use TLT software with Dr. Mark Van Oyen • If possible, find a “Jonah” as a resource for the instructor and students
More suggestions . . . • Approach this as an experiment. • Don’t make it “high stakes” for students. • Don’t assume that the models build on one another in a simple mechanical way. • Use Evaporating Clouds (if possible) to explore and question assumptions and to identify possible needed injections. • Work for enlightenment -- not mastery.
The End • Questions? • Comments? • Personal experiences?