He is the cofounder and managing partner of Constraints Management
Group (CMG) and a founding partner of the Demand Driven Institute.
This guide shows how to use the performance improvement systems Lean, Six Sigma, and Constraints Management
, which were all originally designed for an industrial context, in hospital and other healthcare settings, in order to correct inefficiencies, avoid mistakes, and reduce waste.
As explained in an earlier issue of Supply, Chain Management Review (see "How Constraints Management Enhances Lean and Six Sigma," January/February 2006), many implementers of lean and/or Six Sigma programs find themselves faced with too many projects that take too much time with too little benefit.
Constraints management (CM) posits that for any for-profit company, the goal is to make more money.
(7) Constraints management, however, posits that there only a very small number of areas (constraints) in a company that limit significantly higher levels of throughput.
Constraints management states that improvement efforts should be focused on the weak links of the organization--the constraints.
CCPM was introduced in 1997 by Eli Goldratt--the creator of constraints management (also known as the Theory of Constraints)--as a new approach to plan and execute projects "in half the time, all the time." CCPM benefits all project stages, from selection through execution and completion, by combining key elements of lean thinking, constraints management, and Six Sigma.
Recently, a few leading companies have used another business improvement approach, namely constraints management, to focus their lean and Six Sigma efforts and amplify their results.
This article will discuss the benefits of the new approach, beginning with a refresher on lean and Six Sigma in an effort to clarify how the application of constraints management techniques can help to jump-start stalled lean and Six Sigma implementations.
The answer is to combine lean/Six Sigma with the systems focus of constraints management.
Constraints management (CM) is based on the Theory of Constraints developed by Eli Goldratt, an Israeli physicist.
Constraints management argues that the greatest improvements come from addressing issues at the weakest links in the chain.