Dushyant Thatte wrote a new post, Theory of Constraints Helps Set Project Priorities 8 years, 6 months ago
In another article published by iSixSigma, I proposed that implementing an integrated approach of Lean Six Sigma and theory of constraints (TOC) can lead to greater success for an organization than the use of an […]
Thanks for highlighting how to apply TOC for process re-engineering. In the organization I work at, we also use certain metrics like Overall Operating Efficiency, Wait Time, Resource Utilization to identify the processes with improvement opportunities. But the problem we face because of only relying on these metrics is we end up neglecting some of the other processes which might offer actual re-engineering opportunities.
We are still trying to figure out whether we can find out any other metric which can help us identifying such re-engineering opportunities. Can Process Sigma be one of these options which we can look at ?
Thanks for highlighting the classic struggle between process level metrics and system level metrics. I agree that just by focusing at process level metrics, you are probably not achieving the real system level benefits. From your notes, I think this is leading to frustration.
I recommend measuring system level metrics (namely Throughput, Inventory and Operational Expenses) to overcome this situation. In my opinion, just adding more process level metrics will increase complexity without achievement of real results.