Why Demand-Driven Manufacturing is Focused on Metrics for Action

Driving Continuous Improvement. In Demand-Driven Manufacturing, there is only one measurement that is important to drive performance:  Throughput. There are two subordinate measurements: Inventory and Operating Expense.  These three measurements cover the gambit of what needs to be measured because they are directly related to customer orders, cash captured inside the organization, and the cash it takes to turn inventory into sales. Demand-driven managers know that having too many metrics

Demand-Driven Technologies Evolved

By John Maher When I first began instituting demand-driven practices in the late 90s, we were into creating pull, eliminating waste, and getting on a path of continuous improvement. Technology at the time was seen as an inhibitor rather than an enabler. Most people active in Constraints Management and Lean Manufacturing were abandoning their technology and going to purely manual solutions. I always believed that technology was important to get

Smooth the rough spots with TOC, then Lean – and fine-tune with Six Sigma

What Grade of Sandpaper Will You Use? Part Four Here we are at the final installment of our four-part, Sandpaper blog series about when to use the tools of Lean Manufacturing, the Theory of Constraints (TOC) and Six Sigma to address constraints, drive flow and promote continuous improvement. With regard to sandpaper, I talked a lot about what level of grit you will need to smooth out your processes—and what

Common Lean Manufacturing Software Project Constraints

                      Leveraging Project “Constraints” and Maximizing Results As a project manager for demand-driven, lean manufacturing software, I have more than a nodding acquaintance with the theory of constraints (TOC). What I find quite remarkable is the ability to apply the theory of constraints to other mediums beyond the manufacturing of goods – even something like project work.  When a client

Using TOC, Lean and Six Sigma to Become More Demand-Driven

What Tools to Use to Get the Most of Your Demand-Driven Changes Last time, we looked at specific companies that I have worked with and how they became more demand-driven using the Theory of Constraints (TOC) as a first step. As you saw from these real-life examples, TOC works well as a pointer to see where you need to change – and what should be the first items on the

When Manufacturing Improvements Have Too High a Price

                    Engineering design fiascos – spending thousands to save pennies This is a true story. The names have been changed to protect the innocent. It’s meant to illustrate how using constraints-based thinking can uncover the hidden price of cost-cutting projects. Several years ago, a friend of mine was working in the quality group at a large automotive company.  We will call