ZENITH International Journal of Business Economics & Management Research
Year : 2015, Volume : 5, Issue : 10
First page : ( 34) Last page : ( 41)
Online ISSN : 2249-8826.

A review on theory of constraints (TOC) in manufacturing

Dr. Sayankar Vinod N.

Director, Sankalp Business School, S.No. 9/1/1 Ambegaon (BK) Behind Sinhgad Campus Vadgaon (BK), Pune – 411041

Online published on 21 January, 2016.

Abstract

The concept of the Theory of Constraints is that every process has a single constraint and that total process throughput can only be enhanced when the existing constraint is improved. A very important result to this is that spending time optimizing non-constraints will not provide significant benefits. The improvements to the constraint only will further beneficial to the organization to maximize the profit. TOC seeks to provide precise and continued focus on improving the current constraint until it no longer limits throughput at which point the focus moves to the next constraint. TOC as it is commonly called recognizes that organizations exist to achieve a goal. A factor that limits an organization's ability to achieve more of its goal is referred to as a "constraint." Theory of Constraints is based on the principle that the rate of goal achievement by a goal oriented system is limited by at least one constraint. In manufacturing the constraint is frequently referred to as a bottleneck.

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Keywords

Throughput, constraints, continued focus, goal, bottleneck.

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