Sign in  |  Register
Advanced search
Publication Cover

CITATION

Srinivasan, Mandyam. Building Lean Supply Chains with the Theory of Constraints. US: McGraw-Hill Professional, 2011.

Building Lean Supply Chains with the Theory of Constraints

Authors: Mandyam Srinivasan

Published:  October 2011

eISBN: 9780071771221 0071771220 | ISBN: 9780071771214
Open eBook
  • Contents
  • Foreword
  • Preface
  • Acknowledgments
  • The Sixteen Lean Supply Chain Principles
  • Chapter 1 The Lean Supply Chain Roadmap
  • Challenges to the Lean Supply Chain
  • The Internet and Commoditization
  • Manufacturing Practices
  • The Bullwhip Effect
  • The Beer Game
  • The Impact of Forecasting and POS Data
  • The Impact of Lead Times
  • Lessons from the Beer Game
  • Structuring the Lean Supply Chain
  • The Lean Supply Chain Roadmap
  • Step 1: Develop Systems Thinking Skills
  • Step 2: Focus on Throughput
  • Step 3: Design Products and Services that Deliver Customer Needs
  • Step 4: Develop a Competitive Operations Strategy
  • Step 5: Form Strategic Alliances with Supply Chain Partners
  • Step 6: Streamline the Value Stream
  • Step 7: Create Flow Along the Supply Chain
  • Implementing the Lean Supply Chain Roadmap
  • Conclusions
  • References
  • Chapter 2 Envisioning the Lean Supply Chain: Systems Thinking
  • The Traditional Approach to Managing Systems
  • Local Optimization
  • Using Systems Thinking to Meet the Challenge
  • Applying Lean Supply Chain Principle 1
  • Management Philosophies to Enhance Lean Supply Chain Performance
  • The Theory of Constraints
  • Theory of Constraints and Un-common Sense
  • Lean
  • Synergies Between TOC and Lean
  • The Business Ecosystem
  • Personal Computer Ecosystems
  • Conclusions
  • References
  • Chapter 3 Adopting a Throughput World Perspective
  • TOC and the Thinking Process
  • An Un-common Sense Minute
  • Focusing on the Constraint
  • Physical Constraints
  • Market Constraints
  • Policy Constraints
  • Estimating Product Costs with Cost Accounting Systems
  • The Standard Cost Accounting System
  • CSN, Inc.
  • Activity-Based Costing (ABC)
  • Applying ABC to CSN, Inc.
  • Throughput Accounting
  • Throughput Accounting Measures
  • Relating Throughput Accounting to Traditional Accounting
  • Kings of Neon
  • Relating Throughput Accounting Measures to Financial Measures
  • Cost World Versus Throughput World: Everclear, Inc.
  • The Five-Step Focusing Process of TOC
  • Step 1: Identify the System’s Constraint(s)
  • Step 2: Decide How to Exploit the System’s Constraint(s)
  • Step 3: Subordinate Everything Else to that Decision
  • Step 4: Elevate the System’s Constraints
  • Step 5: If a Constraint Was Broken in a Previous Step, Go Back to Step 1
  • An Example of the Five-Step Focusing Process
  • Interpreting T
  • An Un-common Sense Minute
  • Applying Throughput Accounting to CSN, Inc.
  • Conclusions
  • References
  • Chapter 4 Designing Products and Processes to Fulfill Customer Needs
  • The Viable Vision
  • Defining the Market Segments
  • Market Segmentation at Hindustan Unilever Limited
  • Order Qualifiers and Order Winners
  • Benchmarking Best Practices
  • Managing Customer Demand Volatility
  • Quick and Reliable Response
  • An Un-common Sense Minute
  • Risk Pooling
  • The RAP Principle
  • Customer-Time-Based Demand Profile
  • The TOC Distribution and Replenishment Solution
  • The Plant Warehouse
  • Setting Target Inventory Levels at the Points of Consumption
  • Safety Buffers to Accommodate Variation
  • Looking for Opportunities to Reduce Safety Buffers
  • The Make-to-Availability Replenishment Mechanism
  • Monitoring Safety Buffers Based on Buffer Penetration
  • Applying the TOC Distribution Solution at the POC
  • Measures for Sustaining the Solution
  • Conclusions
  • References
  • Chapter 5 Building a Competitive Operations Strategy
  • Gaining a Competitive Advantage
  • Building a Structural Position
  • Competing Through Process Execution
  • Operational Effectiveness and the Productivity Frontier
  • Operational Effectiveness and Competitiveness
  • Operational Effectiveness: Necessary but Not Sufficient
  • Building Strategic Flexibility
  • A Model for Enterprise Growth
  • Maintaining a Process Orientation
  • Bringing New Products to Market Faster
  • Coevolving Marketing and Operations Strategies
  • Communicating Financial Benefits to Management
  • Enabling the Operations Strategy
  • Conclusions
  • References
  • Chapter 6 Partnering in the Lean Supply Chain
  • Partnering with Suppliers
  • Arm’s-Length Relationships
  • Strategic Partnerships
  • Vendor-Managed Inventory
  • Partnering with Logistics Providers
  • 3PLs and 4PLs
  • Postponement in Logistics
  • Cross-Docking
  • Supply Chain Metrics
  • Creating Win-Win Partnerships: The Evaporating Cloud
  • The Office Worker’s Dilemma
  • The Injection for the Office Worker’s Dilemma: The Dabbawalas
  • Takeaways from the Reo Motors Case
  • Conclusions
  • References
  • Chapter 7 Streamlining the Value Stream
  • From Craft Production to Mass Production to Lean Production
  • Henry Ford and the Origin of Mass Production
  • The Toyota Production System
  • The U.S. Response
  • Lessons Learned
  • Lean: A Growth Strategy
  • Value-Stream Mapping
  • The Tools and Techniques of Lean
  • 5-S
  • Flowcharts
  • Takt Time
  • Average Labor Content and Minimum Operator Requirement
  • Mixed-Model Scheduling and Small-Batch Production
  • One-Piece Flow
  • Cellular Layout
  • Standard Work
  • Pull Replenishment and Kanbans
  • Point-of-Use Materials Storage
  • Total Productive Maintenance
  • Mistake-Proofing and Method Sheets
  • Continuous Improvement and the Pursuit of Perfection
  • Conclusions
  • References
  • Chapter 8 Creating Flow Through the Supply Chain
  • Creating Flow: Synergies Between TOC and Lean
  • Comparing TOC and Lean Philosophies
  • Exploiting the Synergy Between TOC and Lean to Create Flow
  • Creating Flow: The Impact of Variability and Dependency
  • The Frontier City Clinic
  • The Impact of Variation on Dependent Events
  • Creating Flow: The Impact of Batch Size
  • Process Batch Versus Transfer Batch
  • Controlling Flow Using Pull
  • A Serial Production System
  • Using a Push System to Address Flow
  • Controlling Flow Using Kanbans
  • Controlling Flow Using ConWIP
  • Controlling Flow by Pulling from the Bottleneck
  • The Drum-Buffer-Rope Model
  • Time Buffers Versus Inventory Buffers
  • Determining Buffer Size
  • The Simplified Drum-Buffer-Rope Model
  • Buffer Management
  • The Dice Game
  • Variations on the Dice Game
  • Simulating the ConWIP System
  • Pull Systems Are More Stable and Predictable Than Push Systems
  • Comparing Pull and Push Systems for Efficiency
  • Conclusions
  • ConWIP Efficiency Law
  • Corollary to the ConWIP Efficiency Law
  • References
  • Chapter 9 Managing Projects the Theory of Constraints Way
  • Characteristics of Projects
  • The Impact of Variation on Project Completion Times
  • Project Management with PERT/CPM
  • Determining the Critical Path
  • Causes of Avoidable Project Delays
  • Multitasking
  • Parkinson’s Law
  • The Student Syndrome
  • Sandbagging
  • Critical Chain Project Management
  • Planning the CCPM Schedule in a Single-Project Environment
  • Planning the CCPM Schedule in a Multiproject Environment
  • Executing the CCPM Schedule Using Buffer Management
  • An Un-common Sense Minute
  • Sustaining the Change
  • Visual Project Management
  • A Firm, Aggressive Plan
  • Frequent Reporting of Completed Tasks
  • The Expert Resource Bench
  • Implementing VPM
  • Special Cases in VPM
  • Conclusions
  • References
  • Index