Theory of Constraints — A Concise, Expert Management Briefing

Each is powerful Each has passionate followers Using TOC to find leverage points, and Six Sigma to provide the improvement, is a natural "fit"

Theory of Constraints and Six Sigma; it should be win/win/win for the technologies and the user, rather than either/or

 

When a technology makes a big logical or emotional impact on someone, it seems to show-up in the form of defensiveness and aggression. Defensiveness as in, "we have Brand X, we don't want or need Brand Z". And aggression as in, "Brand X is the best, Brand Z sucks."

Maybe it's that "tribalism" that helps a company buy-in so strongly to a new way of thinking and working, and achieve results. But with Theory of Constraints and Six Sigma there should only be one either/or, and it's at the philosophical level.

Six Sigma is an improvement methodology that can be aimed pretty much everywhere at all sorts of problems, although its origins are in defect reduction. The problem is when the management philosophy is indeed to try to improve everything, everywhere, all the time.

The Theory of Constraints, in contrast, says you probably don't have an unlimited resource base ... so it makes sense to focus improvement efforts. TOC will pin-point with laser precision exactly where an improvement will have the biggest bang for the buck, exactly what the global benefits will be, and exactly what shape the improvement should take. If managers then deploy resources skilled in Six Sigma to put their skills to work in that exact place aiming to achieve the indicated type of improvement ... the benefits are enormous for all involved. The company gains a global-level (rather than local-level) improvement. The TOC management philosophy scores a victory. The Six Sigma individual or team scores a maximum power hit too, and scores a victory. Morale is up. Profits are up. And everyone wants to do it again. And they always can.

There is another twist which, from the perspective of a senior member of the TOC tribe, might be thought to cause me some territorial-ism. I recently attended a conference where a major corporation with a major investment in Six Sigma taught some Theory of Constraints Thinking Processes to it's employees. It was taught in a way that TOC perfectionists might never have considered appropriate ... basically a quick-and-dirty quick presentation over an Internet connection. While we all knew it should be a minimum 1/2 day, with follow-ups, and ... etc. The results? Better results from their investment in Six Sigma, and the trained employees voted the TOC tool the most valuable Six Sigma tool. Seems they didn't really care what the label on it was. Perhaps there's a lesson there?