Patterns: How we schedule our machine shop?

Our patterns affect what we can accomplish. We use patterns to schedule our machine shops and job shops. If you're not getting the results you want, you may need to change your patterns!

Check out this blog post on patterns and how they affect your scheduling: Machine Shop Scheduling

On that same post you will also find a video interview Dr Eliyahu M Goldratt (founder of Theory of Constraints Drum Buffer Rope) did on patterns at the bottom of the post.

Job Shop Scheduling / Machine Shop Scheduling

We are getting ready to start our 4th Velocity Scheduling System Coaching Progam. Three groups of machine shops and jobs shops have already seen big results.

The Velocity Scheduling System is based on Goldratt's Theory of Constraints (TOC) and drum buffer rope. We modified the "off the shelf" TOC for highly custom job shops and machine shops.

To find out more, check out this special report on "The 9 Challenges to Scheduling a Job Shop and Why Your Schedule is Dead on Arrival".

Our 4th Velocity Scheduling System Coaching Program starts on July 14, 2009. For more information, testimonials, and to sign up please visit Job Shop Scheduling. This program is limited to the first 10 companies, so don't delay!

Here's to maximizing YOUR profits!
Dr Lisa Lang
(c)Copyright 2009, Dr Lisa, Inc. All rights reserved.

Theory of Constraints Mafia Offer + Sales Process Engineering = Explosive Growth Equation

The 2 Leading Theory of Constraints Sales & Marketing Experts
Justin Roff-Marsh and Dr Lisa Lang
discuss what happens when ...
A Mafia Offer Meets 10 Times the Volume of Sales Appointments

Here’s a limited opportunity to participate in a test Webinar featuring a conversation between Dr Lisa and Justin Roff-Marsh.

Justin gets asked (almost) daily if our approach to sales (Sales Process Engineering) complements Dr Lisa’s approach to marketing (Mafia offers). Dr Lisa finds herself regularly answering the same question.

Of course, the answer’s yes: philosophically we’re both coming from the same (TOC) place, so how could our approaches possibly be in conflict?

But the practical implementation – and integration – of these two approaches is the really interesting subject to explore. And that’s the purpose of this Webinar.

This is a test event – our first one. This means that we are only promoting this event to the TOC community.

If you like to be first to discover new ideas and you don’t mind if this event isn’t as polished as we hope it eventually will become, please reserve you seat now.


We are going to accept 20 registrations for 14 spots. So sign up now, and arrive early to make sure you get in.

The format of this event is simple. Dr Lisa and Justin will each present an overview of our approaches – and, after each overview, the presenter will be interviewed by the other.

While this is occurring, we’ll be assimilating questions from delegates and, to conclude the Webinar, each of us will pose delegates’ questions to the other.

It should be fun, and informative!

Go here to sign up: http://explosivegrowthequation.eventbrite.com/

A Process Of On-Going Improvement (POOGI) - Part 40

We are continuing our series based on The Goal by Eliyahu M Goldratt and the Theory of Constraints. {This series was co-written with Brad Stillahn.}


What to Change to?

As with any real constraint, your overall company only has one of them. For example, your company cannot be both internally and externally constrained at the same time (yes, we are aware that your company is different and more complex). A company that addresses its internal constraint can become externally constrained rather quickly, or vice versa, so synchronized corrective action is important.

For an internal constraint, TOC has logistical solutions for operations, projects, distribution and supply chain. The TOC logistic solutions usually need to be tailored to the company because you are different. Lean and Six Sigma tools can help increase the speed and effectiveness of implementing the TOC solutions.

For an external constraint, TOC has solutions for marketing (Mafia Offers) and sales. For other external constraints, TOC has thinking process tools to help identify the problem and the direction of the solution. Again, these normally need to be tailored to your company.

For a cash constraint, which is a special case of an external constraint, the TOC thinking process tools would need to be tailored to your company’s specific situation.

If you are diligent and effective, whether your company has an internal constraint or external constraint, the TOC solutions are powerful enough to correct the problem in about three months.

Please let us know where your company constraint is: internal, external, or cash. Email your answer to Theory of Constraints ANSWER . We will respond with our recommendation on what to do about it.

As you probably know we recommend strategically placing your constraint. The location of your constraint is a very important issue. Where's yours now and where do you want it to be -- where do you want your strategic constraint to be?

...to be continued.

Here's to maximizing YOUR profits!
Dr Lisa Lang
(c)Copyright 2009, Dr Lisa, Inc. All rights reserved.

A Process Of On-Going Improvement (POOGI) - Part 39

We are continuing our series based on The Goal by Eliyahu M Goldratt and the Theory of Constraints. {This series was co-written with Brad Stillahn.}

Are you externally constrained? Yes or no?

Your company is externally constrained if your company (usually) has the capacity to sell more than it does.

We call it externally constrained instead of market constrained because there a many other factors external to the company which may constrain its ability to sell. For example, government regulation is often an external constraint. Credit availability would also be an example of an external constraint.

Being externally constrained is not inherently bad. In fact, an amount of “protective capacity” is necessary to be responsive to the market, have competitive lead times, and meet due date commitments.

Conventionally, a company responds to being externally constrained by cutting costs, especially people costs by layoffs. In some instances, especially when the company is short of cash, this may be necessary. However, contrary to popular opinion and practice, such attempts to “balance” capacity to sales demand is not good management because it directly causes a chaotic work environment, leading to long lead times and poor due date performance.

Are you cash constrained? Yes or no?

Your company has a cash constraint if and only if you have enough customer orders but your suppliers will not supply you their products and services unless you pay with cash upfront.

Approached conventionally, a cash-constrained company will usually go bankrupt because in the short term, the timing of the cash outflows is more than the cash inflows, and the cooperation of the suppliers and customers cannot be achieved quickly enough to prevent the company from running out of cash.

While it is rather unusual to be cash-constrained, recent economic events may result in customers unilaterally stretching out payables and/or banks restricting credit, so a cash constraint can suddenly emerge.

...to be continued.

Here's to maximizing YOUR profits!
Dr Lisa Lang

(c)Copyright 2009, Dr Lisa, Inc. All rights reserved.