Theory of Constraints

Increase Profitability Utilizing Lean And Theory of Constraints

The goal of every company is to make money.  In order for that to happen companies must increase net profit, while simultaneously increasing return on investment and cash flow. In Eliyahu Goldratt’s book, The Goal, he states there are three measurements that express the goal of making money: throughput, inventory, and operational expense.  Throughput is the rate at which the system...

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