Theory of constraints is a problem-solving methodology that focuses on the weakest link in a chain of processes. Usually the constraint is the process that is slowest.
Flow rate through the system can not increase unless the rate at the constraint increases. Theory of constraints lists five steps to system improvement:
1. Identify.
Find the process that limits the effectiveness of the system.
2. Exploit.
Use kaizen or other methods to improve the rate of the constraining process.
3. Subordinate.
Adjust (or subordinate) the rates of other processes in the chain to match that of the constraint.
4. Elevate.
If the system rate needs further improvement, the constraint may require extensive revision (or elevation). This could mean investment in additional equipment or new technology.
5. Repeat.
If these steps have improved the process to the point where it is no longer the constraint, the system rate can be further improved by repeating these steps with the new constraint.
The strength of the theory of constraints is that it employs a systems approach, emphasizing that improvements to individual processes will not improve the rate of the system unless they improve the constraining process.
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