...Bottlenecks in a Process A bottleneck limits the capacity of the process and the data should help indicate it as a bottleneck (Chase, Jacobs, & Aquilano, 2006). The daily process identified in Week One, was the Collection and Invoices of paid and unpaid invoices within a hospital billing department. Through the monitoring of the process for two weeks, a bottleneck was identified. This paper will focus on the bottleneck process and how the Goldratt’s theory of constraints may be applied to alleviate process bottlenecks. Process Bottleneck The ability to identify the bottleneck is important in the analysis to increase capacity as well as to determine the process capacity. Based on the analysis of the flowchart and metric system, the main bottleneck detected was 120 days invoices remained within the facility with no further updates. Since inpatient admissions originate through the emergency room, patients often times provide incorrect contact information or incoherent at time of admission. Once the task of contacting patients was completed, the next task is easier. Patients with accurate contact information, their cases were settled within 60 days, resulting in revenue for the hospital. Goldratt’s Theory The underlying premise of theory of constraints is that organizations can be measured and controlled by variations on three measures: throughput, operational expense, and inventory (Wikipedia). The Goldratt’s Theory uses a process to eliminate the constraints though five steps...
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...Bottlenecks in a Process Paper OPS/571 Bottlenecks in a process When defining what a process is in an organization, one might state that it is the process of transforming a set of inputs into a group of outputs that in turn are more value adding than the inputs alone (Chase, Jacobs, Aquilano). During the process of moving inputs to outputs many organizations benefit from identifying the potential bottlenecks in the process which may slow down the process. A similar process was conducted when creating a flow chart which described the decision making process of going fishing or staying home and going to a movie instead. One bottleneck that was quickly identified was with the inconsistencies of the weather forecasts. The measurement used was time leading up to the leave time for the trip and the inconsistent forecasts that were being made. The decision to be made relied solely on the consistent forecasts being provided by the three main weather channels for the area. To define a bottleneck, one would say that it is a process that unintentionally slows down or limits the maximum capacity of the said process (Chase, Jacobs, Aquilano). The bottleneck in this process actually hinders the decision of whether or not to go fishing or go to a movie and until an accurate and consistent forecast can be received, the decision cannot be made. Generally, fishing trips are planned and taken on the weekends so that one’s work is not affected; therefore there is time for the...
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...Bottlenecks in a Process University of Phoenix OPS/571 Operations Management November 12, 2012 Bottlenecks in a Process High process performance is often the main focus for any organization. Therefore, individuals continually search for ways to improve their processes and increase their efficiency. Those wishing to improve the efficiencies of these processes must identify and eliminate the activities that prevent the process from moving at a steady pace. The purpose of this paper is to briefly discuss the process of maintaining a timely bedtime. This paper will identify and discuss the main bottlenecks within the process. This paper will also apply Goldratt’s theory of constraints to help identify and overcome the process’ bottlenecks. The Process As identified in week one, the author wanted to find a way to achieve and maintain a timely bedtime on weekdays. The author created a flowchart to identify the activities within the process and collected data indicating the time spent performing those activities. Traveling home from work, preparing dinner, helping her daughter with homework, and cleaning the kitchen are among those activities. Other activities were participating in social networking and preparing for the next work day. Several factors affected these activities such as the travel method, the time spent on social network, and the need to defrost meat products for dinner. These factors...
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...Bottlenecks in a Process Week one observation of getting my children ready and taking them to school identified many steps that add to the time spend on doing this process every morning. The observing and recording of the flow each morning over the last three weeks has created opportunity for the process to be streamlined. A bottleneck is any step that would slow down the speed of any process. In my daily routine bottlenecks could be potentially caused by two main sources: children’ mood and traffic. The progress of work flow depends on how these two criteria work together on every day. Childrens’ mood; their acceptance to get ready and what they want for breakfast and lunch are the main cause contributing to creating bottleneck in the morning that delay the whole process. When children are still sleepy and cranky, dressing them up and preparing their breakfast and lunch boxes would take longer time. Once realizing the concept of bottleneck the opportunity was clear that this stage could be speed up by asking the children what they want for breakfast and lunch at night and preparing what is possible the night before. Another way of speeding up the process is preparing lunch boxes while the children are having their breakfast. As well, putting the children to sleep exactly at 7:30 pm allows them to get enough sleep; by doing these steps ahead of time enhanced the flow of daily routine. Another bottleneck in my process is traffic, in order not to get stuck in the traffic jam...
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...Bottleneck in a Process OPS/571 September 5, 2012 Processing Army Equipment for Deployment When a unit is scheduled to move equipment it must follow a number of steps before it is ready for shipment. From updating the deploying unit Organizational Equipment List (OEL) to delivering it to the Port of Embarkation (POE) a series of events must take place sequentially for the process to occur without complications. The 11-step process flow submitted on week one identified a bottleneck in the system at step 10. It is during step 10, (Processing equipment for shipment at the MDF) that a major bottleneck was discovered. It takes an average of 35 minutes for any particular piece of equipment to process all ---- stations at the MDF. However, vehicles towing an additional piece of equipment such as trailers, howitzers, mobile kitchen units, etc. take an average an additional 15 minutes at station --- (weight and dimensions station) because the equipment towed must be disconnected from its prime mover and process separately. This tends to back up the processing system creating a bottleneck. Applying Dr. Goldratt Theory of Constraint (TOC) to this process could help deal with and solve the bottleneck. Dr. Goldratt’s TOC is a philosophy normally applied to running and improving an organization (Goldratt Marketing Group. 2012). The TOC consists of a problem-solving management decision-making tool (TP) (Goldratt Marketing Group. 2012). The TOC addresses three essential questions...
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...Bottlenecks in a Process University of Phoenix Bottlenecks in a Process Making a decision on what to eat for breakfast is a constant battle for me every morning. Eating breakfast is very important to me personally because it affects my mood for the rest of the day. Deciding on what to each morning is a routine, from the time the alarm goes off to taking a shower, I have the same question is in my head: What do I eat for breakfast? Although eating breakfast is routine, I find that there is always a constraint or a bottleneck in the process. Behind every process there is always a limiting factor whether it’s trying to get to work on time or trying to complete a degree, there are always bottlenecks that set the speed of your progress. The Key to speeding up my breakfast process is to find the limiting factor and alleviate them as fast as possible. After paying a good amount of attention to my daily breakfast routine, I found that the main bottleneck in the process is my food options, what is available to eat in the house? I found that I spend majority of my time looking for what is available to eat. To alleviate this process, I used the Goldratt’s theory of constraints to overcome the process bottleneck. The First step is to: 1. Identify the system constraints: the constraint in my process is my food options and the availability of food in the house. 2. Decide how to exploit the system constraint: To develop the constraint of my breakfast process, I would...
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...Process Workflow-Bottlenecks April 23, 2013 Process Workflow-Bottlenecks The bottleneck that I have identified in this process workflow during site initiation process is the time period for when the study will be approved by Institutional Review Board (IRB). The IRB is the regulatory agency that reviews the conduct of the study to ensure the safety and wellbeing of the subject participants during the course of the study. If the approval from the IRB is not obtained, the study or clinical trial cannot begin. Although other activities can be performed in parallel while awaiting IRB approval, the most critical step in site activation such as when the clinical site can begin enrollment will be put on hold if the IRB has not approved the study. Time and money are at stake when there is a delay in site activation. The longer it takes for the site to begin enrollment, the longer it will take for the Sponsor to obtain data from the site. In addition, resources that are allocated for the study are being underutilized as the study awaits approval from the IRB. The down fall in longer approval time from the IRB is that some sites do lose interest or they would have a change in staff that would require the Sponsor to conduct additional training once the site receives IRB approval. Timing of when the other activities such as supply shipments and trainings are all dependent on when the IRB approves the study. Reference Chase, R. B., Jacobs, F. R., & Aquilano, N. J. (2006)...
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...differences in how bottleneck and non-bottleneck work centers are scheduled under TOC? Why are these differences desirable? The theory of constraints scheduling involves the preparation of an exact schedule of jobs for bottleneck work centers, and sequencing the non-bottleneck work centers by a priority-sequencing rule. Any resource whose capacity is equal to or less than the required demand is referred to as a bottleneck. As a consequence the basic principle of TOC systems is that only those work centers that are bottlenecks are of critical concern in scheduling. This is because the bottleneck work centers limit all of the production output of a plant. Further output past the constraint of the bottleneck can be attainable only by improved utilization of the bottleneck facilities, using approaches such as reduced downtime, improved productivity, and reduced changeover times. The objective of TOC scheduling is to maximize throughput. Because the bottleneck resources limit throughput all the efforts are focused on maximizing capacity utilization in these work centers. Therefore, TOC scheduling systems focus on the identification of bottleneck work centers, and the scheduling of these work centers. 2. Why should buffers be located in front of bottleneck work centers under TOC scheduling? How should the size of the buffers be determined? The buffers are located in front of bottleneck work stations because they are a safety net of product stored just in case the bottleneck station cannot...
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...Bottleneck Process Week Three Gamal Gilchrist University of Phoenix OPS/571 April 16, 2012 Improving and developing processes is to identify and address the bottlenecks that can happen inside that process. A bottleneck is any point in a process that the flow slows down and delays process completion. As technology vastly continues to improve bottlenecks will be addressed but there is always another bottleneck, just as Goldratt stipulates (Chase, Jacobs, & Aquilano, 2006). To simplify my driving to work process and improve apron it, it’s vital to identify and take care of the bottlenecks that can mess up the process of getting to work on time. The data collected from the process identified in week, One I recognized two bottlenecks in driving to work. The first bottleneck that usually affects my everyday driving to work are the traffic lights that I run into sometimes on my way to work. Sometimes I would catch back to back red lights and this would impede my process to work. To elude this bottleneck, I leave the house early enough to make sure I have ample time to get to work on time even if I get stuck at a light or two. Four days ago, another bottleneck I ran into which affected my drive to work was a car accident on the highway. The highway backed up bumper to bumper, which made driving very slow. I finally arrived at work 15 minutes later than my standard arrival time. This was a major and rare bottleneck I faced. Still, I got to work on time...
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...The Goal is a very compelling novel. Novel, HUH!! Who ever heard of a novel about a production plant? Well, Eli has made the production managers have quite an epiphany. In one book he might have changed the whole world of cost accounting. Eli approached the production world with a common sense view. Using just one goal, making money, he referenced every activity to it. Eli said, "I view science as nothing more than an understanding of the way the world is and why it is that way." You see, Eli is a physicist, and in being one, has to understand why things work the way they do. His common sense approach is illustrated beautifully in this novel. He has looked at cost accounting from the outside and has developed a whole new system because of it. Everyone from accountants to production managers to CEO’s should read this book. Because of its fundamentals, it should be part of the curriculum of every accounting program. This novel has and continues to help the industry to make strides toward continuous improvement. Chapter One The first chapter gets the reader acquainted with Mr. Alex Rogo and his apparent problems with his production plant. This is shown through a confrontation between Mr. Rogo and his boss Mr. Peach, the Division Vice President. The dispute is over an overdue order #41427. Through their conversation it’s learned that Mr. Peach will not settle for anything less than the order being shipped today, and since the plant is neither productive nor profitable, Alex has...
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...this is referred to a bottleneck. The bottleneck would governs the maximum output. It takes the server 1 minute to perform this step. At maximum demand (not start up) this team would only be able to handle 60 people. 2. Gerhard pays his employees below minimum wage. It needs to be brought to his attention that he is breaking the law. The employees are paid 1/60th of their hourly wage every minute. This means the $3/hr people are paid 5 cents/min, the $4/hr people are paid 6.66 cents/hour, the $4.5/hr people are paid 7.5 cents/min, and the $5/hr machine is 8.33 cents/min. To process one customer the customer must go through steps 1 through 6, while in idle waiting for new customers, Gerhard still needs to pay his employees. Therefore, all tasks will use the bottlenecks time, not Gerhard’s estimated time to estimate costs. a. 1-15 seconds (5 cents) b. 2-30 seconds (5 cents) c. 3-60 seconds (5 cents) d. 4-40 seconds (5 cents) e. 5-20 seconds (6.667 cents) f. 6-30 seconds (7.5 cents) g. 5*4+6.667+7.5=34.17 cents The soda machine costs $5/hr, and 60 customers can be processed per hour. This means it costs 8.333 cents (5/60) to operate the soda machine per customer. The grand total for 1 customer should be 42.5 cents. This cost only reflects labor of the 6 employees and the soda machine, not the cost of the food itself. 3. The bottleneck would occur at the 4th step. Recalculating for a 40 second bottleneck, 90 customers (3600...
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...| Spoon onto cookie tray | Kristen | 2 | 8 | Place cookies in oven / Set thermostat | Roommate | 1 | 9 | Cookie bake time | In oven | 9 | 18 | Remove Cookies | Roommate | 0 | 18 | Cool cookies | Roommate | 5 | 23 | Pack | Roommate | 2 | 25 | Collect $$ | Roommate | 1 | 26 | 2. What is the maximum capacity of the process for orders of one-dozen cookies only? Two-dozen only? Three dozen only? The maximum capacity refers to the bottleneck in the process. Because regardless of how much can be produced in the other steps, your efficiency will be determined by your slowest step, or, the bottleneck. In Kristen’s cookies, the bottleneck is the baking time which is equal to 10 minutes. That cannot be sped up unless there are more ovens to bake. Baking: 10 min/dozen = 6 dozen/hour. This is the bottleneck. 3. Based on the answer to question 2, should you give any discount for customers who order 2 dozen or more? Why or why not? No, there should be no discounts offered. Because the capacity involving bottlenecks is independent of order size. For example, if there were 2 dozen ordered, although there would be an increase in the beginning steps, the bake time is still 10 min regardless of how many dozens are ordered. 4....
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...A Critical Thinking Review of The Goal: A Process of Ongoing Improvement Introduction: The Goal is a well-written novel that illustrates a model for systems and operation management. Reading through this book gave me an insight to the amount of effort that goes into managing a plant with all employees as well as keeping your home together. The main character, Alex Rogo who is the plant manager, is found in a dire situation with his plant on the verge of being closed down. He is given 3 months to turn the plant around and make it profitable. Alex comes into contact with an old professor, Jonah, who helps him along the way by teaching him successful methods of running a production plant. Meeting Number One * Initial state: Alex is a manager of a manufacturing plant when he happens to bump into Jonah, a Physics Professor, in the airport. Alex is trying to get Jonah to remember him while Jonah is attempting to catch his plane. As Jonah is heading to his terminal, him and Alex are conversing about the plant and how great Alex believes that his machines are. * Advice: During this whole conversation Jonah is asking Alex, is his plant making any money from the machines and are they being truly efficient? At the time Alex did not get what Jonah was referring too. * Actions taken: At this point Alex did not realize how dire his plant was performing. * Results: Jonah had to catch his flight and the two went their separate ways at that point. Alex continued...
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...Jennifer Purifoy April 30, 2001 Executive Summary for The Goal: A Process of Ongoing Improvement by Eliyahu M. Goldratt The heart of this story is based around the life of Alex Rogo, Plant Manager for Uniware a division of Unico. After a very upset customer approaches Alex’s boss, Bill Peach, he is given an ultimatum to turn the plant around in three months. Due to the limited amount of time available, there are not many outside tools available such as consultants, surveys, etc. With very few hopes, Alex foresees the inevitable until he remembers his conversation with Jonah, a physicist Alex knew from a previous job. The Goal: It is not until Alex’s job is in jeopardy that he decides to devour into his conversation with Jonah. During the conversation, Jonah asks him several questions to analyze his company’s situation. The conversation leads ultimately to the question, "What is the goal of any business?" After rethinking his conversation, Alex realizes that the goal of any business is to make money. Furthermore, if the goal is to make money any action toward this goal is consider productive and any action not moving towards the goal is nonproductive. Alex unsure of such a simple answer decides to contact Jonah to continue the search for more answers. Measurements: Once Alex contacts Jonah they define the following measurements to define the success of any plant’s production: 1. Throughout = rate that the system is used to generate money through sales. This measurement would...
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...‘THE GOAL’ A Process of Ongoing Improvement IILINOIS STATE UNIVERSITY STATE FARM HALL OF BUSINESS MQM - 427 By: Vashisth Sharma Introduction I usually do not read books (except my course books), so when Dr. Selegna asked to read it I thought this is going to be the toughest thing to do in this semester. I had a perception that The Goal – A process of continuous improvement is a collection of boring theories of operations management, but when I started reading it I totally got sucked into it. It is a classic example of a book which has good story along with something really useful associated with it. The author has used a story to convey a pragmatic approach of doing operations of any kind of business. The purpose of this paper is to cover major concepts which are covered in the book in terms of operations. It is also intended not to just convey the information which has been covered in the book, rather link the concepts discussed of it to what we discussed in the class. I would like to sincerely thank Dr. Selegna for giving this assignment to me which was a very fruitful learning experience which will be remembered by me for my entire life. Summary The Goal – A process of continuous improvement is written by Eliyahu M. Goldratt and Jeff Cox, which is an exceptional book having a business side to it along with fiction. The book is mainly focused around a plant manager at UniCo Manufacturing Corporation, Alex Rogo’s life. The author starts the novel by describing a...
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