TOCICO 2014 Conference Introduction to Strategy & Tactic
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Microsoft PowerPoint - Barnard, Alan_Introduction to S&T by
DrAlanBarnard_TOCICO2014_V2-FINALTOCICO 2014 Conference
Developed by: Dr. Alan Barnard CEO, Goldratt Research Labs
© Goldratt Research Labs, LLC, 2008 - 2012
2 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
Workshop Outline
1. Why Change? 2. What to Change? 3. To what to change? 4. How to
Cause the Change? 5. How to achieve ongoing improvement? 6. New
Applications for Strategy & Tactic Trees 7. Simpler ways to
create your own S&T
3 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
STRATEGY & TACTIC TREES Background on why & how Dr.
Goldratt created S&Ts
• Dr. Eli Goldratt said he created the S&T when he realized
that his own company (Creative Output), that were specialist in
helping companies overcome resistance to change, became THE company
that was the most resistant to change (at least that is how it felt
to him at the time )
• It was a real mystery. How could it have happened? • Dr.
Goldratt’s hypothesis was that the root cause was mainly (his)
poor
communication. • He realized two common mistakes:
− Communicating the WHAT FOR without the HOW and vice versa − Not
giving other stakeholders opportunity to understand and help
validate
/ challenge hidden assumptions. • How to make a breakthrough in an
area, especially those, like STRATEGY, that
most consider an ART…rather than a Science… • …using Classification
Correlation Cause-Effect Application
• See: Strategy and Tactics, 2002, By: Eli Goldratt, Rami Goldratt,
Eli Abramov
4 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
1. WHY CHANGE? What is GAP Gap between the current reality and the
expectations when it comes to the planning, execution and auditing
of Strategies and Tactics needed to achieve their Goal?
Our Expectations…HARMONY - Clear Vision and linked operational
goals - Everyone clear on their and other stakeholders’
contribution to achieving the goal and vision - Responsibility and
authority continuously re-aligned
to reduce fire fighting and synchronize execution - No critical
policy, measurement, priority or resource
conflicts & no damaging local optima/bad multitasking - No fear
of challenging Status Quo when necessary. - Harmony between
functions and levels
CEO
COO
FINANCE IT HR
So, what is the “Constraint” that limits organizations to achieve
the desired GROWTH, STABILITY and HARMONY?
CEO
COO
Typical Organization…DISHARMONY • No clear vision and/or linked
operational goals • Many not clear on their & other
stakeholders’ required
contribution to achieve operation goals & vision. • Large Gaps
between authority and responsibility causing
frequent firefighting and unsynchronized execution • Policy,
measurement, resource and priority conflicts
resulting in local Optimization & Bad Multitasking • Inertia –
Fear of challenging the Status Quo • Distrust between functions
& levels - scars from the past
© Goldratt Research Labs, LLC, 2008 - 2012
5 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
faster decisions
Available Information
Available Information
Available Attention Available Attention
Demand vs. Supply
Step 1: Identify the System Constraint …to Achieving GROWTH,
STABILITY AND HARMONY (within our Organizations)
WHY IT IS IMPORTANT FROM TOC PERSPECTIVE?
6 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
There is a COST and a BENEFIT of PAYING Attention 1. COST – we GIVE
UP the benefit of focusing our attention on something or
someone else… 2. BENEFIT – we GAIN the benefit of focusing our
attention on this thing or this
person…
What is a common strategy to maximize BENEFIT and minimize COST… We
Multitask…we try to give equal attention to the MANY things that
demand or can benefit from our attention…but don’t realize the high
COST we pay for it.…
WARNING
7 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
So how to prevent 3 types of mistakes that waste ATTENTION?
FOCUS on FEW Things that
could really benefit from our limited Attention…and
DON’T MULTITASK
could really benefit from our limited Attention…and
DON’T MULTITASK
Better Exploiting Management Attention Demand vs. Supply
Step 2: Decide how to EXPLOIT the System Constraint … Identify the
things that WASTE our Management Attention…
1. DOING things we should NOT do
1. DOING things we should NOT do
Productive use of our Attention
Productive use of our Attention
2. NOT DOING things we should do
2. NOT DOING things we should do
3. Repeating Mistakes by Learning from Experience
3. Repeating Mistakes by Learning from Experience
REDUCEREDUCE HOW? … STOP …
Error of Detection & Correction
2. WHAT TO CHANGE? What constraint and related problems contribute
most the large GAP?
8 © 2014 TOCICO. All rights reserved.
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Many consider Strategy and Tactic formulation, communication and
execution an “art” but Dr Eli Goldratt decided to apply a
Scientific approach to find a simple solution to address the root
cause(s).
As with many scientific breakthroughs before, Dr. Goldratt started
with simple questions to try and resolve major
inconsistencies
related to:
1. What is “Strategy” & “Tactic” and 2. How do they relate to
each other? 3. If any Strategy and/or Tactic is “only as valid as
its underlying
assumptions”, why are these assumptions never explicitly defined
and validated in conventional strategy and tactic formulation and
execution methods? Is there a simple solution that can overcome the
limitations
of the current approach to Strategy and Tactic?
© Goldratt Research Labs, LLC, 2008 - 2012
3. TO WHAT TO CHANGE? What solution could help to significantly
close the performance expectation gap within Strategy and Tactic
formulation and implementation …to ensure we don’t waste our
scarcest resource – management attention?
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Tactics
But… 1. Where does “Strategy” end? 2. Where do “Tactics” begin? 3.
Is there really a “1:Many” relationship between
Strategy &Tactic(s)?
Conventional View • Strategy is the highest level of an
initiative
and defines the overall direction for the organization to achieve a
goal.
• Tactics are (lower) details in an initiative and define all the
decisions/actions to deploy resources to implement the
strategy
Theory of Constraints View • Strategy is simply the answer to
the
question: “What for?” - i.e. the objective of a proposed change to
achieve a higher goal
• Tactic is simply the answer to the question:“ How to?” – i.e. the
specific decisions/actions needed to achieve the objective of this
change
Therefore… 1. Strategy&Tactic entities always exist together 2.
Strategy&Tactic entities exist at each level 3. Each
Strategy&Tactic entity represents a
necessary “change” to achieve the higher level
3. TO WHAT TO CHANGE? The Conventional vs. Theory of Constraints
View of Strategy & Tactic(s)
Tactic Strategy
Tactic Strategy
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2.2 Title of Proposed Change
The BOXES in an S&T Tree, simply represent the CHANGES we
believe are necessary & sufficient and their Implementation
sequence in which they should be done (left to right) to best
achieve a goal.
When we make the effort to define and communicate not only a title
for each change, but also the Strategy (objective or WHAT FOR)
& Tactic (required actions or HOW TO) for each change and their
SEQUENCE/PRIORITY, it will go a long way to prevent stakeholders at
all levels from
1) DOING WHAT WE SHOULD NOT BE DONE and 2) NOT DOING WHAT WE SHOULD
BE DONE However, any logical tree (e.g. a S&T Tree) is only as
valid as the assumptions on which it is based…yet none of the
conventional approaches explicitly define underlying
assumptions…
Tactic Strategy
Tactic HOW will this change be achieved?
WHAT FOR? Strategy
WHY? Necessary
WHY? Parallel
Assumptions
WHY is this Strategy possible? WHY will it be difficult/risky?
Or
WHY is the Tactic the best way?
WHY? Sufficiency Assumption
WHY is this level of detail not sufficient (i.e. what should next
level
be warned about )?
WHY?
So, what are the underlying assumptions related to any proposed
change at any level that are normally not explicitly defined or
validated?
3. TO WHAT TO CHANGE? Defining not just the WHAT and HOW…but also
the WHY?
11 © 2014 TOCICO. All rights reserved.
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Meet Project Promises on
BUILD CAPITALIZE SUSTAIN
Rapid Project Completion capability
4. HOW TO CAUSE THE CHANGE STEP 1: DEFINE S&T AS HIERACHY OF
PLANNED CHANGES WITH TITLES
H O
W H
AT F
O R
TOCICO 2014 Conference
Meet Project Promises on
BUILD CAPITALIZE SUSTAIN
S
T
T
S
T
S
T
Build a decisive Competitive Edge in big enough markets and
capitalize on it without exhausting resources or taking big
risks
Very High DDP within Budget &
Scope
Growth in # of new Clients & or
Prices
Maintain DDP despite growth
Add Capacity as needed to protect
Sales
Achieve Profitable Growth of 20% pa within 4yrs or less
Bonus Deals from clients that get High Value on
Early Comp
markets
Satisfy Market Need for Early Delivery
Co. relentlessly reduce Project Lead Times
Continuous effort to further reduce Delays
& Task Durations
S
4. HOW TO CAUSE THE CHANGE STEP 2: DEFINE THE STRATEGY (WHAT FOR)
& TACTIC (HOW) FOR EACH CHANGE
HOW?
WHAT FOR?
TOCICO 2014 Conference
Meet Project Promises on
BUILD CAPITALIZE SUSTAIN
S
T
T
S
T
S
T
Build a decisive Competitive Edge in big enough markets and
capitalize on it without exhausting resources or taking big
risks
Very High DDP within Budget &
Scope
Growth in # of new Clients & or
Prices
Maintain DDP despite growth
Add Capacity as needed to protect
Sales
Achieve Profitable Growth of 20% pa within 4yrs or less
Bonus Deals from clients that get High Value on
Early Comp
markets
Satisfy Market Need for Early Delivery
Co. relentlessly reduce Project Lead Times
Continuous effort to further reduce Delays
& Task Durations
S
Strategy WHAT is the objective of the change?
The Company has very high due-date performance without compromising
on the content or on the budget.
Parallel Assumptions
The Company implements Critical Chain Project Management (CCPM)
culture and procedures
Sufficiency Assumption
4. HOW TO CAUSE THE CHANGE STEP 3: DEFINE & VALIDATE WITH
STAKEHOLDERS, THE WHAT, HOW & WHYs FOR EACH CHANGE
NOW… FOR EACH CHANGE
WHY (2) is this change possible but difficult/risky?
WHY (3) is this level of detail not sufficient (warning)?
Not meeting promises (especially when hefty penalties are involved)
may bring a company to its knees
• Critical Chain Project Management (CCPM) brings most
multi-project environments to high due-date performance without
compromising content or budget.
• Most compromises on content or budget stem from the pressure to
meet the promised due date.
To ensure an outstanding start of a major initiative it is vital
that the first substantial actions will result in immediate
substantial benefits.
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www.harmonytoc.com
TOCICO 2014 Conference
RULE 1 - IDENTIFYING & PIPELINING ONLY CRITICAL PROJECTS (ALAP)
(decide when and what to do and what NOT to do )
RULE 2 - CRITICAL CHAIN PLANNING & BUFFERING
(Plans that reduce Multi-tasking and FlowTime,)
RULE 3 – EXECUTION MANAGEMENT , AUDIT REVIEW & BUFFER RECOVERY
(align priorities, do frequent reviews, check what red
tasks are waiting for and how best to recover buffer & identify
& break subordination conflicts )
New Planning
2.1 2.2
2.1 2.2
New Design Rules
RULE 4 –THROUGHPUT ACCOUNTING Always quantify Company wide impact
of any local
decision using impact on T (S-VC), OE and I
Global Impact = T (SR-VC) - OE (ROI) I
New Holistic Decision
- VE - VE
25% Faster
5. HOW TO ACHIEVE ONGOING IMPROVEMENT STEP 4: CONVERTING S&T
INTO A PROJECT PLAN AND STARTING EXECUTION WITH CCPM RULES, USING
THROUGHPUT ACCOUNTING TO QUANTIFY IMPACT OF CHANGES AND CONFLICT
CLOUD TO RESOLVE PLANNING AND EXECUTION CONFLICTS
16 © 2014 TOCICO. All rights reserved.
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NEW APPLICATIONS IN S&T Types of Strategy & Tactic
Trees
1. Transformational S&T − What changes are necessary and
sufficient to achieve the desired/required
improvement for the organization/system as a whole and… What should
be the sequence of implementation …
− Examples: 5 Goldratt S&T’s, Utah Case Study etc.
2. Organizational S&T − What clarity/changes are needed to the
roles and responsibilities and org
structure within an organization to remove or at least reduce what
Dr. Goldratt called the “engines of disharmony”
− 1st Experiments: Premier Foods Case Study
3. Content S&T − What clarity/changes to product, project or
service design OR to a body of
knowledge are necessary and sufficient to meet its objectives − 1st
Experiments: SAP Project Scope, Throughput Acc. BoK, New Car
Design,
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NEW APPLICATIONS OF S&T Types of Strategy & Tactic
Trees
Necessary Assumption Why is the change needed?
Strategy What is the objective of the change?
Parallel Assumptions Why is the change possible Why is the change
difficult/risky?
Tactic How will the change be implemented?
Sufficiency Assumption What is this level of detail not sufficient?
…as a warning to level below to prevent mistakes (next level doing
what should not be done / not doing what should be done)
Necessary Assumption Why is your job (function) necessary to
achieve organizational goal?
Strategy What must you (your job function) achieve on a ongoing
basis (e.g. effectiveness, efficiency and compliance
objectives)?
Parallel Assumptions Why you claim that what occupies your time is
necessary and sufficient to achieve your Strategy?
Tactic Headings of what occupy most of your time to achieve your
strategy?
Sufficiency Assumption What type of responsibility vs. authority
gap “fires” consume your time? …as a warning to level below to help
them define what they should do…and not do
Transformational S&T
Organizational S&T
Content S&T
Necessary Assumption Why is a redesign of this sub-system necessary
for higher subsystem to perform to its required level / Why can’t
we use subsystem from old design?
Strategy What is the required performance of this
sub-system/part?
Parallel Assumptions Why do we claim the specifications of the new
sub-system will ensure required performance?
Tactic How should the subsystem design be changed (which parts and
in what way)?
Sufficiency Assumption Why is this level of detail not sufficient
(i.e. why this change also requires a major redesign of sub-system
components)
WHY1?
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Dr. Eli Goldratt called the symptoms of misaligned and/or
conflicting strategy and tactic definition, communication, planning
& execution the “Engines of Disharmony”
Engines of Disharmony
1. Not knowing my own required contribution to Goal or not knowing
how my contribution will be measured / recognized
1. Knowing exactly how I should contribute …and how my contribution
will be measured and./or recognized.
2. Not knowing others contribution or how their contribution should
be measured / recognized
2. Knowing exactly how others should contribute …and how their
contribution will be measured / recognized.
3. Organizational Conflicts in which “rules” to use to best achieve
organizational goal(s). 3. Systematically align “rules” with Goal
of the
Organization (replacing local/short term optima with global optima
rules)
4. Individual Conflicts due to unresolved Gaps between
Responsibility and Authority (e.g. resulting in firefighting)
4. Systematically close Gaps between Responsibility and Authority
using “fire-fighting conflicts as the trigger”
5. Inertia/Fear of Failure blocking necessary changes to achieve
ongoing improvement
5. Put in place processes, skills and culture continuously improve
by exposing inconsistencies and challenging basic assumptions
(S&T help make these explicit)
Engines of Harmony How: S&T
APPLICATIONS OF S&T All 3 types help reduce/remove engines of
disharmony
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NEW DEVELOPMENTS IN S&T Facing Inconsistencies and challenging
basic assumptions
1. Too Complicated…how do you do it? 2. Takes too long…we just
don’t have time… 3. Only few people can do it…why bother… 4. We
spent a lot of time on it…and then didn’t look at it
again
There is no doubt that S&Ts can be very powerful for the
formulation, communication, validation and auditing of any change
.. YES BUT common complaints are…
Time to FACE this inconsistency…and challenge some basic
assumptions….to increase S&T adoption & value…
…. By STANDING on the SHOULDERS of GIANTS
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NEW DEVELOPMENTS IN S&T Facing Inconsistencies and challenging
basic assumptions
Potentially simpler and faster processes to create S&Ts…than
just staring at blank sheet include:
1. GAP Common Mistakes S&T 2. GAP Change Matrix Cloud S&T
3. Using Balance Score Card Strategy Maps… 4. Using Traditional TP
to build S&T (Filippo Pescara) 5. Using SWOT analysis (Dr.
Danilo Sirias) 6. Others ??
33 © 2014 TOCICO. All rights reserved.
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Capacity/ Customers/Products
Capacity/Customers/Product s
Protect
What IT Systems or IT System Change(s) Needed? What Business
Process/Policy/Measurement Change(s) are needed?
HYPOTHESIS 1 TO SIMPLIFY S&Ts GAP Common mistakes/UDES at Level
1 S&T
Social Responsibility
TOCICO 2014 Conference
GAPSynchronize &
continuously improve
Focused Exploit/Elevate
to improve & Balance Flow
PLANNING EXECUTION IMPROVE
Poor Buffering /Wasting buffer
Insufficient Protective Capacity
Identifying the Planning, Execution and POOGI conditions needed to continuously Improve
and Synchronize Flow…
HYPOTHESIS 1 TO SIMPLIFY S&Ts GAP Common mistakes/UDES at Level
4 S&T
35 © 2014 TOCICO. All rights reserved.
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WHEN?
Why Change – The Undesirable Effects, related local and Global
impacts of these
Strategy WHAT FOR?
The objective you want to achieve = More of the positives (Strategy
1 + 2) and none or fewer of of negatives (Risks 1 + 2)
Parallel Assumptions
The assumptions challenged in resolving the conflict which
includes: • Conditions under which it is possible to achieve all
the
positives without risk of Negatives • “Yes, buts” raised by
stakeholders and how these can be
prevented/overcome that assisted in deciding on best Tactic
Tactic HOW?
New Tactic to Resolve conflict & address all “yes,buts..”
STEP 1 – WHY CHANGE
Define an Undesirable Effect and check its importance
through its Local & System Impact
STEP 4 – HOW TO CAUSE THE CHANGE
Everyone contribute by raising YES, BUTS… to improve New
solution and turning it into new “Best Practice” S&T node
35
SYSTEM IMPACTSYSTEM IMPACT WHY CHANGE
Local / Dept impact of
Undesirables Effect
LOCAL PERF GAPSLOCAL PERF GAPS
WHY CHANGE
Summary of Problem or
Undesirable Effect
UDEUDE WHAT TO CHANGE
STEP 2 – WHAT TO CHANGE
Defining Planning and Execution Conflicts that block
resolution of problem
STEP 3 – TO WHAT TO CHANGE
Using 4 WIN:WIN methods to resolve Planning &
Execution decision conflicts
Decision on HOW to resolve
conflicts to achieve MORE
Positives WITHOUT risk of
Negatives using 4 methods
NEW TACTIC NEW TACTIC
T1, T2, T1 + T2 or T3
STEP 5 – ADDING BEST PRACTICE TO S&T
Add this Best Practice (together with others) to customize/create
your organizational S&T
CONFLICT Action/Decision to
RISK 1RISK 1
Negatives of CHANGE
CHANGE
Positives of NOT CHANGE
Negatives of NOT CHANGE
THREAT THREAT - ON GOAL
YOU to solve?
whole SYSTEM?
facing?
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 1M e t r i
c 1
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 1M e t r i
c 1
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 2M e t r i
c 2
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 2M e t r i
c 2
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 3M e t r i
c 3
P e r f o r m a n c e P e r f o r m a n c e M e t r i c 3M e t r i
c 3
GOAL
Achieving GOAL
Posi ve of NOT CHANGE
HYPOTHESIS 2 TO SIMPLIFY S&Ts GAP Change Matrix Cloud
S&T
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Achieve Growth and Stability
Capabilities..
Benefits to Customers...
Level 0 Realize Organization Vision
Level 4
…by Equipping our People with these
enablers…
Build Internal Capabilities
Deliver Customer Benefits
Both Balanced Scorecard (BSC) Strategy Maps and Theory of Constraint’s (TOC) S&Ts aim to reflect
the “Cause and Effect Logic”
for improving Organizational Performance
BSC STRATEGY MAP TOC S&T TREE
Level 3
…which must be Build, Capitalized on
and Sustained
Level 2 …through decisive competitive
edge(s) in large enough markets
Level 1
..by achieving a Viable Vision...
Level 0 Realize “EverFlourishing”
company
Level 4 and 5
…by Implementing ONLY necessary &
sufficient Process, Policy and/or
measurement changes one by one…
HOW?
HOW?
HOW?
WHAT FOR?
WHAT FOR?
WHAT FOR?
HYPOTHESIS 3 TO SIMPLIFY S&Ts BSC Strategy Maps S&Ts
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TOCICO 2014 Conference
Financial
BALANCE SCORECARD STRATEGY MAPS
Strategy Maps describes how an organization intends to create value for its stakeholders.
©2005 Balanced Scorecard Collaborative, Inc. • bscol.com
The Stakeholder
"If we succeed, how will we look to
our shareholders?”
Financial Perspective
"To achieve our vision, how must we
look to our customers?”
Customer Perspective
"To satisfy our customers, at which
processes must we excel?”
Internal Perspective
"To achieve our vision, how must
our organization learn and improve
Learning & Growth
Higher Return on Net Assets
Example of turning Strategy Map into specific
objectives and actionable steps
Objective: What this specific
Measure: How
Target: Performance
improvement
Objectives Targets InitiativesMeasures
HOW?HOW?
Flights on time
HYPOTHESIS 3 TO SIMPLIFY S&Ts BSC Strategy Maps S&Ts
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The example below to illustrates the differences and similarities between BSC Strategy Maps and TOC S&T Trees.
Example Of BSC Strategy Map for
Southwest Airlines
Profits & RONA
Grow Revenue
Fewer Planes
FINANCIAL
CUSTOMER
INTERNAL
3.1.1 BUILD
“On-time” DCE
incentives
Edge
Edge
Decisive Competitive Edge
TACTIC: Achieve Fastest Ground Turnarounds
STRATEGY: Capitalize on customer “low price” need
TACTIC: Achieve lowest cost to offer lowest price
STRATEGY: Growth in Profits and RONA
TACTIC: More customers with fewer planes
Crew Scheduling
Crew Scheduling
4.11.2 SYSTEMS
TACTIC U 6S t
STRATEGY: Increase Sales from “On-time” advantage
TACTIC: “On-time” advertising campaign
TACTIC: Align skills & incentive scheme for POOGI
STRATEGY: Sufficient crew always available
TACTIC: Implement Crew Scheduler Software
Appoint Ramp Agent to
delays identified
Develop “Delay TACTIC: Develop “Delay Pareto analysis” system &
job function
Example Of TOC Strategy & Tactic Tree for
Southwest Airlines
4.11.1 Pareto Analysis Why is the change needed? Necessary
Assumption
Considering the complexity and interdependencies of the system, it
is difficult to know which delays have the biggest impact on ground
turnaround times
What is the objective of the change? Strategy
Critical delays with the biggest impact are identified asap
Why will the change achieve the objective? Parallel
Assumptions
TOC’s buffer penetration analysis is an effective mechanism to
identify which delays have the biggest impact on lead time A
focusing mechanism requires a responsible person to drive it
How will the change be implemented?
Tactic
Develop “Delay Pareto analysis” mechanism (based on TOC’s Buffer
Penetration analysis) and appoint Ramp Agent to lead efforts
HYPOTHESIS 3 TO SIMPLIFY S&Ts BSC Strategy Maps S&Ts
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Summary of S&T Basics
• S&Ts can help us better exploit our limited ATTENTION by
defining and getting agreement on WHAT TO CHANGE/FOCUS ON…and as
importantly…WHAT NOT.
• The Strategy & Tactic Tree structure is designed to organize
and communicate key assumptions of necessity, sufficient and
sequence logic and their resulting Strategies and Tactics of key
CHANGES to achieve an objective
• There are different types of S&Ts, each guided by different
questions • Transformational S&Ts • Organizational S&Ts •
Content S&Ts …and probably will discover new applications in
the future…
• S&Ts is conceptually quite simple…and can be done by
anyone….but that does not mean anyone can do it well…and simple
does not mean easy…
• It takes practice, patience and ongoing reviews (with others) to
help expose our own blind-spots or bad assumptions…
• We are continuously developing better, faster and simpler ways to
benefit from the S&T structure…by STANDING ON THE SHOULDERS OF
GIANTS…
41 © 2014 TOCICO. All rights reserved.
TOCICO 2014 Conference
ABOUT THE PRESENTERS Dr Alan Barnard (PhD)
Dr. Alan Barnard is considered one of the leading experts in the
world in Theory of Constraints (TOC) frequently working with Dr.
Eli Goldratt, creator of Theory of Constraints on large and complex
projects around the world.
Alan is CEO of Goldratt Research Labs (USA), Director of Goldratt
Group Africa (RSA), Chairman of Realization Africa (RSA), Aphos
(RSA) and The Odyssey Institute (USA).
In 2009, Alan was awarded a PhD in Management of Technology &
Innovation, from the Da Vinci Institute in 2009 with a thesis
titled “How to identify and unlock inherent potential within
organizations (private & public) and individuals?”.
Alan is a past-President of SAPICS (2000 to 2002) and
past-President of TOCICO (2003 to 2005).
He has worked with global companies such as ABB, BHP, Cisco, SAP,
Random House Publishing, Tata in the Private sector and also with
UN DP, UN WFP and InWent in the public sector on applying for
example Theory of Constraints to City Councils in Developing
Countries in the Public Sector to help them identify and unlock
inherent potential to achieve more with the same resources in less
time.
He is currently involved in initiatives to help apply TOC to
significantly increase yields in a win:win:win way in agricultural
(Africa) and accelerate construction (Japan) and developments of
new enabling technologies in high-tech and health sectors (USA and
India).
42 © 2014 TOCICO. All rights reserved.
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Workshop Summary
• The introduction by Dr. Eli Goldratt in 2002 (Goldratt 2002) of a
“new” TOC- based Thinking Process called a “Strategic &
Tactics” Tree (S&T) is being viewed by more and more executives
and managers, as one of the most important breakthroughs in
ensuring that holistic business or organization strategies are
defined, properly validated, communicated and implemented to
achieving harmony within organizations.
• The S&T can for the first time provide us with a practical
process and logical structure for defining and communicating all
the necessary and sufficient changes as well as the sequence of
implementation of these changes to achieve more goal units for the
organization. It not only answers the question WHAT and HOW, but as
importantly the WHY.