tocico 2013 conference the development of toc …...industry: concerns and fears • we will need a...

TOCICO 2013 Conference

The Development of TOC applications for the service sector

Presented by: Alex KnightDate: 4 June 2013

TOC is the main way of managing organisations

A first attempt

Applying TOC in financial services

Applying TOC in health and social care

Applying TOC in the legal sector

Applying TOC in the university sector

Applying TOC in the running of family businesses

The toolkit used along the journey

A process of ongoing improvement

Lessons learnt from standard S&T tree: Step 1 - choking the release

Lessons learnt from standard S&T tree: Step 1 - freezing projects

Lessons learnt from standard S&T tree: POOGI

Personal lessons from Dr Eliyahu M Goldratt

Bump, bump, bump

However, on the other hand…..

A cross roads

Necessary and sufficient to open a new industry: concerns and fears

• We will need a strategy and tactics tree and I know writing one is not easy, let alone one for each new industry.

• We need software to support each of the applications in each new industry. We have great developers but I suspect writing a TOC based blueprint for such a piece of software is not easy.

• We need TOC competence within our staff and our clients’ staff. This needs to be more than skin deep.

• I learnt though my time with Eli that the only way people learn is through their deductive process. If we want people to learn about the application of TOC in health and social care we will need a novel and it is not easy to write an effective novel.

BETTER GET ON WITH IT!

The QFI S&T tree for healthcare to level 3 (it is completed to level 5)

The QFI S&T tree for healthcare -some level 4 details

Considering assumptions in healthcare environment

4.11.1 Parrallel Assumption: in traditionally run plants touch time is a very small fraction (<10%) of the lead time. Vast experience shows that, in traditionally run plants, restricting the release of materials, to be just half the current lead time before the corresponding due date, leads only to good results and to no negative ramifications* (lead time shrinks to less than half, DDP improves considerably, throughput goes up and excess capacity is revealed). These results are achieved irrespective of whether or not a bottleneck exists.

5.111.1 Tactic: the top manager in charge of all projects, after consulting with his subordinates, determines the prioritization of projects and instructs to freeze (cease activities on) enough* of the lowest priority projects.* “Enough” means: responsible for at least 25% of the load. The proper actions are taken to ensure full adherence to the freezing decision.

Wot no choking or freezing?

Synchronising without choking or freezing

Patient 1

Admission date

Clinically based Planned

Discharge DateMDT

Time Buffers

Patient 5

Admission date

PDD 5MDT

Admission date

PDD 4MDT

Patient 4

Patient 3

Admission date

PDD 3MDT

Admission date

PDD 2MDT

Patient 2

Patient 1

Admission date

PDD 1MDT

Question: which resource ismost often causing the mosttime delay to the mostpatients across the wholesystem?

Synchronising without choking or freezing

Clinically appropriate treatment date

Patient 1

Patient 2

Patient 3

Patient 4

Patient 5

Patient 6

Patient 7

Patient 8

Outpatients environment: what happens when early is as bad as late?

Analysing to accelerate a POOGI

Considering assumptions in the legal sector

The personal injury market

Considering assumptions in legal environment

• 4.11.1 Parrallel Assumption: in traditionally run plants touch time is a very small fraction (<10%) of the lead time.

• There are literally hundreds of different pathways.

• Some steps in the pathway are mandatory legal requirements.

• The touch time of the fee earner is much less than 10% of the lead time and for the firm the fee earner is the only resource.

• However, there are legal steps in the process that cannot be shortened and if you include these then the ‘touch time’ is way over 10% of the lead time.

Considering assumptions in the legal environment

• 4.11.1 Parallel Assumption: vast experience shows that in multi-project environments, reducing the number of open projects can reduce bad multi-tasking without causing starvation of work and therefore significantly reduces the lead time of all projects - it increases the flow.

Considering assumptions

• What do you do when the law requires you to initiate a case within a few days of receiving it and there are legally binding intermediate objectives set at various steps along the process?

The Clash: Breakin' rocks in the hot sun - I fought the law and the law won

Writing a TOC based blueprint for software: my new favourite book

1. What is the power of the technology?2. What limitations to business performance does

the technology diminish?3. What rules, behaviours or measurements have

the users developed to enable themselves to live with their original limitations?

4. What rules should the company adopt once the technology has removed the limitation?

5. Is the technology aimed at fostering new rules?6. How do you implement the organisational

change on which effectiveness of the technology depends?

JUST GO AND BUY IT!

A commitment to education and sharing new knowledge

• Customers: a Masters degree in collaboration with Nottingham Trent University – The application of TOC in Health and Social Care.

• ALL QFI staff: a Masters degree in collaboration with Nottingham Trent University – TOC in consulting.

Writing a novel: ‘Pride and Joy’ to be released in time for QFI Consulting’s ten year anniversary

Well you've heard about lovegivin' sight to the blind

My baby's lovin' cause the sun to shine She's my sweet little thang.... She's my pride and joy She's my sweet little baby.... I'm her little lover boy

Yeah I love my baby.... Heart and soul Love like ours won't never grow old She's my sweet little thang.... She's my pride and joy She's my sweet little baby.... I'm her little lover boy

Yeah I love my lady.... She's long and lean You mess with her.... You'll see a man get mean She's my sweet little thang.... She's my pride and joy She's my sweet little baby.... I'm her little lover boy

Well I love my baby.... Like the finest wine Stick with her until the end of time She's my sweet little thang.... She's my pride and joy She's my sweet little baby.... I'm her little lover boy

QUESTIONS

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