85% of the 2014 Industry Week best plant finalists and winners used Theory of Constraints over the past 5 years. That’s not surprising to me as Theory of Constraints is more effective than Lean Manufacturing at increasing productivity in job shops.
Industry Week’s Best Plants awards were established in 1990. Their stated purpose:
- To recognize plants that are on the leading edge of efforts to increase competitiveness, enhance customer satisfaction, and create stimulating and rewarding work environments.
- To encourage other manufacturing managers and work teams to emulate the honorees by adopting world-class practices, technologies, and improvement strategies.
It’s really no surprise the some of the best manufacturing plants in the US are using Theory of Constraints Goldratt.
Drum Buffer Rope
After all, Velocity Scheduling System is based on the Theory of Constraints Drum Buffer Rope but customized for highly custom job shops and machine shops where the constraint can move week to week or even day to day due to their high mix low volume nature.
Here’s another graph that shows typical results from Theory of Constraints (TOC) which was, of course, developed by Eli Goldratt.
Theory of Constraints Diagram
The above Theory of Constraints summary shows just some of the results that are possible.
And here are just some of the results Velocity Scheduling System clients have had:
- From 69% to over 96% on-time. Read Contour’s full velocity story.
- From less than 50% to over 90% on-time. Lead-times through shop reduced from 10.9 days to 4.8 days. Read Criterion’s full story.
- Shipping increased 64% while profits increased 25%. Read JPT’s full story.
- Productivity improved 15%resulting in being able to respond faster than customers expect. Read AD Hawk’s full story.
- From 88 to 98% on-time with less chaos. Better and increased communication lead to a 15% increase in shipped dollars. Read Chicago Metallic’s full story.
- Shipped more, reduced lead-time and improved cash flow. Less scrap, better and increased communication has lead to happy customers. Read MLPC’s full story.
- Reduced lead-times by as much as 75%, improved quality and added new business. Read Exothermic’s full story.
To name a few 🙂
Here are even more Velocity Scheduling System Testimonials and Case Studies..