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Throughput, he says, "is the rate at which the system generates money through sales."
To make money by increasing net profit, while simultaneously increasing return on investment, and simultaneously increasing cash flow.
Increase throughput while simultaneously reducing both inventory and operating expense.
The Goal: A Process of Ongoing Improvement - 30th Anniversary Edition Paperback – June 1, 2012
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"Anybody who considers himself a manager should rush out, buy and devour this book immediately. If you are the only one in your place to have read it, your progress along the path to the top may suddenly accelerate...one of the most outstanding business books I have ever encountered." --Punch Magazine
"Like Mrs. Fields and her cookies, The Goal was too tasty to remain obscure. Companies began buying big batches and management schools included it in their curriculums." --Fortune Magazine
"This theory provided a persuasive solution for factories struggling with production delays and low revenues." --Harvard Business Review
About the Author
- ASIN : 0884271951
- Publisher : North River Press; 3rd edition (June 1, 2012)
- Language : English
- Paperback : 362 pages
- ISBN-10 : 9780884271956
- ISBN-13 : 978-0884271956
- Item Weight : 1.3 pounds
- Dimensions : 8.9 x 6 x 1.1 inches
- Best Sellers Rank: #3,571 in Books (See Top 100 in Books)
- Customer Reviews:
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Top reviews from the United States
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Each painful turning of the page had me wondering if this is how a past-his-prime boomer in a dead-end manufacturing management position sees his life right before his industry is rendered fully obsolete and he is forced into retirement.
I've read a lot of incredibly boring things in my pursuit of my MBA but I felt strongly enough about how bad this story was to log onto Amazon immediately after the last page to voice my dissatisfaction and resentment of the precious moments of my life wasted on this book. It was undoubtedly one of the least pleasant reading experiences I've ever had. If you are an instructor, please do your students a favor and have them read a summary instead of the actual book, and if you are reading this for yourself, I only have one question: why? 1/10, would not read again.
The book has a few dings against it - mostly simply that it is dated. The deteriorating relationship with his stay-at-home wife is realistic for the time in which the book was written - but it smacks of 1986 now. (This from a guy who got married in 1986...) While it is a bit of a distraction, it does help the book make the point that improving things at work in the right way can and does improve people's outside-of-work lives in very real ways. You will not get that empathetic viewpoint from the nonfiction literature on the subject, so the inclusion is still a strength - it is just that the content has not aged all that well.
On the positive side, it swings into other ideas too. The discussion of how traditional accounting rules and consequential financial controls can create a set of counterproductive incentives is telling, and presages by a couple of decades the work being done now in the Beyond Budgeting movement. So it is a great jumping-off point for that too.
Both this book and "The Phoenix Project" are pretty easy reads. If you gun through both over a weekend or two you will be able to see how the principles of Lean developed in manufacturing can be applied to other kinds of work.
Top reviews from other countries
This third edition finishes with an essay by Eli Goldratt that compares Lean, TPS and "Drum Buffer Rope" as different applications of the same core Lean concepts.
I read the Goal from the perspective of leading change in a service delivery department, where I've used the Kanban Method to guide improvements to our delivery. The goal was the initial inspiration for David Anderson's book Kanban for Successful Evolutionary Change, and it was interesting to read from that perspective.
I think the book would benefit from a refresh with more illustrations to get the points across more clearly to make it an easier read.