Page 96 - The Handbook for Quality Management a Complete Guide to Operational Excellence
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82 I n t e g r a t e d P l a n n i n g S t r a t e g i c P l a n n i n g 83
internal resource, it means using that resource in the best way to
maximize its marginal contribution to prof it. This might mean
process quality improvement, re-engineering the flow of work
through the process, or changing the product mix. Exploitation
of the constraint should be the kernel of tactical planning—
ensuring the best performance the system can draw now. For this
reason, the responsibility for exploitation lies with the line managers
who must provide that plan and communicate it, so that every one
else understands the exploitation scheme for the immediate future.
3. Subordinate. Once the decision on how to exploit the constraint has
been made, subordinate everything else to that decision. This is, at the
same time, the most important and the most difficult of the five
focus ing steps to accomplish. Why is it so difficult? It requires
everyone and every part of the system not directly involved with
the constraint to subordinate, or “put in second place,” their own
cherished success mea sures, efficiencies, and egos. It requires
everyone, from top management on down, to accept the idea that
excess capacity in the system at most locations is not just
acceptable—it’s actually a good and necessary thing!
Subordination formally relegates all parts of the system that are
not constraints (referred to as “non-constraints”) to the role of
supporters of the constraint. This can create behavioral problems
at almost all levels of the company. It’s very difficult for most
people to accept that they and/or their part of the organization
aren’t just as critical to the success of the system as any other.
Consequently, most people at non-con straints will resist doing the
things necessary to subordinate the rest of the system to the
constraint. This is what makes the third step so diffi cult to
accomplish.
What makes the constraint more critical to the organization is its
rel ative weakness. What distinguishes a non-constraint is its relative
strength, which enables it to be more flexible. So the current perfor-
mance of the organization really hinges on the weak point. While
the other parts of the system could do more, because of that weak
point there is no point in doing more. Instead, the key to better
performance is wisely subordinating the stronger points so that
the weak point can be exploited in full.
Subordination actually redefines the objectives of every process in
the system. Each process is supposed to accomplish a mission that’s
nec essary for the ultimate achievement of the goal. But among
processes there may be conflicting priorities, such as competition
for the same resources. Subordinating non-constraints actually
focuses the efforts of every process on truly supporting the goal of
organization. It allows the constraint to be exploited in the best way
possible.
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