Theory of Constraints – Basic Principles

The three basic principles of Theory of Constraints (as outlined by Goldratt in The Goal), like may axioms they are really self evident although they are not backed up by reference-able evidence, this being said they are widely accepted.

Inherent Simplicity – Convergence

The view that the more complex a system is to describe the simpler it is to manage. If you look at heavily interconnected systems it is possible to manage them by only focusing on a small number of elements. The interconnectedness means that the system can be viewed as a set of dominoes that once one is knocked over then all the others will follow.

It is the lack of connection between elements that creates in many cases multiple points that need to be managed. If the hand over or interface needs to be checked or managed between each process think of the time and management overhead you are adding.

If you accept the basic view that any system is effected by at least one constraint, a more interconnected and effective system will naturally suffer from less constraints.

No Conflicts in Nature – Consistency

If several individuals view a natural phenomenon and then explain the reasons for its existence and there are differences only one of them is true. There is only one reason or one truth that fully explains the phenomenon but it may be that either or both views are wrong and need to be brought to together or simply that one of them is wrong.

Taking this concept into a business environment it means that if two parts of an organization are in conflict then one must be wrong or they both have incomplete view of reality. The problem is deciding which one is correct.

People are not Stupid – Respect

This is simple, people do not by nature undertake stupid actions, they have a reason that they can rationalise for under taking the action that others view as stupid. This basically reinforces the point that there is a gap between the individual (Knowledge) and the system, it is essential to understand this to successfully manage people and projects.

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Related posts:

1. TOC Theory of Constraints
2. Chain Theory