Theory of Constraints is a methodology for identifying the most important limiting factor that stands in the way of achieving a goal and then systematically improving that constraint until it is no longer the limiting factor.In manufacturing, the constraint is often referred to as a bottleneck because the bottleneck. A bottleneckis one process in a chain of processes, such that its limited capacity reduces the capacity of the whole chain.The result of having abottleneck are stalls in production, supply overstock, pressure from customers and low employee morale
The ultimate goal of most manufacturing companies is to make a profit both in the short term and in the long term. The Theory of Constraints provides a powerful set of tools for helping to achieve that goal, It guides its practitioners to improve their organizations by focusing on a very few issues- the constraints to ongoing profitability that includes: Increased profit - Fast improvement - Improved capacity - Reduced lead times - Reduced inventory
