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Essay / Case study on constraint management - 721
(Andre, 2016) The two forms of measures are financial and operational. Financial metrics include net profit, return on investment, and cash flow. Whereas operational metrics deal with the rate of money generation in the system called Through Put; control of stocks and all operating expenses, stocks, sales, salaries. (Jacobs, 2013) Each of the above statements is a key factor in constraint management rules. Lister said: “The constraint management model seeks to improve the gaps between constrained and unconstrained resources. Linking completion of project milestones by unconstrained resources to completion by constrained resources improves operational efficiency and closes schedule gaps. (Lister, 2016) The article goes on to discuss the constraints model in management and how it identifies with employee performance standards and improving operational efficiency. The importance of structure was emphasized during the collection of raw materials, creation of the product and delivery of the products to the consumer. (Lister, 2016) Each of these elements is a key factor in the success of an operation. Bad structure and/or lack