USING THE THEORY OF CONSTRAINTS to focus organizational improvement efforts: Part 2—Determining and implementing the solution

• Published in: Journal - American Water Works Association 2006-08, Vol.98 (8), p.83-96
• Main Authors: SHOEMAKER, THOMAS E., REID, RICHARD A.
• Format: Article
• Language: English
• Subjects: Advantages; Albuquerque, New Mexico; Applied sciences; Customer complaints; Exact sciences and technology; Financial management; Funding; Human resources; Incentive pay; Logic; Logic diagrams; Maintenance; Maintenance management; Management; Pollution; Public sector; Reality; Repair & maintenance; Series & special reports; Solutions; Theory of constraints; User training; Utilities; Water utilities
• ISSN: 0003-150X; 1551-8833
• DOI: 10.1002/j.1551-8833.2006.tb07736.x

The theory of constraints (TOC) features powerful logic tools to help managers create and implement changes to eliminate obstacles to improving system performance. Most often applied to managerial challenges in the private sector, TOC was recently used by managers at the Albuquerque (N.M.) Water Utility Division to facilitate continuous improvement within the maintenance system. This article, the second in a two‐part series, describes how TOC methods were used to zero‐in on operational problems, identify their root causes, and develop proactive solutions. Although only some of the strategies developed by the Albuquerque team have been put into operation, preliminary results are positive. The essence of management is the determination and implementation of organizational change. As this study demonstrates, managers need to be aware of the major role played by operational policies, their existing applicability, and current interpretation because the application of existing policies is often the key element limiting performance.