Synopsis Of The Goal Book Report: The Goal

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Book Report: The Goal
Mr Alex Rogo, is a factory manager in a company. He has faced a problem with factory productivity and profitability which are not efficient and kept failing to meet the schedule. His boss, Mr. Peach gave him three months’ period to improve and make a result out of it. If he failed it, the factory would be closed down and the employees, including his would be either sent to other departments or fired. To secure his and others jobs, he initiated investigating what is going on in the factory.
When he was called for factory manager meeting held in the headquarter, he encountered an old physics professor, Jonah in the airport. They had a small chat about how things are not going well in the factory, and Jonah gave Alex an impression of high inventories, and not meeting shipping dates problem and a bit of clues about what the goal is for the company. That is, anything that brings you closer to achieving it is productive and all other things …show more content…

The team sorted out some of bottlenecks. However, while working on the process of removing, they found out that they need another system to inform the workers which materials are in the priority in non-bottlenecks. So, they decided to use color-coding. Red is for bottleneck parts to be fixed, and green for non-bottleneck parts. After weeks of test, they could ship twelve orders. It was not enough to satisfy the situation.
The situation is getting better with higher efficiency. But some of bottlenecks do not seem to be improved because of working sent to other areas. It seems there was nothing to do except waiting for the bottleneck machine to finish producing. Instead of just waiting, Alex came up with an idea of dedicating a foreman at each location of bottlenecks all the time. One of the foremen, the night foreman found a way to process more parts by mixing and matching orders by priority. This could increase the efficiency by ten

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