Quotes About Throughput

You need slack to enable continuous improvement. You need to balance demand against throughput and limit the quantity of work-in-progress to enable slack.

All renewables thus require a material throughput - from mining to processing to installing to disposing of the materials later as waste - that is orders of magnitude larger than for non-renewable energy sources.

The entire bottleneck concept is not geared to decrease operating expense, it's focused on increasing throughput.

They're measurements which express the goal of making money perfectly well, but which also permit you to develop operational rules for running your plant," he says. "There are three of them. Their names are throughput, inventory and operational expense.

Alex, the goal is not to reduce operational expense by itself. The goal is not to improve one measurement in isolation. The goal is to reduce operational expense and reduce inventory while simultaneously increasing throughput," says Jonah.

The world would be a different place if instead of competing to have the highest per capita GNP, nations competed to have the highest per capita stocks of wealth with the lowest throughput, or the lowest infant mortality, or the greatest political freedom, or the cleanest environment, or the smallest gap between the rich and the poor.

My word processor has spell-check capability, which lets me add words that didn't originally come in its comprehensive dictionary. It's interesting to see what words I had to add when writing this book: feedback, throughput, overshoot, self-organization, sustainability.

Well, because if we don't have enough capacity, we're cheating ourselves out of potential throughput. And if we have more than enough capacity, we're wasting money. We're missing an opportunity to reduce operational expense.

Through sales—not production. If you produce something, but don't sell it, it's not throughput.

No," he says. "Through sales— not production. If you produce something, but don't sell it, it's not throughput. Got it?

Operational expense," he says. "Operational expense is all the money the system spends in order to turn inventory into throughput.

Bottlenecks temporarily limit throughput. Maybe your plant is proof of that. But they have little impact upon inventory." "It's completely the opposite, Hilton," I say. "Bottlenecks govern both throughput and inventory. And I'll tell you what my plant really has shown: it's proved our performance measurements are wrong.

Interesting, isn't it, that each one of those definitions contains the word money," he says. "Throughput is the money coming in. Inventory is the money currently inside the system. And operational expense is the money we have to pay out to make throughput happen. One measurement for the incoming money, one for the money still stuck inside, and one for the money going out.

Let's not forget that in the throughput world the linkages are as important as the links. Which means that if we decided to do something in one link, we have to examine the ramifications on the other links.

Throughput," he says, "is the rate at which the system generates money through sales.

If you produce something, but don't sell it, it's not throughput

That's how Jonah knew. He was using the measurements in the crude form of simple questions to see if his hunch about the robots was correct: did we sell any more products (i.e., did our throughput go up?); did we lay off anybody (did our operational expense go down?); and the last, exactly what he said: did our inventories go down?

So the way to express the goal is this? Increase throughput while simultaneously reducing both inventory and operating expense.

Throughput es el dinero que entra. Inventario es el dinero que está actualmente dentro del sistema. Y gasto operativo es el dinero que tenemos que pagar para que suceda el throughput. Un indicador para el dinero que entra, uno para el que está atrapado dentro y otro para el que sale.

With the bottlenecks more productive now, our throughput has gone up and our backlog is declining. But making the bottlenecks more productive has put more demand on the other work centers. If the demand on another work center has gone above one hundred percent, then we've created a new bottleneck.

Throughput is the money coming in. Inventory is the money currently inside the system. And operational expense is the money we have to pay out to make throughput happen. One measurement for the incoming money, one for the money still stuck inside, and one for the money going out.

the use of statistical process control tools to evaluate variation, correlate root cause, forecast capacity, and anticipate throughput barriers. By measuring incidence of preventable venous

In any system of work, the theoretical ideal is single-piece flow, which maximizes throughput and minimizes variance. You get there by continually reducing batch sizes.

20% on detailed planning (Their poor throughput and high lead times were misattributed to faulty estimation, and so, hoping to get a better answer, they were asked to estimate the work in greater detail.)