Sunday, June 12, 2005

ERP and Theory of Constraints make for a powerful combination

ERP and Theory of Constraints make for a powerful combination
Theory of Constraints and Enterprise Resource Planning

When I first encountered Eli Goldratt's concepts I had designed MRP systems, developed MRP systems, implemented a simple MRP system in the factory where I worked, and project-managed the implementation of more than 20 systems in Europe and North America, as a consultant.

What I learned when I first encountered Eli's new ideas was precisely why so many MRP implementations — although considered successful in relative terms — failed to yield the scale of performance improvement that could have been expected given the advancement that the MRP logic and computer technology represented over the previous means of production planning, scheduling and control.

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