In a situation like Alex Rogo's, the Plant Manager for the Bearington Division of UniCo Corporation, who has been given three months by his boss to either show a profit or face shutdown, one can be tempted to consider an easy option ? quit now and look for another job while your reputation is still intact. The temptations for Alex to consider this option are many ? his plant has not shown any profit for quite some time, orders are often shipped months late, the inventory position is so bad that the aisles of the plant floor are crammed with in-process parts, almost all jobs are designated as "rush" and upon all this his marriage is on the precipe because he has been spending all his time in the plant.
However, Alex decides to take the problems head on. In this quest, he is helped by his old Physics professor, Jonah. Rather than giving him ready made answers like a consultant, Jonah forces Alex to think by confronting him with pointed questions designed to help him bring out his intuitive skills. When Alex tells Jonah how he was able to increase productivity by thirty-six percent in one department alone with the use of robots, Jonah points it out to Alex how the robots could not possibly have contributed to the company's goal ? and that in fact in terms of its overall goal, Alex must actually be running a very unproductive plant. Prodded on by Jonah, Alex comes to the conclusion that as a first step, he first and foremost has to ensure that his plant makes money.
With a continuous barrage of questions from his teacher, Alex and his team learn how to define measurements so that they better reflect the money making goal of a manufacturing organization. Proceeding systematically, they discover the facts which point to how the bottleneck machine in ...