The main reason organizations don’t realize maximum output from their capacity is that planning and execution behavior is not aligned with the global purpose of the organization. There are two behaviors that account for this misalignment. They are: Over-production; Making more than the customer (or the next step) requires. Usually manifested as batching behaviors and Releasing work too early into the system (allowing overproduction); resulting in high work in process inventory. These two deeply embedded behaviors are the result of management’s beliefs about the proper way to deploy resources to the work. There are countless policies, procedures and measurements that … Read More![]()
