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Book review the goal by Eliyahu m. Geldratt - Essay Example

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Business life and private life can move together like a train that speeds on two parallel tracks and they impact each other for better or worse—this is the message Eliyahu Goldratt articulates in his novel “The Goal.” In a manufacturing plant, if there is problem in one…
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Book review the goal by Eliyahu m. Geldratt
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Download file to see previous pages This is the story as to how Alex turns the tables from a difficult situation in his production unit, and emerges successful. The wise saying goes, what you do is not important; how you do what you do is important, and Alex sees the truth in this assertion, by changing the strategies in administering the production and attending to the related issues in his plant. Eliyahu Goldratts "The Goal" is an entertaining novel and at the same time it is a thought provoking business book.
Alex carries the problems of the plant to home resulting in adverse effects on his married life. The downward spiral at the plant needs to be arrested within the stipulated period of 90 days given to him by the top management. The Plant Manager happens to meet his Professor, Jonah, who diagnoses the problems of managing the plant and he tenders tangible solutions, to stem the rot. Alex begins to fix the issues one by one and realizes that they all have one terminating point. Jonah introduces to him the “Theory of Constraints.” The structure of the manufacturing plant is like the movement of an octopus, whose arms stretch in several directions simultaneously but the movement is set to a pattern ordained by Nature without which it cannot exist. Unintelligent planning is the root cause of malfunctioning in a production unit. The functioning and management of Alex’s plant owns all the negative traits and it is afflicted with loss-generating segments. All efficiency metrics are going red and own unhealthy existence.
Alex has orders pending for two months behind the scheduled delivery date, his warehouse has $20 million in unsold finished goods, items that demand urgent delivery are being expedited by paying overtime to the workforce and it needs special handling obviously at extra cost, sales are on the decline due to delivery slippage, material costs have hit the roof, and the most annoying situation is his division is facing the cash crunch. The cumulative effect ...Download file to see next pagesRead More
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