Only resolve constraints
Traditional management takes the approach that "everything that can be improved, must be improved".
The delta-T methodology takes a very different view: The only focus for improvement must be to resolve the constraints which hinder the business ecosystem to achieve its goals.
delta-T methodology for agile business management
Focuses on optimizing flow in the entire ecosystem by identifying and resolving the constraints hindering the flow in the ecyosystem.
Is based on the assumption, that we will achieve our goal by sustaining flow in our ecosystem. Therefore, the right initiatives focus on removing anything that blocks or hinders that flow.
Eliyahu Goldratt, founder of TOC, called such blocks constraints, because they constrain, or limit, the performance of a business.
To focus on resolving constraints for reaching the goal is a different frame of mind than we use for traditional daily management.
Constraint, defined
Goldratt defines a constraint as
- Something that hinders to achieve the goal.
- Can be anything of any kind. Physical – like lack of capacity or lack of speed. Financial – like lack of funding. Emotional: like insufficient motivation. Rule – like a company policy.
- Can be anywhere in the ecosystem. Lile in our own business functions. Or with a supplier. Or with a supplier´s supplier. Or with a customer. Or with a business partner. Or imposed by a competitor.
- The obvious leverage point to improve flow. Fixing anything else in the flow is a waste of time and money.
