"The Goal" by Eliyahu Goldratt.
"The Goal" by Eliyahu Goldratt.
"The Goal" by Eliyahu Goldratt.
Chapter 26-31
As Jonah and the team try to devise a strategy for determining which products must be
produced and when they must be produced before they can be produced and released to the
market, they realize that there are still some parts piling up at the bottleneck, impeding
production. Despite Alex's plant's significant progress, Mr. Peach insists that Alex's company
improve up to 15% more to avoid closure. Alex promises to meet that goal, even though he
knows it is nearly impossible. Alex is preoccupied with how to increase market demand by 15%
while decreasing costs. As he asks himself this question and tries to find answers, he is hit by
another major blow when Jonah calls to inform him of his inability to consult in the coming
months, but he still has to find solutions in his absence. Alex secures a contract with a new
customer by convincing him that he will deliver 250 products weekly, which is quite convincing.
Still, he is perplexed about how he will achieve this and deliver since the company cannot meet
that milestone due to existing commitments. The plant's new client arrives to thank Alex and his
team for the quick delivery and to expand his contract from 1000 to 10000 products, which poses
a greater challenge to the plant because it requires more effort to produce the required products.
Alex's problems don't stop there; the decision has been made to keep the plant running, but with
Alex not just as a manufacturing plant manager but as the division's vice president, this comes
with a lot of responsibility on Alex's shoulders because he now oversees all three plants. He calls
Jonah to seek advice but he refuses to offer him any assistance and he has to move on without his
help.
Chapter 32-40
Alex's advancement brings him new challenges. He wonders how he will persuade many
new employees to support his new management ideas. He wonders how this is possible without
2
appearing to be a dictator. He decides that promoting his team (Lou, Bob, Stacey, and Ralph) to
work with him at the division level would be beneficial because they are already familiar with
his new management approaches. Alex's advancement brings him new challenges. He begins to
reflect and wonder how he will manage to Alex recognizes that to implement the concept that he
implemented at his plant at the division level, a lot of work must be done, and all employees
must be heavily involved; thus, he resolves to hold a daily meeting with everyone to chart the
course of action. As everyone tried to figure out what to do next, they created a common
framework that addresses all of their issues, similar to how scientists classify all elements into a
single periodic table. As the team worked through the processes of repairing the plant's
issue arises at the plant as they realize that new orders create new constraints all over the place.
Still, after careful consideration, they decided to increase inventory to ensure that all capacity is
utilized to increase cycle times and thus the production rate. As Alex and Lou were deliberating,
they came up with some new questions for which they must find answers. These questions are,
what change do they need, what do they need to change, and what must be done to cause the
change.