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Then anything that delays—adds more time—to the paper equation is a constraint. Our task is to knock down those constraints on cash to the lowest possible level. Now we're talking like real business people. We'd find, in a Brooklyn minute, that the largest constraints on velocity of throughput are self-imposed—dictated by management policy or lack thereof. Who decides when stock is ordered? Who determines when invoices issue? Who sets credit terms and oversees collection of the cash? Who determines the hours that the plant will operate—capacity utilization? The BUCK stops in management's chair! Those are all major constraints.
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