Topic > Constraint Management Case Study - 721

(Andre, 2016) The two forms of measurement are financial and operational. Financial measures consist of net income, investment return, and cash flow. Whereas operational measurements concern the rate at which money is generated in the system called Through Put; controlling inventory and overall operating expenses: inventory, sales, salary. (Jacobs, 2013) Each of the above statements represents a key factor for constraint management rules. Lister said: “The constraint management model seeks to improve the gap between constrained resources and unconstrained resources. Tying the completion of project phases by unconstrained resources to completion by constrained resources improves operational efficiency and closes gaps in schedules. (Lister, 2016) The article goes on to discuss the constraints model in management and how it identifies with employee performance standards and improving operational efficiency. The importance of structure was emphasized during the collection of raw materials, creation of the product and delivery of the products to the consumer. (Lister, 2016) Each of these is a key factor in the success of an operation. Improper structure and/or lack