Free Press, 2015. — 320 p.
This book is concerned with three major continuous-improvement disciplines – Lean, Six Sigma, and the Theory of Constraints – and how to combine them so that the organization does achieve systemic gains that yield improved bottom-line performance. Many if not most readers will be familiar with one or more of those three. For the uninitiated, very briefly, Lean was founded upon concepts established in the Toyota Production System (TPS) and emphasizes elimination of waste in its many forms. Six Sigma was derived from Total Quality Management and other quality improvement
methods, and its strength is in reducing variation. And the Theory of Constraints (TOC) was created by Dr. Eliyahu Goldratt, the founder of our organization, the AGI-Goldratt Institute. TOC holds that a system constraint is the most practical way to reliably manage a complex system, and once the system is stable and predictable, provides the focus for systemic improvement. And VELOCITY – as a concept – is the means by which the organization orchestrates all of its resources, as well as all three improvement disciplines, and achieves both speed and direction toward its strategic goals. We believe that this is a very powerful approach to organizational improvement. As you read, you might keep in mind that VELOCITY consists of three pillars: Theory of Constraints – TOC – as the system architecture; TOC, Lean, and Six Sigma disciplines – TOCLSS – together as the focused improvement process; and Strategy, Design, Activate, Improve, Sustain – SDAIS – as the deployment framework. We have confidence that, if it is properly applied, you and your company or organization can achieve major benefits using this approach.