TOC Thinking Processes

The Theory of Constraints
Fundamental Exam Review

TOC Thinking Processes Segment
James R. Holt, Ph.D., PE
Professor
jholt@wsu.edu
http://www.engrmgt.wsu.edu/
Engineering & Technology
Washington State University-2010
1
Management
TOCICO Segmented Fundamentals Exam

Fundamentals Certificate
Multiple Choice Exam
(Identify, Exploit, Subordinate, Elevate, Go to Step 1)
Fundamentals
Certificate of
TOC
Philosophy
Inherent
Potential
Inherent
Simplicity
Inherent WinWin
Five Focusing
Steps
Three
Fundament
als
Certificate
of
TOC
Thinking
Processes
Conflict
Cloud
Negative
Branch
Ambitious
Target
Fundamentals
Certificate of
Fundamentals
Certificate of
TOC
Applications
TOC Finance
& Measures
DBR
Project
Management
T, I, OE
PQ Type
Problem
Replenishme
nt
Topics in TOC Thinking Process
Cause and Effect

Evaporating Cloud
Surfacing Assumptions
Invalidating Assumptions
Negative Branch Reservation
Overcoming Obstacles (PRT)
Categories of Legitimate Reservation
Layers of Resistance
TOC Thinking Process Elements

Two types of Logic (in Natural Language)
Sufficiency Logic
If , Then .
In order to , There must be .Necessary Logic
Logical Causality Tools used to Answer the three

questions:
What to Change?
What to Change to?
How to Cause the Change?
TOC is a Systemic Thinking Process.
There are a set of rules to guide and check validity.

Could be called Visual Thinking.
Everyone Can Think

Goal:
Minimize: Y
subject to:
(X-1)^2+(Y-8)^2<=24
(X-3)^2+(Y-8)^2<=14
(X-5)^2+(Y-8)^2<=2
(X-7)^2+(Y-8)^2<=22
(X-9)^2+(Y-8)^2<=26
Y->
Lower the Ball yet

keep it attached.
X->
The Real World
My View of
my World
Thinking Time
We all think! Its what we do!
Our minds are like CPUs. They keep on running
and running and running

We feel uncomfortable if we dont have thoughts in
our head.
Thats why junk TV still survives.
We feel uncomfortable if we start thinking the
wrong thoughts
Thats why there are magazines in Doctors
offices!
Thinking Experiment
Get out a pencil and paper.
Wait for the starting signal.
Then, Work really hard at not thinking for One
Minute!
GO!
QUICK!
Write down every thought you had in the last
minute!
Jot down a word to catch the thought you had
Capture as many as possible.
How Many Thoughts did you

have in 1 Minute?
In the production world, we would
call recurring thoughts RE-WORK!
Probable #
How many of those

thoughts have you
had before? 40%,
60%, 80%?
12
15
18
Number of thoughts
10
Improving our Mental Throughput

We need to increase our mental effectiveness
We need to tie together the stray pieces so we
dont have to deal with individual thoughts

We need to get the whole picture, solve it, and
move on.
11
What is this?
12
Jonathans Family
13
Thinking Process Tools

The Basic Set of Thinking Process Tools Include:
Current Reality Tree
Evaporating Cloud
All of these tools
Future Reality Tree
Negative Branch Reservation are Scrutinized by
the
Pre-Requisite Tree
Categories of
Transition Tree
Legitimate
Derivatives Tools:
Reservation.
Three Cloud Approach
Chronic Conflict
Thinking Process elements included
in the Fundamentals Exam
14
For Fun!
In order to understand the function and power of
the Thinking Process Tools
Lets examine a Thinking Process Example.

One that is fairly well known by most people
One that is not well solved by most people
Marital Strife
15
First the Approach: The Thinking

Process
What to Change?
UDEs
UDEs
UDEs
Find the cause of

the UnDesirable
Effects - UDEs.
Change (Remove)
the Core Problem.
UDEs
UDEs
UDEs
UDEs
UDEs
Core
Problem
Arrows are Logical

Connections are
Tail Head:
If , Then .
16
Find Whats Blocking the Solution

What to Change To?
Necessary
Condition
Goal
Prerequisite
Arrows are Logical

Connections are
Head Tail:
In Order to ,
Must have .
Injection that invalidates

the assumption
Necessary
Condition
Prerequisite
Assumptions that
explain the necessary
Thinking Process elements included connection.
17
Achieving the Solution
How to Cause the

Change?
DE
DE
DE
DE
DE
Key
Action
DE
DE
DE
Key
Action
Key
Action
18
Marital Strife
UnDesirable Effects
Lack of
Affection
Lack of
Trust
Infidelity
Unequal Workload
Little
Support
One Carries
Excessive Load
Frequent
Disagreements
Lack of
Compassion
Difference of
Opinion
19
Story - Trust
1. My spouse doesnt come home when I expect him (her).
This is happening more and more. The stories seem to be
weaker and weaker. I want to trust my spouse. But I dont
want to be hurt.
My spouse
feels free from
my bondage
I feel good
about my
marriage
I dont get hurt
I trust my
spouse at all
times
I dont trust
my spouse
20
Story - Support
2. My spouse is deeply involved in ______. He/she expects me to support
him/her by taking care of __________ while he/she is gone. I dont mind
doing it, but it leaves me little time for my own hobbies.
We use our
time well
My spouse can
do his/her own
thing
Give lots of
support
I have time for

myself
Give little
support

21
Story-Workload
3. My spouse is in a stressful job and at a critical point in his/her career.
It seems like this critical point is getting longer and longer. In the mean
time, I have to do my job and hold down the domestic duties too!
We both
Achieve
I survive
my Job
We balance our
domestic workload
My spouse
gets ahead

We have unequal
workload
22
Generic Conflict
(a consolidated Evaporating Cloud)
1. Feel Good
2. Use Time Effective
3. Achieve
Happy
Marriage
1. Spouse freedom
2. Spouse does own thing
3. Spouse gets ahead
My Spouse
is Happy
I am
Happy
1. Im not hurt
2. Time for me
3. I Survive
1. Trust
2. Support
3. Unequal work
My spouse does
what he/she wants
My spouse doesnt get

what he/she wants
1. Lack of Trust
2. Lack of Support
3. Balanced work
23
What to Change?
Core Conflict
Core Problem
Often, my spouse
takes second
place
I am often slighted
We have
different goals
There is pressure to
give my spouse does
what he/she wants
The things my
spouse wants
are important
to our
marriage
There is pressure not to

give what he/she wants
Our wants
are different
My Spouse needs
to be happy
I not happy unless

my spouse is happy
I need to be
happy
We want
a Happy
Marriage
I have real
needs
My personal
feelings are
important
24
The Current Reality Tree

Results of the Core Conflict
Infidelity
Loss of trust
Lack of Affection
Lack of Compassion
Time
Excessive burdens
continues
Unequal workload
Things need to be
done
Different people have
different levels of
importance
Lack of support
Frequent
arguments
Different Opinions
We have different
goals
25
A Potential Future
Desirale Effects (DEs)
We have a close We have complete
confidence
relationship
We share the
workload
We support
each other
Committed to
each other
Caring
Relationship
We share our
burdens
We rarely disagree
on important
matters
We really
understand
each other
26
Starting Injection
My spouse and I share
common goals, objectives
and direction in the important
aspects of our lives.
27
Start of the Future

We are working towards our
common goals/direction
Spouse is
working to our
common goals
My spouse
works
towards
spouses
goals
Im working to
our common
goals
We have common
goals, objectives
and direction in the
important aspects
My Spouse
of our lives.
needs to
I need to
be Happy
be Happy
I not happy unless my

spouse is happy
We want
a Happy
Marriage
I work
toward
my
goals
My personal
feelings are
important
28
More Actions Needed

We have complete
confidence
We share our
burdens
We rarely
disagree
We share the
workload
We have a close
relationship
We support
each other
We really understand
each other
We have a Caring
Relationship
We are working towards our

common goals/direction
29
A Possible Nice
Future Reality Tree
What to
Change to?
We have complete
confidence in each other
We share a
common set of
moral virtues
We have a close
relationship
We share our burdens
We rarely disagree
We have good
communication
We make it a point
to communicate
(good & bad)
We share the
workload
We really
understand each
other
We support each other

Caring Relationship
We are working towards

our common
goals/direction
We realize we need
each other to reach
our common goals
30

The Good Side
The Bad Side
My spouses
goals are
achieved.
Most of my
spouses goals are
our common goals
Im working to
our common
goals
My spouse
works
towards
spouses
goals
I cant achieve
my goals
Im not working
on my goals
My goals
take a lot
I am very of time
We have common goals,
objectives and direction in the busy
important aspects of our lives.

31

The Good Side
The Bad Side
My spouses
goals are
achieved.
Most of my
spouses goals are
our common goals
Im working to
our common
goals
I feel
goodachieve
about
I cant
my
myprogress
goals
I work on our
Im not working
goals AND my
on my goals
goals
My goals
My spouse
take a lot
works
am very
We have common goals,
IIwork
on of time
towards
objectives and direction in the busy
things I
spouses
I finally
important aspects of our lives. value
goals
prioritize
my life
32
OK, Injections, But HOW?

We realize we need
each other to reach
our common goals
We make it a point
to communicate
(good & bad)
My spouse
works
towards
spouses
goals
Create the PreRequisite Tree

(Ambitious Target Tree).
Practice on this Injection
We share a
common set of
moral virtues
We have common
goals, objectives
and direction in the
important aspects
of our lives.
I work
toward
my
goals
I finally
prioritize
my life
33
We share a common
set of moral virtues
Obstacles
Preventing
Intermediate
Objectives
Its a gray world out there.

(I cant tell right from wrong)
We dont want to change.
Values change according to
the circumstances.
We have different
backgrounds.
Our desires differ.
We both enjoy some moral
indiscretions.
34
We share a common set

of moral virtues
Obstacles
Preventing
Intermediate
Objectives
Its a gray world (cant tell right

from wrong)
We agree on common virtues
We dont want to change
We are willing to work on this
Values change according to the

circumstances
We agree on a common virtues
We have different backgrounds
We really know each other
Our desires differ
We share a set of common goals
We both enjoy some moral

indiscretions
We live our set of virtues in all

cases Thinking Process elements included
35
Sequencing the solution

(Structure of the PRT)
We share a common set of moral virtues
Its hard to tell right

from wrong
We live our set of

virtues in all cases
We agree on a common virtues

We are
different
We enjoy our
indiscretions
Our desires differ
We share a set of common goals
We really know each other
We dont know
each other
We really communicate
We dont
We dont want to
talk much
admit error
We subordinate
We recognize our
ourselves to each other
own frailties
36
Putting the Intermediate Objectives Into Place
The PreRequisite Tree exposed the Intermediate
Objectives (Milestones) needed for

But, How to We actually Get there?
How will, We Really Communicate?
For this, the Transition Tree gives the Step-by-Step
Approach to getting there.
We really communicate
We dont
We dont want to
talk much
admit error
We subordinate
We recognize our
own frailties
37
Working Upwards on a
TransitionWeTree
recognize (more
Spouses can be a
significant help and support
for dealing with problems
and more of) our

own frailties
We generally know about each

others mistakes that we try to hide
There are (and
should be) few
secrets between
spouses
We dont
talk much
We really
communicate
We recognize our
own frailties
<feed back loop

from up above>
We want to
improve
We, each, admit

(confidentially) to
some of our
problems that we
wish to eliminate
We, each of us, try to

hide our mistakes
We dont want
to admit error
We want
others to
We subordinate
ourselves to each respect us
other
Mistakes are
inevitable
We are
mortal
People rarely respect

people who make a lot
of mistakes
38
Working UpwardsWeon
a
subordinate
ourselves (more and
Transition Tree
more) to each other
Real love comes from

sacrificing self for the
benefit of others.
We are willing to do
some things that show
love to our spouse
We dont
talk much
We
We really
communicate
Loved
each other
We recognize our
in the past
own frailties
We need cooperation
(give and and take)
from both sides
We want to
improve
It is easier
to love
when
loved.
<feed back loop

from up above>
We, each, accept
we will do more
things for each
other than we are
currently doing
We need to resolve some

problems on both sides
Mistakes are
inevitable
Our marriage has

some strife caused
by each of us.
We dont
We desire
to want
love each other
to admit error
even more than we do now
We both have
made some
We subordinate
mistakes
39
Working Upwards on a Transition Tree

We are very
patient and
listen without
judgment.
We really
communicate
(more and more)
Neither of us
dominates the
discussion (for
too long)
We need to
talk more
We dont
talk much
We talk frequently
about our
successes together
We each mention
three good things
that are happening
in our lives
We really
communicate
Werecognize
want to our
We
own
frailties
improve
<feed back loop

from up above>
We subordinate
ourselves (more
and more) to
each other
We talk
frequently about
our challenges
We dedicate
time to spend
with each
other
We each mention
three problems that
we want to improve.
We dont want
to admit error
We recognize
We subordinate more and
more) of our
We dont talkourselves
much to each
other
own frailties
We both have
topics of interest
to each other
40
Working Upwards on a Transition Tree

We really
communicate
(more and more)
We each mention
three good things
that are happening
in our lives
We each mention
three problems that
we want to improve.
We, each, admit (confidentially)

to some of our problems that we
wish to eliminate
We dont
talk
much
We recognize
our own
frailties
We really
communicate
We dont want
to admit error
We subordinate
ourselves to each
other
We are very
patient and
listen without
judgment.
We dedicate
time to spend
with each
other
41
The Strategic/Tactic Plan for Marriage

S. Marital
Bliss
T. Love Each
Other
S. Focus on
the Other
T. Have
Common
Goals
S. Get
Along
T. Accept
Each Other
Communication
Forgiveness
S. Trust
Each Other
S. Spouse
Loves Me
T. Share
Moral Code
T. Take
Actions to
cause Spouse
to love me
Fidelity
Shared
Responsibility
Work at Marriage
42
The Evaporating Cloud
B. My
Need
D. What I
Want
C. Others
Need
D. What
the
Others
Want
A. The
Goal

43
Creating the Evaporating Cloud

1. What is it that I Want (that
Im having trouble getting)?
D. What I
Want
44

D. What I
Want
D. What
the
Others
Want
2. What is it that the Others Want
(that I dont want them to have)?
45

3. Why do I want what I want?
What Need am I trying to fulfill?

B. My
Need
D. What I
Want
D. What
the
Others
Want
46


B. My
Need
D. What I
Want
C. Others
Need
D. What
the
Others
Want
4. Why do the Others want what

they want? What Need do they
have?

47

5. What Goal do we
mutually share? Why
are we still arguing?

B. My
Need
D. What I
Want
C. Others
Need
D. What
the
Others
Want
A. The
Goal
Reading the Cloud:
In order to <point> I must
have <tail>.
4. Why do the Others want what

they want? What Need do they
have?

48
Communicating the
Evaporating Cloud
4. Point out that you also have a
significant Need.
1. Start the Mutual Goal.
It is common ground.
Both interested.
5. And you WANT to meet

your Need as well.
B. My
Need
D. What I
Want
C. Others
Need
D. What
the
Others
Want
A. The
Goal
Reading the Cloud:
In order to <point> I must
have <tail>.
2. Recognize you understand the

Others Need must be meet to
reach the Goal.
3. Acknowledge the Other side

Wants to act on meeting their
Need.
49
Lets Do Some Examples
B. Why I
Want It
D. What I
Want (to do)
C. Why the
Other Side
Wants What
They Want
D. What the
Other Side
Wants
A. The Goal

50

STUDENT
EXAMPLE
A. Get the
Customer
order
B. Make the
offer
attractive to
the
customer
D. Supplier
makes the
mold
C. Insure
the quality
of the
product
D.
Customer
makes the
Mold

51

STUDENT
EXAMPLE
Because: Money is
the ONLY motivator
Because: Motivated
employees deliver
more profit
B. Motivate
better
Performance
A. Make
more Profit
C. Control
Expenses
Because: Expenses
subtract from profit
D. Pay High
Salaries
Because: This will
create conflict with
the team.
Salaries are fixed.
D. Dont
pay High
Salaries
Because: Salaries are

a significant part of
expenses
52
Evaporating the
Evaporating Cloud
Assumption: All machines must
be keep busy all the time.
Assumption: We are
measured upon our
Production Level
A. Manage
Production
Effectively
Assumption: Our profits

are not high. Customers
demand on-time delivery.
B.
Produce a
Lot
D. Increase
the Work-InProcess
Assumption:
C. Keep
Costs and
Delivery
in Control
D.
Decrease
the Work-InProcess
We cant
increase WIP
and Decrease
WIP at the
same time.
Assumption: WIP is expensive.

High WIP delays flow time.
53
There is an Injection for Every Conflict
Arrow
AB
AC
BD
CD
D/D
Assumption
Productive
Cost Effective
Busy Machines
Expensive WIP
Cant do Both
Injection
Deliver Max Capacity
Price on Value
Keep Constraint 100%
Throughput Focus
Buffer Constraint only
Chosen Injection:
Focus on the Capacity Constrained Resource.
Release work to the system at the rate of the
Capacity Constrained Resource a Buffer Time in
Advance (no sooner, no later).
Use Buffer Management to improve the system.
54
Sometimes TOC Solutions Are Counter

Intuitive
DBR: To get more out, put less in.

CCPM: To finish project sooner, delay the Start.
CCPM: To be safer, remove the safety.
Replenishment: To get your products quicker to the
customer, store them farther away.
To Solve the Conflict, Ignore the conflict.
To Make More Money, Sell at below Cost.
If you cant find an injection, then just do what is
opposite of what everyone else is doing (and
then do whatever it takes to make it work).
55
Negative Branch Reservation Practice

Story Line.

I just had an exposure to the Negative Branch

Reservation Tool of the TOC Thinking Process.
I can remember parts of it (the Good Side, the
Bad Side part sticks out).
The class instructor now tells us to make a
Negative Branch Reservations as an in class
quiz.
Assignment.
Draw the Negative Branch Reservation and the
results of the trimming Injection.
56

The Good Side
The Bad Side
I draw a NBR Tree

57
We might
Miss it.
I Wont be
alone
We might
learn from
Each other

The Good Side
I Could look
The Bad Side
bad.
Two idiots
are better
than one
I learn better
how to do
the NBR
Get Help from

Each other
My NBR tree
may not look
good
Practice
I draw a NBR Tree

I will look
good!
I might be
called to
present
Im not too
good at the
NBR
58
PreRequisite Tree Practice

The AMBITIOUS TARGET:
To Learn the Evaporating Cloud, the Negative
Branch Reservation and PRT (Ambitious Target)
Tree in the next half hour.
What are the Obstacles?
What are the Injections?
59
Learn EC, NBR, PRT in

30 Mins
Obstacles
Preventing
Intermediate
Objectives

60
Learn EC, NBR, PRT in

30 Mins
Obstacles
Preventing
We are
preoccupied.
Intermediate
Objectives
Full
Time Call Concentration
We are sleepy (after lunch)
Coffee
Too many calls
Switch off (no distractions)
Details unknown to us
We Know the Details
Not enough time
Plenty of time
No writing materials
Write on White Board
Not willing to accept learning
We paid for this class!
Not motivated.
I really want to do this
Difficult, complex, hard
With the right materials, this is easy!

61
Sequencing the solution

(Structure of the PRT)
I learn the EC, NBR, PRT in 30 Mins
.
.
.
.
.
.
.
.
.
.
.
.
62
Categories of Legitimate Reservation

Used to Scrutinize All Logic Trees
First:
Clarity
Second: Entity Existence
The Effect
Third
The Cause
Causality
Cause
Insufficiency
Additional Cause
Cause Reversal
Predicted Effect
Tautology
This simple set of rules, which compiles all the key elements necessary and
sufficient for anyone to validate or invalidate logic, is one of Eliyhau M.
Goldratts significant contribution
thinking.
Washingtonto
State
University-2010
63
Resistance to Change
Why dont People Change?
Resistance to change is a good thing. It prevents
most un-needed changes.
People resist because they dont understand the
value of the change and / or see significant
negative branches without a way to deal with
them.
There are six basic layers of resistance and six
methods to overcome them.
64
Layer 1. Disagree on the problem

Solution: Agree on the problem (CRT)
Layer 2. Disagree on the direction of the solution
Solution: Agree on the direction of the solution (EC)
Layer 3. Disagree that the solution solves the problem.
Solution: Agree that the solution solves the problem (FRT)
Layer 4. Yes, But, there are potential Negative consequences.
Solution: Agree that the solution will not lead to any significant
negative effects (NBR)
Layer 5. Yes. But, there are obstacles to implementing the solution.
Solution: Agree on the way to overcome any obstacles that might
block or distort implementation of the solution (PRT)
Layer 6. Unverbalized fears
Solution: Overcome Unverbalized fears (TT)
65
Categories of Legitimate
Reservation: CLR Clarity
Expressing logic visually gives the opportunity
for scrutiny often missed when voiced only.
This is a pretty
little girls school
This is a small
school for girls
A School only for Pretty Girls?

Or, is it a Pretty School for young girls?
Or, just a very Little School?
Could it be a school for one particularly
Pretty Girl (you missed the apostrophe)?
Are there boys there too?
Does the building look particularly nice?
What is the enrollment?
66
CLR Entity Existence

A brand new
Lexus costs
$15,000
Operating costs
of the car are of
little concern
The exterior
appearance of the
car doesnt matter
There is free
maintenance for
100,000 miles
Entity Existence Reservation:
Do these things really exist in
your world?
67
CLR Causality
The Effect
I receive
20%
interest
I open a
Savings
Account
The Cause
Causality: Show me how the parts in the

Effect (at the point of the arrow) come from
the Cause (from the tail).
I need pants
like Joes
I need
a car
I become a
millionaire
I want to be
different
My roommate
has a car
I buy stock
There are problems with each one.

68
CLR Cause Insufficiency

Insufficiency Reservation: You
Need to do your Project well.
I get excellent
grades in Class
I turn-in
good
homework
Insufficiency Reservation: Your

Group needs to complete a
good Group Project too.
My Project
goes well
My Group
Project
goes well
69
CLR (More on Insufficiency)

Is it sufficient?
Not without the

Triangle!
70
CLR Additional Cause

Additional Cause Reservation:
I dont get
good Gas
Mileage
Additional Cause Reservation:
I drive too fast

My Truck is
large
I carry heavy
loads
Ah-Ha! We see an
area were
improvement is
possible.
71
CLR Cause Reversal

My Garage is
full of stuff.
My Garage is
too small.
My Garage is
too small.
The Garage didnt

create all the extra
things.
My Garage is
full of stuff
I cant get my
car in the
Garage.
72
CLR Predicted Effect

We dont
have enough
money
to pay our
bills
Our Income
is too
low
Others with the

same income
would not be
able to pay their
bills
We have too
many bills
The Most Difficult

CLR to use (you
have to think).
Predicted Effect Reservation:

If our income is too low, I
would expect to see most
people with the same income
unable to pay their bills.
And yet, I see lots of people
with the same or less income
paying their bills just fine.
Many others
with same or
less income do
pay their bills
We buy too
many things
we really dont
need
Discovery Happens!
73
CLR-Tautology Reservation
A Too Tight a Logical Loop
Too Tight
a Logic
Loop
10. There
is a
Chicken
A Longer Logical
Loop
Resolves the Age
Old Question
20. There
is an Egg
14. There is a
Male Chicken
16. There is a
Female Chicken
OR
Most Frequent
Logical Error!
11. A Male and

Female Chicken
can produce a
fertile Egg
20. There is a
fertile Egg
But, maybe
there were two eggs first!
74
CLR Tautology
The Cause is the Excuse
The Beavers
lost the game
The Effect
The Beavers are

a lousy team.
The Cause
Most Frequent
Logical Error!
The Circular Logic

of the Cause is
accepted because
of the Effect.
How do you know the Beavers are a lousy Team?

Because, they lost the game didnt they!
Whenever you hear, a BECAUSE,
that is the same as the Effect you have
a Tautology (bad logic).
75
CLR Tautology
Most Frequent
Logical Error!
The Cause is Hard to Define

The Circular Logic of the Tautology
The Beavers
comes from a Cause which is abstract;
lost the game
difficult to determine, define or quantify.
The Beavers are
So, too often the Cause is not
a lousy team.
challenged.
And, it seems the undefined Cause is
accepted because of the Effect.
To resolve the Tautology, the Cause needs to be something
that can be determined and challenged;
Not an Abstract Concept.
In this case, the abstract word is lousy. What does that
mean? We need another substantial meaning.
When the BECAUSE is ABSTRACT,
we need to dig further.
76
CLR Tautology: Searching

For An Alternate Connection
The Beavers are

depressed by their
mistakes
The Beavers
lost the game
The Beavers
face an easy
team
The Beavers may

are
a
not
lousy
be so
team.
bad.
The Beavers play
a lousy game
The Beavers
dont execute
well
Most Frequent
Logical Error!
The Beavers are

perceived as a
lousy team.
The Beavers
dont prepare
well for games
People feel
bad when
they make
dumb
mistakes
The Beavers are

in a slump
They are not
thinking clearly
77
How Do Tautologies
Happen?
They are
obstinate
They are
obstinate
They still
dont do it
I push them
hard
I push them
harder
I push them
I tell them
what to do
Most Frequent
Logical Error!
Cause for Tautology is

unanswered questions.
They dont
Do we every stop to
do it
think why they are not
answered?
Why dont people do
what they are told?
78
Hum?
Cause for the Tautology

Pre-Conceived Notion
Most Frequent
Logical Error!
In General, the most common error in Jumping to

Conclusions is the Tautology!
He wont
help us
He is a
jerk
They are Muslims

He is Black
They are Poor
Hes Indian
Sometimes a
Tautology is a
single statement.
Shes a Woman
Men!
They are Part of
Management!
Hum?
What is the underlying reason for these crude remarks?
79
Tautology is often a Knee Jerk

When we hear, BECAUSE (same as Effect)
When the BECAUSE is ABSTRACT
When the ABSTRACT is DEROGITORY
It is probably a Tautology Logic Problem
Basic Assumptions of the Theory of Constraints:
All People
Think
All People are
Good
Emotion is evidence of
passionate, logical thinking!
Every action is logical

(within the environment and in
accordance with the individuals
understanding of their ability to
change the environment)
80
Practice Correcting a Knee Jerk

They are Part of
Management!
=>
Why Should they?

Im important
I do a good job
Management must
be dealing with
some very serious
needs
Im glad its not me!
Management is
Incompetent
Management
Ignores me
I dont get
what I need
Management
Doesnt
Respond
I am not the
systems
problem
Management
Doesnt
Listen
Managements Role is to
oversee systemic
performance
81
An Additional TOC Insight

Systems are Inherently Simple
System A
System B
E=MC2
In free markets, economic stability is
controlled by the Interest Rate.
82
Look for a Simple Solution!

I cant do
my
homework
The
homework
is too hard
Did you ask
anyone for
clarity?
No.
I dont know what the words mean

I dont understand the problems
I dont understand the book
Its too complicated
Lecture doesnt make sense
I cant see the connections
There are too many concepts
83
Thinking Processes
The Goal: Improve Systems (Remove UDEs)
The Measure: Number, Scope and Severity of Problems
The Constraint: Core Conflict
UDE
UDE
UDE
UDE
UDE
There once was an old System
UDE
That lived in a shoe.
UDE
That had so many UDEs
UDE
UDE
UDE
It didnt know what to do
UDE
UDE
UDE
UDE
UDE
UDE
UDE
UDE
UDE
84
Thinking Processes
The Analysis:
The Paradigm Shift: Cause the
Erroneous Assumption to Go Away
(Fix Rules, Measures)
Let the System Behave Correctly!
85
Thinking Process Results

Problems Go AwayAre Replaced By Desirable Entities!
Conflicts can be Resolved.
Negative Branches should be Trimmed.
Be James Bond -- A Few, Rightly
Placed Injections can Make Dramatic
Improvement!
We can achieve Ambitious Targets
What do we learn
here to apply to
Daily Lives?
Communication is Greatly Improved!

Buy-In Happens!
86
Thinking Processes
Lessons Learned
There are Answers -- Dont Despair
Look for Cause-->Effect Relationships
Think Clearly
Clarity, Causality, Insufficiency, Additional Cause,
Predicted Effect, Cause Reversal
Dont Accept Compromise (No Win-Lose or

Lose-Lose)
Learn to find Breakthrough Injections

A Cloud-A-Day keeps the Conflict Away
Become Justifiably Self-Confident

Enter a Complex World, Find the One Spot that
Needs Fixing, Fix it.
Then, Look for Washington
the Next
Spot to Fix
State University-2010
87
Next Topics
TOC Thinking Processes
TOC Applications
Operations
Project Management
Replenishment
TOC Finances and Measures
Some TOC Philosophy will be blended into these

additional topics.
88

TOC Thinking Processes

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The Theory of Constraints

Fundamental Exam Review

TOCICO Segmented Fundamentals Exam

Washington State University-2010

Topics in TOC Thinking Process

Cause and Effect

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TOC Thinking Process Elements

Logical Causality Tools used to Answer the three

TOC is a Systemic Thinking Process.

There are a set of rules to guide and check validity.

Everyone Can Think

Lower the Ball yet

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The Real World

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and running and running

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How Many Thoughts did you

How many of those

Improving our Mental Throughput

dont have to deal with individual thoughts

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Washington State University-2010

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Thinking Process Tools

Lets examine a Thinking Process Example.

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First the Approach: The Thinking

Find the cause of

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Arrows are Logical

Find Whats Blocking the Solution

Arrows are Logical

Injection that invalidates

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Achieving the Solution

How to Cause the

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I have time for

Thinking Process elements included

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Thinking Process elements included

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My spouse doesnt get

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There is pressure not to

I not happy unless

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The Current Reality Tree

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Start of the Future

I not happy unless my

More Actions Needed

We are working towards our

We support each other

We are working towards

Negative Branch Reservation

The Bad Side

Thinking Process elements included

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Negative Branch Reservation