26th International Conference of the TOC Practitioners Alliance - TOCPA www.tocpractice.com
19-20 May 2016, Fukuoka, Japan
Development of
TOC Thinking Processes and their application for companies & individuals Oded Cohen & Jelena Fedurko Estonia & Israel TOC Strategic Solutions tocExpert 19 May 2016
Oded Cohen Oded has over 35 years of experience in developing, teaching and implementing TOC methodology, solutions and implementation processes working directly with Dr. Goldratt all over the world. Among the countries to which Oded brings his expertise are the USA, Canada, Japan, India, China, the UK, Poland, Russia, Ukraine, Colombia, Chile, Peru, Turkey and many others. Oded has authored multiple TOC contributed to numerous TOC books.
articles
and
Oded is the author of Ever Improve – A Guide to Managing Production the TOC Way, published in June 2010. Oded co-authored the book Deming & Goldratt: The Theory of Constraints and the System of Profound Knowledge – The Decalogue. Together with Jelena Fedurko Oded has co-authored the book Theory of Constraints Fundamentals. Oded is International Director of TOC Strategic Solutions Ltd and Founder and Co-President of TOCPA. www.tocpractice.com
[email protected] www.tocexpert.com www.toc-strategicsolutions.com www.tocpractice.com
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Jelena Fedurko Jelena Fedurko is a Co-Founder and Co-President of TOC Practitioners Alliance TOCPA and International Director of TOC Strategic Solutions. Jelena has been involved in TOC since 1999. She is a TOC expert, trainer and consultant, and provides TOC implementation support in production, supply chain and project management. Jelena has worked in various countries all over the world, including Japan, Poland, Germany, Switzerland, Turkey, Italy, Russia, Ukraine, India, China, Chile, Colombia, Mexico. Jelena is the author of four advances books on TOC Thinking Processes: Behind the Cloud (2011), Through Clouds to Solutions (2013), Typical mistakes in working with TOC Logical Tools (2014), A Good Strategy & Tactic Tree (2016). Together with Oded Cohen Jelena has co-authored the book Theory of
[email protected] Constraints Fundamentals (2012). She has contributed www.tocexpert.com to a number of books on TOC, and has many www.toc-strategicsolutions.com publications. Jelena translated and edited several www.tocpractice.com major TOC books. www.tocpractice.com
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What is unique about TOC? 1. Search for a logical reasoning The use of Cause & Effect relationships to structure our thinking, record our analysis and understand the suggested solution for any problem (based on Convergence) 2. Resolve conflicts A strong belief that there should be no conceptual conflict within our reality – hence – striving to find a win-win solution to any perceived “no solution situation” (Local & Global) 3. Seek for collaboration and contribution The use of TOC logical tools logic to communicate to ourselves and thereafter to the team with the view of working together to achieve the desired improvement (based on Respect) www.tocpractice.com
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Development of TOC Thinking Processes
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Brief History of the Development of The TOC Thinking Processes 1983 – The realization of the Green Curve & Red Curve of improvement patterns 1985 - The use of Cause and Effect (C&E) in Negative Trees (for problems) and Positive Trees (for the solutions) End 1985 – Strategy & Tactic structure (discontinued) 1986 – the formalization of the 5 steps of focusing 1987 – the “Jonah Program” (production based) 1990-1992 – the development of the TP Map: CRT – Current Reality Tree Core Cloud FRT – Future Reality Tree PrT - Prerequisite Tree TrT – Transition Tree www.tocpractice.com
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Brief History of the Development of The TOC Thinking Processes 1993 – Clouds for individual’s problems 1995 – MSW – Management Skills workshops – Daily TP 1995-1997 – TP maps for the TOC Logistical Solutions 2001 – Strategy & Tactic Tree – round 2 2006 – S&T Tree formalized 2006 – The U-Shape 2007-2009 – Standard S&T trees for DCE 2008-2010 – Formalizing sets of injections for standard solutions 2008-2010 – Injection implementation knowledge – Ever Improve 2011 – Mistakes and Rules for Working with Assumptions – Behind the Cloud 2013 – Working with UDEs and UDE Clouds for system analysis – Through Clouds to Solutions 2014 – Mistakes and Difficulties in working with TOC Logical Tools 2016 – A Good S&T Tree www.tocpractice.com
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Using Thinking Processes Tools
To create and enhance thinking/learning skills To gain better decision-making To handle dilemmas and conflicts with more confidence and better outcome To assist in evaluating conditions for achieving a desired outcome To assist in relationship between subordinates and bosses
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6 Layers of Resistance to Change Disagreement on what the problem is Disagreement with the direction of solutions Disagreement that the solution will bring the desired benefits
Application of the TOC Thinking Processes
1. 2. 3.
Yes, but… 4. Fear that the solution will result in negative consequences (Risks) 5. Obstacles to implementation seem to be impossible to overcome 6.
Say “Yes” and do nothing
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TOC Logical Tools for building thinking skills www.tocpractice.com
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Major Thinking Skills •
•
•
•
Comprehension – understanding the meaning, interpretation, ability to state a problem in one’s own words (while knowledge is ability to recollect and reproduce data and information) Analysis – breaking down material/concepts into components to detect relationship among the parts or the parts and the whole (requires comparing and contrasting); distinguishing between facts and inferences; recognizing logical fallacies in reasoning Synthesis – forming a whole through building up/connecting elements to create a larger and more coherent pattern Creative thinking – ability to devise innovative solutions
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Comprehension COMPREHENSION is ability to understand the meaning, interpret, and state a problem in one’s own words.
The Cloud Understanding and verbalizing the situation in which a person or a system is caught between two mutually exclusive actions or modes of behaviour. B A
The common objective achieved by having B and C
The need that is satisfied by the action in D
D
Action 1
Conflict C
D’
The need that is satisfied by the action in D’
Action 2
In the Cloud we state what for we want to take an action, and what for we want to satisfy the need. With that we claim that if we do something – it will give us a certain effect. www.tocpractice.com
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Cloud – Example Dilemma of a Sales Director
D
To achieve what?
A
Ensure smooth To achieve functioning of the company what?
B
D
Prevent discipline deterioration in the sales department
Fire “the star” sales person
C
D’
Retain key accounts
Do not fire “the star” salesperson
To achieve what? www.tocpractice.com
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Comprehension What keeps this Dilemma in place?
Assumptions behind the arrows in the Cloud B-D: Seeing no punishment of the “star” sales person, the other sales people will do the same.
A
Ensure smooth functioning of the company
B
D
Prevent discipline deterioration in the sales department
Fire the “star” sales person
C
D’
Retain key accounts
Do not fire the “star” sales person
D-D’: I cannot predict the response of the key accounts to firing “their” sales person
C-D’: The key accounts buy from the company not because of the product, service, or reliability, but because of the “star” sales person. www.tocpractice.com
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Comprehension The Negative Branch Understanding and verbalizing possible negative outcomes of a decision/action. Possible negative outcome will happen Exists/ will happen independently
will happen
Exists/ will happen independently
will happen
Exists/ will happen independently
Decision/action www.tocpractice.com
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Analysis and Synthesis
Analysis – breaking down material/concepts into components to detect relationship among the parts or the parts and the whole (requires comparing and contrasting); distinguishing between facts and inferences; recognizing logical fallacies in reasoning.
Synthesis – forming a whole through building up/connecting elements to create a larger and more coherent pattern.
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Analysis and Synthesis A major TOC tool to assist with Analysis and Synthesis – the U-Shape
DE UDE
DE UDE
UDE
DE
DE
UDE
DE UDE
UDE
D B
D’ C A
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High Performance Measurements
NBRs
DE
TOC Injections
PIVOT
TOC
Future Reality
Current Reality
Low Performance Measurements
TOC direction of solution
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Creative thinking Creative thinking – ability to devise innovative solutions. Major TOC tools to assist with Creating Thinking:
B
Injection
A
• Developing Injections to the Cloud
C Possible negative outcome
• Developing Supporting Injections to trim identified Negative Branches
+ Supporting Injection
+ +
Injection www.tocpractice.com
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Is there any difference between • the full set of TOC TP, • the TOCfE’s tools, and • the Management Tools? www.tocpractice.com
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In which areas there is
NO difference • NO DIFFERENCE in the basic assumption – they all proceed from the same understanding of the governing role of cause and effect in the behavior of systems and individuals • NO DIFFERENCE in the source – they are all “packages” of the TOC TP www.tocpractice.com
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In which areas there
ARE DIFFERENCES • The width – how many TP tools each ‘package’ contains • The depth – the level and the amount of detailed work and precision required • The practical purpose – for what ‘the packages’ is used www.tocpractice.com
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TOC TP – Jonah – TOCfE – TOC Management Tools (MT) •
• •
•
Full TOC TP – The full set of thinking processes tools for dealing with all problems and managerial challenges: Dealing with comprehensive and strategic issues as well as daily and local issues. The Jonah Program – is geared towards recording the current reality to present or discover a system solution. TOC for Education – focuses on TACT – Thinking And Communication Techniques with the view of developing skills and applications of 3 basic TP tools: clouds, NBRs and ambitious targets (a variation of IO maps). TOC Management Tools – lays the foundation for the rigorous construction of the basics of TP especially in the proper use of raising assumptions and finding injections. It starts with daily problems and progresses to a full system solution th
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NOT IN COMPETITION! Why a person who has studied and uses one specific ‘package’ will benefit from learning other packages: A Jonah or a person who is working with TACT (TOCfE) will enjoy 5 level TOC Management Tools (MT) – because of the new detailed knowledge and practical techniques on: -
Typology of mistakes in building clouds (MT-1)
-
Different patterns of constructing different cloud types (MT-1)
-
Typology of mistakes and sets of rules for working with Assumptions (MT-1)
-
Typology of mistakes working with UDE Clouds (MT-1)
-
Consolidation process in the 3-UDE Cloud method to develop a Core Cloud (MT-1)
-
Necessity and Sufficiency Logic in logical trees (MT-2)
-
Solving a two-sided conflict cloud by converting it into a series of inner dilemma clouds (MT-3)
-
Building a good Strategy and Tactic Tree (MT-4)
-
Algorithm of checking and validating justification for decisions (MT-5)
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NOT IN COMPETITION! Why a person who has studied and uses one specific ‘package’ will benefit from learning other packages: A person who has completed TOC MT programs of different levels will enjoy • a Jonah program - because of the deep immersion into their specific area of system analysis, • studying TOCfE tools – because of learning the specifics of transferring the knowledge of basic TP Tools in the educational process and ability to impact a learning process of children and adults.
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The Management Tools Strategy: Management enhance their ability to improve the performance of the system under their responsibility Tactics: Management employ the TOC Management Tools Mindset & Basics
Current Reality
Future Reality
Transition
POOGI
Commitment to Logic based Management
Understanding the problem
Establishing the Solution
Implementing the Solution
Continuous Improvement
WHAT to Change
What to Change TO
HOW to Change
How to Grow
• U-Shape
• UDEs
• Pivot
• C&E
• UDE Cloud
• Direction
• CLR
• Consolidated Cloud
• Injections • DE
• Detailed plan
• Core Cloud
• NBR
• S&T
• CRT
• FRT
• Inner Dilemma/ Conflict Cloud
• Ambitious Target
• Fire-Fighting Cloud
• PRT
• Inner Dilemma/ Conflict Cloud
Copyright © 2016 by Oded Cohen & Jelena Fedurko
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