Drum Buffer Rope suite claimed first for Goldratt jumpstart offer

Radical productivity and profitability improvements initially in manufacturing production, but soon also in supply chain operations, warehousing and distribution, are being offered on a risk sharing basis by enterprise software developer Lilly Software in association with Theory of Constraints (TOC) consultancy the Goldratt Institute and Constraints Management Group (CMG). Dubbed Visual Power Boost, Lilly’s initiative includes training in the strategic and tactical application of TOC by Goldratt consultants, as well as the firm’s new Drum-Buffer-Rope and buffer management software Visual DBR, part of Lilly’s latest release of its Visual Manufacturing ERP, now at version 6.2.8. DBR differs significantly from most planning methods in that it aims to maximise the use of the single, most heavily-loaded resource, rather than all or even most resources. It has an undeniable track record of greatly simplifying production planning and scheduling, slashing lead times, inventory and work in progress while dramatically improving throughput as latest material release and fastest product flow become dominant management criteria. Lilly says its Visual DBR supports the practical application of TOC, including the setting up and maintenance of inventory buffers in front of critical resources to ensure the availability of finished goods, stocked sub-assemblies, and raw materials to meet lead time and customer service requirements. Lilly Software’s Visual Power Boost is being offered in the spirit of Eli Goldratt’s ‘Necessary But Not Sufficient’ guide to taking TOC throughout manufacturing businesses. Says Goldratt: “I have known Dick Lilly for over 20 years. He is one of the few people in the field of ERP that I truly respect. That is the main reason that after I understood how software and concepts should be bundled to give fast and large results, I turned first to Dick. “I was not surprised that he fully understood my approach and immediately decided to invest in enhancing his software – and his company – to enable his clients a quantum jump in performance.” Lilly adopted TOC principles to run its own business, using Critical Chain Project Management (CCPM) to plan and achieve on-time delivery of new software releases. Says Michael Lilly, vice president: “Visual DBR helps companies create protected schedules to ensure they deliver customer orders by their promise dates, 99.9% of the time. It is a solution that works across all industries in make-to-stock and make-to-order production. But companies must agree to fundamentally change their business operations when they implement this solution.” If the experience of early adopter Bescast, a precision investment casting company based in Willoughby, Ohio in the US, is anything to go by, this is certainly worth investigating. Says Bescast president Lee Watson “We started the TOC training last October. We’ve been moving ahead with Visual DBR since the beginning of December and we’ve already experienced significant improvements. We’ve seen an increase in shipments and a decrease in our delinquent order backlog. “I believe this TOC management strategy will support our business indefinitely. It will help us deliver on-time, every time, and bring us increased financial performance. We now understand our constraints and the employees are developing their skills and working together to execute this business change.” Lilly says it expects to release additional Visual TOC products “in the near future” to help users use TOC to manage projects, distribution warehouses, and replenishment and supply chain collaboration.