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The Goal

by Eliyahu M. Goldratt and Jeff Cox Michael Sharp BA 764- Operations Management Dr. Thomas W. Garsombke Summer Semester July 16, 2001The Goal- E. Goldratt, second revised edition, 1992- The North River Press PublishingCorporationPrecis:In presenting the analysis of The Goal by Eliyahnu Goldratt and Jeff Cox, themajor points and ideas that were examined mainly included what the goal of anycompany should be, which the answer is to make money. The book is about transformingmanagement in the business world. How to rethink the old rules of business are presentedby Goldratt. This novel centers around the theory of constraints, as an overall philosophyapplicable to running and improving an organization. The author gives three methods touse simultaneously inorder to accomplish the goal of making money. Whatever thenature of the business increasing throughput, decreasing inventory and decreasingoperational expense are the parameters on which a manger should contend with to gaincontrol and meet the goal. The book tells a story that incorporates these parameters inwhat turns how to be an informative and entertaining novel.Goldrattr’s uses a fictional story to develop the techniques of Total QualityManagement. He uses a production plant with the main character of the book being theplant manger to illustrate the philosophy of TQM. By telling a story about this plantmangers journey of reaching the goal of his plant to keep it from closing its doors due topoor output, the author explains and examines the thinking process in specific functionalareas such as sales, marketing, logistics, finance and accounting. The author’s purposefor writing such a book, is to explain that common sense techniques needed tounderstand the concepts on how to apply these tasks in management and be successful atthe same time. The target audience for such a lesson is any m...

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