CM (Constraints Management) uses new concept of Pareto management (for the 99:1 rule) for continuous improvement. Essentially it follows the strategy of focusing on the set of activities that have the greatest influence on value of flow ( value stream).
On the other hand, TQM tends to be introduced globally but it does not means it work based on holism approach . In practice, CM does not completely invalidate this approach. However, from a management perspective it means the company needs to focus and do its best effort where the greatest return will be gained (ROI).
With all this said, it is important to emphasize that CM tends to be or start with an operational management system. Some people believe that with CM , Long-term strategic value is not handled very well , because CM is designed to respond to immediate market prices, not long-term value.
I DON’T AGREE WITH THIS COMMENT BECAUSE CM HAVE TWO SIDES (PHISIC OR LOGESTIC SIDE & MANAGEMENT MODE OR NONPHISIC SIDE) AND CM CAN’T WORK WHEN MANAGEMENT MODE OR ON THE OTHER HAND , WHEN YOU ARE ABLE TO APPLY AND IMPLEMENT A METHOD VERY WELL ,THAT IT BE WELL-FITTED WITH ORGANIZATION STRATEGY.(YOU CAN FIND EVIDENCES THAT APPROVE THIS ISSUE WHEN CM FAILED DURING IMPLEMETATION.)
Thus this point ; ‘know your business in two sides and find they are well-fitted or not’ is very important here. However, the success of CM when properly applied cannot be considered.
When immediate results are needed, CM is the approach to use. But it needs to be carefully monitored and managed to insure long-term value is not threatened. (Any change must be carefully monitored and managed to insure success.)
The key difference between CM and traditional views of management is to shift the focus from ‘cost and partial management’ to ‘value and holistic management’. This named , moving from the ‘cost or partial world’ to the ‘value or holistic world’.
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