“We should do it because it’s more efficient.”  Well, perhaps not.  Do you mean it’s more locally efficient or more globally efficient?

 

In this talk, we’ll discuss the differences between local and global efficiency and how “it’s more efficient” is often times a fallacy that will lead to poor results.  We’ll look at the positive effects of optimizing for the whole (i.e., global optimization) and how to know where in the system to look in order to do that.

 

This talk will introduce the basics of Systems Thinking and Theory of Constraints so that participants are familiar with the concepts and continue their learning afterwards.

 
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Outline/structure of the Session

  1. An example of local vs. global efficiency / optimization
  2. The negative effects of optimizing for local efficiency
  3. The positive effects of optimizing for global efficiency
  4. What part(s) to optimize to achieve global efficiency
  5. Counter-intuitive implications of optimizing for global efficiency vs local efficiency

Learning Outcome

Participants will leave with an understanding of:

 

  • The importance of optimizing for the whole (global optimization) vs optimizing for a part (local optimization)
  • Local and global efficiency
  • Where in the system to focus to find the right pieces to optimize and gain the most global efficiency

Target Audience

Everyone who does work

schedule Submitted 11 months ago

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