Part months. The main story is about a

Part 1: Summary 

1.     Book
introduction

Critical
chain is a novel written by Eliyahu Goldratt. It is a book which act as a know
how to guide for aspiring project managers in industry. It was published by the
North River Press on 4th September 1997. The book has many real life
examples which help us to understand the the theory of project management in a
more realistic and engaging way.

 

2.    
Primary/Core idea of the book

The book
revolves around many philosophies and tries to highlight key concerns in
current practices and system.  It
attempts to bring a difference in the educational systems for better
understanding of change in business world. The novel effectively points out the
problems regarding how time estimates are normally carried out on projects. It
also tries to explain the concept of Theory of Constraints with an example of
its implementation in a steel mill. It further shows the application of topic
Theory of Constraints and how it can be incorporated in case of multiple projects,
create easy generation of schedule and manage resources constraints.

 

3.    
The story

The story
begins with the details of activities occurring at company of name Genemodem .
The management over there is demanding to reduce  the process of the product development
because they believe that if they did not do that then they would lag behind
the market. They decide to hire 3 managers(young). One from the development,
one from finance, and one from marketing department. They are given responsibility
to find a method to reduce the lead-time of product development. Their mission
was to shorten their current project of 2 years to 6 months.

The main
story is about a person named Rick Silver. He is a young associate professor of
business. He is apparently struggling to create an impact and make a noteworthy
contribution to the academic world in field of project management. He seeks to
get a tenure and is in need of publications. He desperately wants a tenure
because he is facing personal and financial problems at home , which he thinks
can be resolved if he gets the tenure.

But the
university manger B.J. decides to reject new tenure applications, including that
of Rick Silver’s to avoid financial disaster as she realized that MBA
programmes are not giving desired value to students. Now rick has to teach
project management course to those recruited 3 young managers from Genemodem. .He
is a very good teacher and conducts interactive learning in his lecture to his
students at Executive MBA class.

In first
class, Rick lectures about introduction to term “project”and its stakeholders.
He tells his students the famous story of Stat Oil project and Norwegian oil
company. He also shares about the tunnel channel train project running between
England and France which faced major cost overrun.

In the
second class, Rick and his students conclude that there exists a repetitive
system regarding justification given for project delays. They notice that top
level management members usually blame the forcast, the supplier or the policies
of government while lower-level management blames people inside the company for
delay. In the next class, they begin to sketch figures of what a project should
appear. They also learn how a project manager should monitor progress and be
always focused. Later on, they attend a seminar and happen to meet professor
Johnny Fisher who enlightens students with knowledge on what is required in a
managers to do well and he divides his philosophy into two types which are
controlling of costs and protecting throughput. They discuss upon the current
procedure of measuring success at a work and shows how it is in contradiction
with success measured at line of production. They explain principle steps
involved in theory of constraints. They agree to the point that the critical
path is the constraint in project management. The solution that they found to
decrease lead time on Genemodem project is to decrease time for each critical
path steps by 50% The time that is saved by cutting each step by 50%is added to
the end of path and the terminology used to describe it is project buffer.
 For  non-critical path cut the
steps of estimated original time  by 50%.

In the end
the university is able to find solution . And hence professor rick silvers
financial as well as personal problems also resolve.

 

 

 

4.    
Review of the book

By giving
real life examples and its analysis, we get to learn about the theory of
project management in depth. We are also highlighted upon concepts of resource
bottlenecks, multiple project resource constrain, cost of money, bell curve,
median etc. The book also points out issues in current education system like
student syndrome, not claiming early competition and multitasking inefficiency.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

REFERENCES

www.linkedin.com/pulse/critical-chain