Operating expense describes the money required to turn inventory into throughput. Inventory describes the money contained in that system as raw material or equipment. Throughput describes how much money a manufacturing system makes from sales. Alex needs to figure out whether the plant is making money, so he must measure throughput, inventory, and operating expense. Lou agrees but thinks they need metrics for measuring their goals.Īlex calls Jonah and asks for help. Alex discusses this idea with Lou, his chief accountant. Jonah advised Alex that if he wanted to be successful, then he should figure out what goal his business is trying to achieve, and anything else can be measured by whether or not it helps accomplish that goal. He remembers advice from Jonah, an old mentor who had told him two weeks ago that if Alex were ever in trouble with the plant, all he would have to do was talk about it and Jonh would immediately be able to tell what problems it has.

However, when he goes home that night after working all night long at the office like usual without seeing his wife Julie much lately because she gets upset about their relationship not being as close as they used to be since he works so much more than before this upsets her even more since she wants them both to spend time together more often now that they’re married and going on two years of marriage and three kids later which makes her feel neglected but she knows how hard Alex works for UniCo so she does understand why he needs to work so hard but still wishes things would change between them again soon or else there might be trouble in paradise between them when one can’t give 100% attention towards another person due to having too many other responsibilities pulling you away from each other…Īlex is at a meeting of his division when he realizes that no one seems to know how to manage the manufacturing process. Alex manages to get everything together with some help from Bob (his production manager). If Alex doesn’t turn the business around within three months, then his boss will shut down the company. Alex’s boss tells him that they have an important order to ship and it has to be done by evening. One day, he arrives at work to find his corporate division manager, Bill Peach, waiting for him. 1-Page Summary of The Goal Overall SummaryĪlex Rogo is a manager of a manufacturing plant in the United States.

The goal eliyahu goldratt summary isbn