Monday, October 13, 2014

The Goal





A best-selling business book from the 1980s and new edition in 2004, The Goal by Eliyahu Goldratt, claiming to have sold 3 million copies!  WOW.  The book is told in “story” format of Alex, a local guy who makes it back to Bearington (state unknown) to run a local manufacturing plant. The plant is hitting hard times, losing money month after month.  When he is given an ultimatum to turn the plant around in three months, Alex and his management team try to learn how to do so by employing an old business professor Jonah, who is a physicist, to explain the concepts of “learning your goal!”  Sounds pretty easy, but as the good professor continues to explain during each phone call or face-to-face, it is much harder to do than originally thought.  Alex simultaneously is faced with his wife leaving him as he is never around to spend time with her, mainly because he is working long hours.  Alex’s life is a shambles and it is only through methodic review and contemplation, and some lessons taught by his children, does he and the management team start to turn the place around.  Alex is able to turn the monthly loses into a 3% profit and finally up to a 12% profit in month three.  The plant is saved, though each chapter brings along a new challenge for the team.  In the end, the evil regional director doesn’t keep his promotion and Alex gets the promotion!!!  And Alex and his wife also reconcile when they both learn that they need to find the “goal” of their relationship.  Alex gets to bring members of his team to oversee the region and they jump right into the next challenge and of course continue to engage Jonah!  In many ways the book seems a bit outdated to me, but does give the reader the application of how to review the inputs and outputs in running organizations.  I guess in its time it probably represented the best thinking that was out in the industry, but now I think there are many other org leadership and org production books that probably do the same thing. The storyline was compelling and did keep me turning the pages.  The 20th anniversary book includes interviews from management leaders across the globe reviewing the book and the concepts learned by the experts.  No down side in reading it if you want to go into production or management of any type.

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