What is Velocity?

Velocity is the title of the business novel recently published by Free Press that I wrote in concert with Dee Jacob and Suzan Bergland of AGI. Velocity is also the name of the the logic-based discipline that uses the Theory of Constraints (TOC) to create a strategy that applies Lean and Six Sigma (as well as TOC itself) in ways that bring about true systemic improvement.. Like TOC, Lean and Six Sigma have been around quite a while, and they offer powerful methods for improvement. But Lean and Six Sigma (now often referred to jointly as “LSS”) are often applied in ways that have no positive impact to the system as a whole. They eliminate or reduce waste, but they usually fail to increase throughput, the measure of whatever the organization is supposed to produce (e.g., profit).
And the so-called “balanced line,” which Lean sees as being perfection, is in fact the cause of more problems than it solves.

In the novel, newly appointed interim president Amy Cieolara is obliged by mandate from her corporate superiors to implement Lean Six Sigma at her company, Hi-T Composites, with the aid of LSS expert Wayne Reese. A smart and sincere guy, Wayne is an LSS true believer who takes on the improvement mission with real passion. As counterpoint to Wayne is “Murphy” Maguire, a crusty production manager educated in the school of reality who uses a homegrown TOC method to get things done. Not to give away the story, but Wayne and Murph come to be at odds with each other early on. Wayne knows his theory and his toolsets, but Murphy knows his plant. Meanwhile, somewhat beyond the control of both of them, there is a company research unit called Formulation & Design whose own incentives and “professionalism” create a chain of undesirable effects that wreak havoc on the production side. It’s only when Amy and her crew start examining the system as a whole, and see how the components of the total system interact with each other, that they understand why the balanced line will never work, where to apply Lean and Six Sigma so that they really do great things, and why “excess” capacity is in fact vital.

Velocity, the book, covers a lot of material in its 310 pages of story. We go deeply into why a system constraint is desirable and even necessary to optimum performance in most real-world systems, exactly the opposite of the widely held view that constraints are “bad.” We put together in the text a number of what my co-authors call Reality Trees, in order to see the causes and effects of dysfunctional policies, and then to build a logical path from the problem-plagued current reality to a vastly improved future reality. We explore practical methods to improve work flow in both production and professional or service organization. We look at some very innovative ways to manage inventory according to actual demand. And the careful reader will pick up much, much more. In fact, I think we even do a pretty good job of showcasing Lean and Six Sigma, such that you don’t have to be an expert in either (or in TOC) to understand what they are about. So you really get your money’s worth in this book.

I’m told that Velocity is quite realistic, which is gratifying because I worked hard to write it in a way that would accurately depict what managers and improvement professionals have been struggling with. If you pick up a copy, be sure to read the brief, four-page introduction. It serves as a foundation cornerstone for why the book is written the way that it is.