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Reaching the Goal: How Managers Improve a Services Business Using Goldratt’s Theory of Constraints by John Arthur Ricketts

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7. Finance and Accounting

Decision-Making in Services

Previous Throughput Accounting

State of the Art

Throughput Accounting for Services

Financial Measures

Performance Measures

Resource Measures

Decision-Support Measures

Control Measures

Service Mix Decisions

Impact of Throughput Accounting for Services

Summary

Endnotes

As covered in previous chapters, various applications of Theory of Constraints for Services (TOCS) can be used to manage resources, projects, and processes. These are the basic building blocks for services on demand. However, effective constraints management requires different information than many services enterprises have used before. And none of the TOCS applications covered previously deal with investment ...

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