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This document outlines the fundamental concepts underlying the BoxFresh app's implementation of the Theory of Constraints (TOC) for inventory management.
The BoxFresh app implements Eliyahu Goldratt's Theory of Constraints (TOC) for inventory management. TOC is a methodology for identifying the most important limiting factor (constraint) that stands in the way of achieving a goal and then systematically improving that constraint until it is no longer the limiting factor.
- Identify the Constraint: Locate the bottleneck in the system that limits overall throughput
- Exploit the Constraint: Make the most efficient use of the constraint without major changes
- Subordinate Everything Else: Adjust all other activities to support maximum effectiveness of the constraint
- Elevate the Constraint: If necessary, make major changes to break the constraint
- Repeat the Process: Once a constraint is broken, identify the next constraint and repeat
In the BoxFresh app, inventory containers are treated as capacity-constrained resources. The system tracks:
- Container Capacity: Each inventory container (Inventory__c) has a maximum capacity measured in capacity units
- Material Consumption: Each material stock item (Material_Stock__c) consumes a portion of its container's capacity
- Buffer Management: The system maintains buffer zones to prevent constraints from impacting service delivery
The BoxFresh app uses a three-zone buffer system:
- Red Zone (0-30%): Danger zone indicating critical capacity shortage
- Yellow Zone (31-70%): Buffer zone providing optimal protection against disruptions
- Green Zone (71-100%): Excess capacity that may indicate inefficient resource allocation
The buffer status for each container is tracked in the Buffer_Status__c
field on the Inventory__c object.
The Assignment__c object serves as a central junction between:
- Contracts: Core_Contract__c and Order__c objects representing customer agreements
- Resources: Resource_Unit__c and Resource__c objects representing service delivery resources
- Inventory: Inventory__c and Material_Stock__c objects representing available materials
When an assignment is created or modified, the Capacity Check Flow validates whether the necessary inventory capacity is available:
- Capacity Requirement Calculation: Determines how much container capacity the assignment needs
- Availability Check: Verifies if the requested capacity can be allocated from the assigned container
- Buffer Impact Assessment: Evaluates how the allocation will impact the container's buffer status
- Assignment Status Update: Updates the assignment's status based on the capacity check results
The TOC implementation helps BoxFresh Gardens optimize operations by:
- Identifying Bottlenecks: Clearly showing which inventory containers are constraints
- Prioritizing Resources: Ensuring critical materials are available for high-priority jobs
- Proactive Management: Using buffer status to anticipate and prevent capacity issues
- Continuous Improvement: Regularly re-evaluating constraints and elevating them
This document was created as part of the Documentation Consolidation Initiative (April 3-11, 2025) to document core Theory of Constraints concepts applied in the BoxFresh app.