Using Theory of Constraints in selecting product mix

Abstract

Theory of Constraints suggests when the product was limited by bottleneck, the best strategy for selecting the product mix is based on the throughput - system performance- in terms of the desired constraint. This issue is not true for products which have been limited by a few quantities . Four realities, which are in opposition to the current thought in TOC literature, have been proved in this article. For instance, the mixed products include some things which have the product lowest margin and the lowest throughput ratio in a limited time and violate marginal and TOC approaches. Such formula constraints which caused by selected mixed products have been proved in this article.