I write down the three measurements which Lou and I agreed are central to knowing if the company is making money: net profit, ROI and cash flow. - Eliyahu M. Goldratt

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I write down the three measurements which Lou and I agreed are central to knowing if the company is making money: net profit, ROI and cash flow.

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About Eliyahu M. Goldratt

Eliyahu Moshe Goldratt (March 31, 1947 – June 11, 2011) was an Israeli physicist who became a business management guru

Biography information from Wikiquote

Also Known As

Native Name: אליהו גולדרט
Alternative Names: Eliyahu Goldratt Eliyahu Moshe Goldratt
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Additional quotes by Eliyahu M. Goldratt

utilizing” a resource means making use of the resource in a way that moves the system toward the goal. “Activating” a resource is like pressing the ON switch of a machine; it runs whether or not there is any benefit to be derived from the work it’s doing.

So I’ve got limits on how fast I can go — both my own (I can only go so fast for so long before I fall over and pant to death) and those of the others on the hike. However, there is no limit on my ability to slow down. Or on anyone else’s ability to slow down. Or stop. And if any of us did, the line would extend indefinitely. What’s happening isn’t an averaging out of the fluctuations in our various speeds, but an accumulation of the fluctuations. And mostly it’s an accumulation of slowness — because dependency limits the opportunities for higher fluctuations. And that’s why the line is spreading. We can make the line shrink only by having everyone in the back of the line move much faster than Ron’s average over some distance.

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