53 pages • 1 hour readEliyahu M. Goldratt
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Alex decides that when he joins upper management, he will need his advisory team to come with him. He decides to ask Lou first. He meets with Lou, who excitedly tells him that the plant will have twenty percent greater profitability in the next two months. Alex, who has learned not to trust measurements, is skeptical, but Lou explains that their choices over the last months have caused them to save “a lot by not purchasing new materials to replace excess inventory” (272), though this reduction of inventory was initially “‘interpreted by our book as a loss’” (272). Lou suggests that he go with Alex to the upper divisions as his divisional controller. Alex, who thought Lou would be “harder” (273) to persuade, happily agrees. Next, Alex speaks to Bob Donovan. He offers Bob the role of division production manager, but Bob turns it down. He wants to “stay in this plant and develop it further” (275). They agree that Bob will take over for Alex as plant manager. Next, he and Bob talk to Stacey. They offer her Bob’s old job as production manager, and to their surprise, she agrees.
By Eliyahu M. Goldratt