Applying the Theory of Constraints in the south african coal supply Chain

Abstract

The study explored possible areas for applying the Theory of Constraints in the South African coal mining industry supply chain with the aim of improving effectiveness, efficiency and profitability (throughput). The origin of the Theory of Constraints was explored including various aspects of its application such as the system theory, capacity management, thinking/approach and throughput. Various types of plant classifications were reviewed to ascertain how coal supply chain would be classified. The five step processes pioneered by Goldratt for identifying and alleviating constraints were explored as would be applied in the coal supply chain. The other areas studied included constraint based approach, coal infrastructure, demand management and optimised production technology. The Theory's intended impacts on the coal mining industry supply chain collaboration were also observed.