June 03, 2009
The Optimization Trap
by Phillip Slater, Inventory Process Optimization Specialist, Initiate Action Pty Ltd
Whether it is maintenance strategy, planning, manning, PMs or inventory, for all good managers an optimal outcome is always the goal. Yet, it has been proven time and time again that optimization does not always deliver the results that are expected. I call this phenomenon The Optimization Trap. Surprisingly, most people that are caught by the optimization trap don’t even realize it.
This paper explains the Optimization Trap, what it is, how to tell whether you are in danger of falling into the trap, and, if you have already, what you can do about.
