Business planning through a linear programming system

The fundamental purpose of any business is to maximize profits; to make money. Management role is to develop to enable operations to reach this goal. For any strategy, there exists constraints within the system that will impede the execution of these strategies. Utilizing the Theory of Constraints, these barriers can be identified and exploited. The key next step to the Theory of Constraints is the subordination of activities in all areas outside of the constraints. The scope of TOC must expand beyond the traditional realm of capacity analysis to include all aspects of the business. These aspects included the marketing and financial plans, human resourcing, safety and environment, cost reduction efforts, capital expenditure, process improvements plans, and customer satisfaction. This paper discusses the application of a mathematical planning system to coordinate and provide direction to all aspects of the business plan.