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The relevance of theory of constraints (TOC) for capability maturity model integration (CMMI) implementations in China's software industry

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Date

2006

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Te Herenga Waka—Victoria University of Wellington

Abstract

Developed by Goldratt from around 1980, the Theory of Constraints (TOC) is a management philosophy that treats a corporation not as a collection of independent processes, but as a complete system. It is a methodology developed to answer the questions of what to change, what to change to, and how to cause the change. While TOC has received considerable acclaim for its effectiveness in system improvement, it has not been widely known to Chinese organizations. Aiming at exploring ways of improving Capability Maturity Model Integration (CMMI) implementation in China's software industry, this research has applied the TOC Thinking Process to identify the problems (or constraints in TOC terms) experienced when implementing CMMI in China's software industry, to search for possible solutions and to illustrate an action plan for facilitating the desirable change. Since CMMI is primarily about project management, this research also discussed how Critical Chain Project Management (CCPM, TOC application in project management) can help improve CMMI implementation. Additionally, because CMMI implementation involves knowledge transfer, this research also reviewed Knowledge Management literature in general and discussed the synergies between knowledge management, TOC and CMMI implementation. This research concludes that though TOC has its limitations and challenges, it has acted as an important "eye-opener" to the Chinese software industry - it offers a different approach to help the Chinese software organizations better understand their real situations and problems; it provides a useful alternative for system improvement. The contributions of this research to both theory and practice are discussed, and opportunities for future research are proposed.

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Keywords

Theory of constraints (Management), Chinese software industry, Capability maturity model (Computer software), Capability maturity model, Theory of constraints, Software industry --China

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