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6.3 Dynamics of throughput systems > 6.3.3 Measurement and Learning - Pg. 153

130 Operational Thinking Five Dimensions of an Organization Membership (Beauty) Exchange Threat Role Decision Duplication of (Power) Learning & Design cells Conflict Management (values) Solving, Resolving Absolving & Dissolving Processes Knowledge (Measurement) Early Warning System New Social Calculus Through put Processes (generation & dissemination of wealth) FIGURE 6.25 Throughput and organizational processes. Since throughputs are redesigned more frequently, there is always a good chance those new generations of throughput designs will become incompatible with more traditional organizational processes already in place. This has been the major cause of the failures, already witnessed, in most re-engineering efforts of recent times. A redesigned throughput pro- cess cannot be effectively implemented without proper concern for its compatibility with the existing order -- the organizational processes already in place. Usefulness of any model, needless to say, depends on the validity of the underlying assumptions used to develop the operating for- mulas behind the icons. 6.3.3 measurement and learning The third element of our scheme is the measurement and diagnostic sys- tem. The simulation model should provide an online capability to moni- tor all of the interdependent success factors in the same frame, at the same time, so their relationships can be monitored. This condition is necessary for an effective diagnostic system. The diagnostic system should be able to recognize when the improvement process hits a plateau because this indi- cates that the system has used up the slacks and that the existing design has exhausted its maximum potential. To achieve an order-of-magnitude change in the system's performance, we need to replace the existing frame- work and redesign the process. Read-only memory is a critical element of