Approach to continuous improvement (reducing operating expenses and inventory and increasing throughput) based on a five-step procedure: (1) identifying constraints, (2) exploiting the binding constraints, (3) subordinating everything else to the decisions made in the second step, (4) increasing capacity of the binding constraints, and (5) repeating the process when new binding constraints are identified. It seeks to identify a company's constraints or bottlenecks and exploit them so that throughput is maximized and inventories and operating costs are minimized.
3G third-generation mobile technology that usually includes services such as video telephony, downloading information, e-mail, and instant messaging.
Dictionary of Accounting Terms. Copyright © 2010 by Barron's Educational Series, Inc. All rights reserved.
