Leading the way in Demand Driven planning, execution and control systems

In collaboration with  Demand Driven Institute  Demand Driven Technology

About Us

Thought Leadership

CMG is a global thought leader in the emerging demand driven principles that combine rigorous and robust formal planning, scheduling and execution with the pull-based and visibility emphasis of methods like Lean and The Theory of Constraints. Additionally, with the recent release of Demand Driven Performance – Using Smart Metrics, CMG has assumed a leadership role in the required changes in Finance and Accounting required to support these systems.

Books authored or co-authored by CMG Principals:

Orlicky's Material Requirements Planning
Demand Driven Performance - Using Smart Metrics
The Measurement Nightmare
Theory of Constraints Handbook
The Theory of Constraints - Management Accounting

The Demand Driven principles are articulated in the books Orlicky’s Material Requirements Planning 3/E (Ptak and Smith, McGraw-Hill, 2011) and Demand Driven Performance – Using Smart Metrics (Smith and Smith, McGraw-Hill, 2013).

Rapid, Sustainable Results for Global Leaders

Constraints Management Group, LLC has a history of delivering massive and rapid bottom line
improvements in mid-range and large global companies including:

  • Unilever
  • Boeing
  • IBM Global Services
  • LeTourneau Technologies, Inc.
  • The Charles Machine Works (Ditch Witch)
  • Roseburg Forest Products

The History of Constraints Management Group

In 1997 Debra Smith and Chad Smith founded a company called Constraints Management Group, LLC (CMG). CMG was a services company that specialized in implementing and applying the Theory of Constraints in manufacturing companies. CMG encountered immediate success in securing contracts for operational improvement with several large manufacturing companies. A unique combination of finance and metrics and operations expertise combined with thought process tools to help companies see through their chaos prompted these companies to take a chance on this fledgling company.

CMG spent the next six years experiencing success and growth by delivering real, tangible and eye-popping bottom line results through implementing Theory of Constraints in mid-range and large manufacturers. Perhaps the biggest obstacle to bringing these solutions to more companies became the constant obstacle of a client’s information system to adequately support the necessary solution design. This lack of information technology elongated implementation timelines as custom solutions often had to be developed in conjunction with a client’s IT departments. Attempts at relationships
with software providers often resulted in an insufficient solution and a wrestling match for control of the development direction – the vision of how to provide solutions and value simply did not match.

In 2003 CMG entered the software business with plans to build two enterprise software applications. One software application would be used to schedule resources and execute the shop floor while the other overcame the deficiencies of formal planning systems better synchronizing demand signals and supply order generation and execution through even the most complex supply chain scenarios. The types of clients that CMG often had demanded nothing short of these objectives. CMG would also need to provide a performance measurement system to sustain these planning and scheduling solutions as well as drive continuous improvements in system efficiency and flow.

Over a decade CMG painstakingly articulated the components and rules behind what would become known as Demand Driven MRP (DDMRP) and Smart Metrics. DDMRP would change the face of formal planning while Smart Metrics promises to keep those changes sustainable and scalable in a much more volatile and complex world.