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  • Lean and Theory of Constraints

    I tend to believe the theory of constraints view is helpful but can be misleading since often the interdependencies within the system mean that it is not true that “optimizing non-bottlenecks will introduce waste” (that may be true but is not necessarily true – that is how I see it anyway)...

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  • Lean Thinking and Management

    I agree that we should acknowledge the paucity of success stories for improving the practice of management. The failures of management are not minor. The problems are large and the successes seem limited. The biggest thing I think we need to learn from this is that improving management is not easy. The concepts may seem simple but most of us can look around and see much more Dilbert Boss behavior than lean thinking behavior. And the gap between those two types of behavior seems to rise as you go “up” the organization chart.

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  • Deming and Toyota

    I believe Toyota applied Deming’s ideas to create a management system and continued to develop that system to create the Toyota Production System (also known as lean manufacturing).

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  • Using Design of Experiments

    Design of Experiments can seem complicated but at the core it is fairly simple and powerful. By applying the proper techniques it allows you to gage the effect of several variables and, very importantly, the interactions of those variables with a small number of experiments (or tests or pilots).

    George Box is a wonderful author (and friend) who can write for mangers who are not knowledgeable about statistics and statisticians. Statistics for Discovery does a good job of explaining how organizations should use experiments to improve.

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  • Using Design of Experiments

    Design of Experiments can seem complicated but at the core it is fairly simple and powerful. By applying the proper techniques it allows you to gage the effect of several variables and, very importantly, the interactions of those variables with a small number of experiments (or tests or pilots)...

    continue reading: Using Design of Experiments

  • Six Sigma Won’t Fix Bad Management?

    Like most management concepts how it is applied varies tremendously. If one just uses some tools that are part of the “Six Sigma tool kit” (mostly tools from TQM and the like) then you might improve bad management only marginally.

    But if you read the work of Roger Hoerl, Soren Bisgaard, Forrest Breyfogle III… and learn and apply what they talk about as Six Sigma you will definitely have to address bad management practices. Their Six Sigma is definitely a management improvement system (you can’t apply their concepts of Six Sigma without fixing many bad management practices).

    continue reading: Six Sigma Won’t Fix Bad Management?

  • Six Sigma Won’t Fix Bad Management?

    Like most management concepts how it is applied varies tremendously. If one just uses some tools that are part of the “Six Sigma tool kit” (mostly tools from TQM and the like) then you might improve bad management only marginally.

    But if you read the work of Roger Hoerl, Soren Bisgaard, Forrest Breyfogle III… and learn and apply what they talk about as Six Sigma you will definitely have to address bad management practices...

    continue reading: Six Sigma Won’t Fix Bad Management?

  • Mount Rainier National Park Photos

    I have posted photos from the final destination of my trip last summer to the Pacific Northwest National ParksMount Rainier National Park.

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  • Warren Buffett’s 2005 Shareholder Letter

    Too often, executive compensation in the U.S. is ridiculously out of line with performance. That won’t change, moreover, because the deck is stacked against investors when it comes to the CEO’s pay. The upshot is that a mediocre-or-worse CEO – aided by his handpicked VP of human relations and a consultant from the ever-accommodating firm of Ratchet, Ratchet and Bingo – all too often receives gobs of money from an ill-designed compensation arrangement.

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  • Saving for Retirement

    Saving for retirement is not complicated, it is just a matter of priorities.

    ...

    Savings for retirement is difficult mainly because of our trouble planning for the long term, it is not at all a complex problem. The fable of the ant and the grasshopper illustrates this point very simply and it is really that simple. ...

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  • Saving for Retirement

    Saving for retirement is not complicated, it is just a matter of priorities. Most people care more about a Startbucks coffee each day (or season tickets, or new shoes, or a new car every couple of years or…) today than saving money for retirement. In a capitalist society we believe in letting people make their economic choices. The choices most of us make (in the USA) lead to the results above (few saving enough for retirement).

    Savings for retirement is difficult mainly because of our trouble planning for the long term, it is not at all a complex problem. The fable of the ant and the grasshopper illustrates this point very simply and it is really that simple. People need to do a better job of applying the lessons from that story to their retirement savings.

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  • Cease Mass Inspection for Quality

    Deming’s point 3 is "Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place.

    Deming believed in improving the process, and doing so using process measures (which often may involve sampling) to guide improvement efforts. He did not believe in using inspection to select out the bad products, which is what inspection largely was before Deming...

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  • Cease Mass Inspection for Quality

    Deming believed in improving the process, and doing so using process measures (which often may involve sampling) to guide improvement efforts. He did not believe in using inspection to select out the bad products, which is what inspection largely was before Deming.

    More on Deming’s thought on Inspection...

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  • Not Lean Retailing

    Nothing is wrong with major decisions being made by the leaders but the article leaves the impression many non-major decisions are cetralized too. That is a problem for those who believe in management improvement ideas including lean thinking.

    ...

    Again moving away from good lean management ideas such as: longevity of management, focus on value of employees rather than cost of employees…

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  • Theory in Practice

    Knowledge is built upon theory… Rational prediction requires theory and builds knowledge through systematic revision and extention of theory based on comparison of prediction with observation.

    W. Edwards Deming, page 102, The New Economics

     

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