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  • Excessive CEO Pay

    CEO’s that take such unethical large pay today are the robber barons of today and will deserve the judgement of history for the actions they take (I would imagine they are perfectly happy to take the money now and worry about opinions later). And those that approve such pay also deserve sharp criticism.

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  • Improving on Previous Attempts to Adopt Management Improvement Methods

    There is a big difference between needing to improve on previous attempts to adopt management improvement methods and needing to find new methods. Most of what is needed it to actually apply the good ideas that have been around for decades. And yes, sure try and find some new great ideas but where the focus should really be is on the hard work of execution not looking for some magic pill to solve the difficult task of managing well.

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  • Lean is Harmony

    The tools are useful, but they are not the end. Just using the tools can help move an organization to the point where they are ready to truly examine how to improve. Most often the attempts (just like previous attempts with quality management, six sigma… did) stop short of more than superficial change where a few new tools are used in the same old system. 

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  • Lean is Harmony

    The tools are useful, but they are not the end. Just using the tools can help move an organization to the point where they are ready to truly examine how to improve. Most often the attempts (just like previous attempts with quality management, six sigma… did) stop short of more than superficial change where a few new tools are used in the same old system. 

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  • Why Pay Taxes or be Honest

    We keep getting these continuing examples that are so distressing: Enron, Worldom, Tyco, Accenture, HP… It is so disappointing that such behavior is mainly excused (until finally the evidence presented is so damning that most stop defending the specific case in question).

    Yet so much of what is unethical is barely questioned. If we don’t question things that are this bad, then those who insist on being as devious as they can without being called on it will just practice worse and worse behavior. We have to do a much better job of not tolerating such unethical behavior.

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  • The State of Lean Implementation

    Interesting survey by the Lean Enterprise Institute notes the following as the major obstacles to transforming to a lean organization.

    1. Lack of implementation know-how: 48%
    2. Backsliding to the old ways of working: 48%
    3. Middle management resistance: 40%
    4. Traditional cost accounting system doesn’t recognize the value of lean: 38%

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  • Evidence-based Management

    It is not easy to get people to change their habits. You often need creativity to give power to the data...

    this story, to me, is another sign that focusing on managing the system is more important than devoting excessive energy to bringing in star talent

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  • More on Overpaid CEO’s

    As Drucker, Buffet and many others have said CEO overpayment is bad for companies, workers and shareholders. Even when they are fired they often take away tens of millions of dollars. Absolutely ridiculous. I sure hope the bubble of CEO pay bursts soon – the only suitable comparison this century is the internet stock bubble. But every year it just gets worse. I would add overpaying CEO’s to Deming’s seven deadly diseases of western management.

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  • Not Innovation but Still Interesting

    There is an obsession with claiming ideas as innovation in order to sell to those that seek new magic bullets.  Often there is not only no magic bullet but no innovation involved.  But examples of using long neglected management ideas well is valuable as these examples show...

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  • Circle of Influence

    You should remember, that there is a temporal component to your circle of influence. On some current issue, I may have a very low chance of success for getting the organization to adopt an improvement I think is best. But certain actions can build the understanding that will allow me later to have more influence. This can even be completely separate from how people normally think of circle of influence. By building an organization that moves toward data based decision making and therefore reduces HiPPO (Highest Paid Person’s Opinion) decision making I increase my ability to influence decision making in the future.

    Long term thinking is a very powerful, and much under-practiced, strategy. Your influence within an organization is limited today but has great potential to expand, if you act wisely.

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  • Doing the Wrong Things Righter

    Most of our current problems are, he [Russell Ackoff] says, the result of policymakers and managers busting a gut to do the wrong thing right.

    I agree with the very big problem of ignoring the overall system and seeking to improve what really should be completely rethought and changed.  However, I am a bit skeptical of the idea of it being better to do the right thing poorly than it is to do the wrong thing well. 

    I realize "It is far better to do the right thing wrong than to do the wrong thing right." as Russell Ackoff has said, is a catchy quote.  But certainly the truth is that it depends on the system and how wrong or right a thing is and the action is.  Sometimes it is far better to do the wrong thing fairly well (to increase the overall benefit to the system) than to do the right thing poorly (and create huge problems in the rest of the system).  So sure pay attention to the concept of thinking about whether the best course of action is to completely change what you are doing instead of improving how you are doing it.  But don't pretend it is really is better to do the right things wrong - it depends.  Sometimes sure that is true, other times it isn't.

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  • Righter Performance Appraisal

    Just because it would be nice for performance appraisal to work doesn’t mean it does work. As Deming said some numbers are unknown and unknowable and the wish that it is possible to quantify the contributions of people doesn’t mean you can. People cling to the idea that performance appraisal is the only tool we have to manage performance so we must use it. Even if most people realize it is just a game that accomplishes little, if anything positive, and causes great frustration and animosity they persist. Hopefully performance appraisal will be seen as “artifact of the past” sometime soon.

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  • Designing In Errors

    When you design products that create more possibilities for more errors you create products that will in fact fail more often.

    Related: The Edge-case Excuse

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  • Turning The PDSA Cycle Rapidly (Iteration)

    One point he made was that he often finds that organizations fail to properly “turn” the PDSA cycle (by running through it 5-15 times quickly and instead to one huge run through the PDSA cycle). One slow turn is much less effective then using it as intended to quickly test and adapt and test and adapt…

    In my experience people have difficulty articulating a theory to test (which limits the learning that can be gained). He offered a strategy to help with this: write down the key outcome that is desired. Then list the main drivers that impact that outcome. Then list design changes for each outcome to be tested with the PDSA cycle. 

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  • Simple Cell Phone

    Complex devices with many points of failure (both technical failure and user inability to figure it out) should not be the only option. Simple, easy to use, reliable devices would have a big market. Creativity is not just about more complex devices.

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