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Pausing for reath at fresh & easy (Tesco’s USA stores)
There have been some rumors in the blogosphere and regular press that the stores are not living up to expectations. Tesco denies this but it is hard to tell if this is typical public relations where disappointments are seen as something to deceive the public about, or the truth. Pausing to access and adjust makes all the sense in the world.
In fact it would seem to me to be the preferred method before 50 are in place. However I can see there might be reasons to expand rapidly too. I think if it were up to me I would try to PDSA with fewer stores first, and then expand but I don’t really know the business so…
It is a bit scary that the Fresh and Easy blog references Tony Robbins on continual improvement rather than Deming or Ohno or Womack or someone part of the lean thinking community.
Related: Lean Provision at Tesco - Tesco in the USA - What Innovation Means to Tesco - Lean Retailing - 10 Stocks for 10 Years Update
See more photos of my visit last year to Coopers Rock State Forest in West Virginia. The day before I visited Rocky Gap State Park in Maryland. Photos by John Hunter.
Related: Nature Recreation Declining - Mason Neck State Park, Virginia - Shaker Village of Pleasant Hill, Kentucky
Deming’s 14 points (for software development) by Jamie Dinkelacker (Geo/Maps Engineering Program Manager at Google Inc. Focus on lean principles and agile practices for software development):
A good read. Also a good blog on management improvement ideas and software development (though not very active). See my Deming on Management resource where I try to explain what Dr. Deming actually said and meant and dispel some misconceptions.
Related: Dr. Deming’s 14 Points - Deming’s Ideas at Markey’s Audio Visual - Lean, Toyota and Deming for Software Development - Google: Ten Golden Rules
Three Amazing PHP/MySQL/Perl Developers Now Available - Posting on Craigslist. The url will expire so I included everything but the contact info below (follow the link for contact info).
Yesterday I had to do one of the more difficult things — lay off three of my good friends, all of whom are talented and professional developers.
I’m posting here today in hopes that someone out in the world is looking for some seasoned talent, people who can get things done for you. I will personally recommend all three of these guys, and I’ll detail below each of them. If you are interested, I’m including my phone number. I’ll take your contact information and give it to the person(s) you are interested in, and you can take it from there.
Here goes.
Developer #1
I’ve worked with Developer #1 since 2005. He’s worked for Fortune 500 companies and small startups. His strengths are conceptualizing and implementing complex systems using PHP and MySQL. These systems are not limited to the web, however the web is where most of his work has been for the last few years. During his employment with me, he:
* Designed a complex billing system, complete with audit trails
* Developed a site-wide internationalization system, allowing us to easily translate any phrase on the system to a different language
* Designed and successfully implemented several difficult projects based on half-way decent specifications documents (my fault)
Related: People are Our Most Important Asset - Bad Management Results in Layoffs - Hiring the Right People - Severance Plans to Respect People - Curious Cat Management Improvement Jobs
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Does it surprise you to learn traders would cover up losses to protect bonuses? It shouldn’t, it happens over and over. Would it surprise you that almost any bonus (or quota) scheme increases the odds that the data will be doctored to meet the goals? It shouldn’t. Intelligent measures to make such doctoring difficult can help reduce the practice. But it is a likely risk of any such goal. As we have quoted Brian Joiner as saying: there are: “3 ways to improve the figures: distort the data, distort the system and improve the system. Improving the system is the most difficult.” So it is no shock that distorting the data is often the tacit people use (especially when the rewards are great or the punishment for missing is severe).
Of course the people that take unethical or illegal action are responsible for their actions. But managers that set up poor systems and then get poor results should not be surprised. You mainly read about the exciting distortion of data - but there is much more such distortion that doesn’t seem interesting enough for the press.
Traders at top investment bank ‘covered up losses to protect their bonuses in £1.4 bn scam’
Shares in the bank, which is based in Zurich, tumbled 7.5 per cent yesterday. Credit Suisse admitted it had discovered intentional “pricing errors” by a small number of traders involved in complex investments linked to the mortgage market.
Related: Problems with Bonuses - Be Careful What You Measure - Measuring and Managing Performance in Organizations - Another Quota Failure Example
WaMu: Skip customers; save the execs
The board decided in February to use different performance yardsticks that could make it look like Killinger and other top executives were doing great jobs — and all but ensure them millions of dollars in bonuses for 2008. Those huge losses piling up because of subprime loans and foreclosures? At bonus time, the bank will ignore them.
The behavior of executives that take what they have no right to in unjustifiable pay schemes continues to be a disgrace. Thankfully more people are shedding light on the unconscionable behavior. Excessive executive pay is both a sign of awful ethics and a driver of bad management action. I add two new diseases of western management to Dr. Deming’s 7 deadly diseases; massively overpaid executives is one.
Related: Tilting at Ludicrous CEO Pay - Obscene CEO Pay - “Too often, executive compensation in the U.S. is ridiculously out of line with performance” Warren Buffett
In 2005 I posted about some of the problems with drug pricing. It is nice to find at least a couple of people at MIT that want to have MIT focus research on the public good instead of private profit. As I have mentioned too many universities now act like they are for-profit drug or research companies. That is wrong. Drug companies can do so, institutions with purported higher purposes should not be driven to place advancing science below profiting the institution.
The DDC also would serve as a mechanism for prioritizing drugs for development, noted Finkelstein. “It is a two-level program in which scientists and other experts would recommend to decision-makers which kinds of drugs to fund the most. This would insulate development decisions from the political winds,” he said.
I see their idea as one worth trying. Lets see how it works. Their book: Reasonable Rx - Solving the Drug Price Crisis by Stan Finkelstein and Peter Temin
Related: USA Spent $2.1 Trillion on Health Care in 2006 - Measuring the Health of Nations - Antibiotics Too Often Prescribed for Sinus Woes - $600 Million for Basic Biomedical Research - articles on improving the health care system
Once again I have created a group on the ESPN NCAA Basketball Tournament Challenge for curiouscat college basketball fans. To participate, go to the curiouscat ESPN group and make your picks.
This year we also have a second challenge, using sportsline, that rewards picking upsets. So those that enjoy the tournament please join the fun. The password for this one is cat
Go Badgers and Go Davidson,
Please submit your favorite management posts to the carnival. Read the previous management carnivals.
Illustration of how 2-Bin Systems work, by Bill Hanover.
Related: Overall Equipment Effectiveness (OEE) video by Bill Hanover - Messiness is Bad - Drum-Buffer-Rope Example - lean manufacturing resources
Why is 37signals so arrogant? by Don Norman
I don’t agree. Not compromising leads to solutions that are unlikely to be all things to all people. But with an intelligent and knowledgeable leader will lead to excellent solutions for those that share desires. Now I don’t think this is the best strategy, especially for growth. But it can be an excellent strategy for startup, innovators and those seeking 1,000 fans.
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From Toyota’s blog, Living Up to Our Commitment
Once again Toyota shows what it means to go beyond the traditional way of thinking (where often MBA bean-counters and lawyers decide what should be done) instead of someone interested in having the company actually live up to a higher mission. From a previous post on their blog:
Related: Toyota IT Overview - Deming Companies - Reacting to Product Problems - Toyota Management Develops the New Camry - Corporate Blogging - Dell Innovation
Inside Honda’s brain by Alex Taylor III
Related: Toyota as Homebuilder - S&P 500 CEOs - More Engineering Graduates - More on Non-Auto Toyota - Asimo Robot, Running and Climbing Stairs - Applied Research - Google Engineering Energy
Part of the deal is that if 37signals helps you pay, you have to share what you’ve learned with everyone. Not just everyone at 37signals, but everyone who reads our blog. So expect to see some blog posts about these experiences.
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We just ask people to be reasonable with their spending. If there’s a problem, we’ll let the person know. We’d rather trust people to make reasonable spending decisions than assume people will abuse the privilege by default.
Dr. Deming proposed supporting education of any type for employees (point 13 in the 14 points). That is not often done, but 37 signals is not alone in doing this. Great stuff. Create a great environment for people to work in and you can get great things done. Also good old PDSA at work - try things on a small scale and then institute those experiments that succeed on a wider scale.
Related: Google Experiments Quickly and Often - Vacation: Systems Thinking - Getting and Keeping Great Employees - Joy in Work - Complicating Simplicity - Workplace Management
Rich Sharpe posted to his blog on his recent reading of Dr. Deming – The American Who Taught the Japanese About Quality by Rafael Aguayo in Lean Programming and Dr. Deming. And he posted a response he received from Rafael Aguayo with some good points including:
Related: Another Failure Due to Quotas - Targets Distort the System - Goodbye Quarterly Targets - Books on Deming’s management ideas - Making Changes and Taking Risks
As usual, Warren Buffett’s letter to shareholders is packed with wisdom. He is best know for his investing genius but his writing provides great thoughts for managers also: Berkshire Hathaway 2007 Letter to Shareholders:
Related: Buffett’s Letter to Shareholders (from last year) - Buffett’s Shareholder Letter (2006) - Overview of Warren Buffett - Annual Report by Warren Buffett (2005) - Hiring the Right People
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Quaker teacher fired for changing loyalty oath
Modifying oaths is open to different legal interpretations. Without commenting on the specific situation, a spokesman for state Attorney General Jerry Brown said that “as a general matter, oaths may be modified to conform with individual values.”
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“I honor the Constitution, and I support the Constitution,” she said. “But I want it on record that I defend it nonviolently.”
My take: stupid unthinking government action. First I can’t see what value the signing does at all. But even if you think there is some aim that having everyone sign supports does a Quaker inserting non-violently harm that aim in some way? Is it really unquestioningly doing whatever you are told that is the value that is what is being aimed for? Seems pretty clear to me from even this short article this teacher understands the constitution much better than most people and cares enough to take the values that constitution endorses seriously. While the government looks like they only care about getting their form on file and don’t care at all what the purpose of that form is (the purpose can’t really be just to coerce everyone to sign it, can it?).
To me she is doing a great service to defend that constitution with her actions. Hopefully she can do so and have her job. But standing up for what is right often can leave you worse off personally.
I understand that it is easier to ignore the purpose and just focus on compliance with the rules. But what does it say if your actions show that actually loyalty doesn’t matter and signing something you don’t believe is ok? It just bothers me that this loyalty oath situation puts an emphasis on empty promises above the true intent of the constitution. Devaluing it harms us all in the long term.
Related: The First Amendment - Public Management - Customer Un-focus
Lean manufacturing saving jobs
“This is not about a reduction in the workforce, it is about reducing waste in the system,” Cook said. “There is a lot to be gained . . . and it is really just common sense.” The lean manufacturing session got its start in November at a mayor’s roundtable on advanced manufacturing. When the issue of cutting waste arose, Cook volunteered to lead a session and the London Economic Development Corp. organized it.
“This information is not proprietary. If these people take it back to their plants and expand on it, we all gain,” Cook said.
A number of great points, including:
the best management ideas are not proprietary - Management Improvement - Management Advice Failures - Open Source Management Ideas
Related: Manufacturing Jobs - Lean Thinking Misconception - Lean Manufacturing Resources
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