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June 9, 2008

Fairness Matters

Sense of Fairness Affects Outlook, Decisions

Burnout has been long associated with being overworked and underpaid, but psychologists Christina Maslach and Michael Leiter found that these were not the crucial factors. The single biggest difference between employees who suffered burnout and those who did not was the whether they thought that they were being treated unfairly or fairly.

Their research on fairness dovetails with work by other researchers showing that humans care a great deal about how they are being treated relative to others. In many ways, fairness seems to matter more than absolute measures of how well they are faring — people seem willing to endure tough times if they have the sense the burden is being shared equally, but they quickly become resentful if they feel they are being singled out for poor treatment.

If the sum is $100, for example, the first person might offer to give away $25 and keep $75 for himself. If the second person agrees, the money is divided accordingly. But if the second person rejects the deal, neither one gets anything.

If people cared only about absolute rewards, then Person B ought to accept whatever Person A offers, because getting even $1 is better than nothing. But experiments show that many people will reject the deal if they feel the first person is dividing the money unfairly.

Related: Obscene CEO Pay - Respect for People and Understanding Psychology - Why Pay Taxes or be Honest - The Illusion of Understanding - The Psychology of Too Much Choice

April 9, 2008

Packaging Improvement

McDonald’s Branding Makes Food Tastier for Tots

Researchers at Stanford University have found that children tend to rate food that is wrapped up in McDonald’s-branded paper as tasting better than the same food wrapped in plain paper — a finding that suggests that even the youngest consumers are heavily influenced by advertising. The new study was released Monday in the Archives of Pediatric and Adolescent Medicine.

The study had 63 children, aged 3 to 5 years old, tasting five pairs of identical foods and beverages — one in McDonald’s wrapping and the other in unbranded packaging. The researchers then asked them a simple question: “Which one tastes better?” An overwhelming number of the children said the food in the McDonald’s wrapping was tastier.

Oddly enough, this applied even to vegetables and milk. Sixty-one percent of the children in the study preferred the taste of carrots and 54 percent preferred the taste of milk if they were reminded by the packaging that it came from McDonald’s.

This is another reminder that tackling problems directly is not always the best strategy. The packaging doesn’t actually change the taste, but really it is not the taste that is likely a concern but rather the perception of taste. To me this is very similar to the studies on people preferring wine they are told costs more.

Ignore psychology at your peril: in marketing and in management. Deming’s management system include 4 interdependent areas: understanding variation, systems thinking, theory of knowledge and understanding psychology.

Effects of Fast Food Branding on Young Children’s Taste Preferences (I think this is the study referenced in the article though it was published in August 2007 - John).

Related: Indian researcher shows most people do judge a drink by its container - Marketing in a Lean Company - The Psychology of Too Much Choice - Be Careful What You Measure

March 18, 2008

Drug Price Crisis

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.

Solving the drug price crisis

The mounting U.S. drug price crisis can be contained and eventually reversed by separating drug discovery from drug marketing and by establishing a non-profit company to oversee funding for new medicines, according to two MIT experts on the pharmaceutical industry.

Following the utility model, Finkelstein and Temin propose establishing an independent, public, non-profit Drug Development Corporation (DDC), which would act as an intermediary between the two new industry segments — just as the electric grid acts as an intermediary between energy generators and distributors.

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

March 7, 2008

Inside Honda’s Brain

Inside Honda’s brain by Alex Taylor III

why is Honda playing with robots? Or, for that matter, airplanes? Honda is building a factory in North Carolina to manufacture the Hondajet, a sporty twin-engine runabout that carries six passengers. Or solar energy? Honda has established a subsidiary to make and market thin-film solar-power cells. Or soybeans? Honda grows soybeans in Ohio so that it can fill up cargo containers being shipped back to Japan. The list goes on. All this sounds irrelevant to a company that built some 24 million engines last year and stuffed them into everything from cars to weed whackers.

Since 2002 its revenues have grown nearly 40%, to $94.8 billion. Its operating profits, with margins ranging from 7.3% to 9.1%, are among the best in the industry.

The wellspring of Honda’s creative juices is Honda R&D, a wholly owned subsidiary of Honda Motor. Based in Saitama, west of Tokyo, R&D engineers create every product that Honda makes - from lawn mowers to motorcycles and automobiles - and pursue projects like Asimo and Hondajet on the side. Defiantly individualistic, R&D insists on devising its own solutions and shuns outside alliances. On paper it reports to Honda Motor, but it is powerful enough to have produced every CEO since the company was founded in 1948.

The engineer in Fukui [Honda's president and CEO] cannot help but be intrigued by what his former colleagues are up to, and his office is only a few steps away from Kato’s. But even with the CEO just down the hall, says Kato, “We want to look down the road. We do not want to be influenced by the business.”

mistakes like the Insight are also the exception. R&D has provided Honda with a long list of engineering firsts that consumers liked, including the motorcycle airbag, the low-polluting four-stroke marine engine, and ultralow-emission cars.

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

February 25, 2008

Car Powered Using Compressed Air

car powered using compressed air

Jules Verne predicted cars would run on air. The Air Car is making that a reality. The car would be powered by compressed air. Certainly seem like an interesting idea. Air car ready for production:

Refueling is simple and will only take a few minutes. That is, if you live nearby a gas station with custom air compressor units. The cost of a fill up is approximately $2.00. If a driver doesn’t have access to a compressor station, they will be able to plug into the electrical grid and use the car’s built-in compressor to refill the tank in about 4 hours.

The car is said to have a driving range of 125 miles so by my calculation it would cost about 1.6 cents per mile. A car that gets 31 mpg would use 4 gallons to go 124 miles. At $3 a gallon for gas, the cost is $12 for fuel or about 9.7 cents per mile. I didn’t notice anything about maintenance costs. I don’t see any reason why the Air Car would cost more to maintain than a normal car. Five-seat concept car runs on air

An engineer has promised that within a year he will start selling a car that runs on compressed air, producing no emissions at all in town.

Tata is the only big firm he’ll license to sell the car - and they are limited to India. For the rest of the world he hopes to persuade hundreds of investors to set up their own factories, making the car from 80% locally-sourced materials.

“Imagine we will be able to save all those components traveling the world and all those transporters.” He wants each local factory to sell its own cars to cut out the middle man and he aims for 1% of global sales - about 680,000 per year. Terry Spall from the Institution of Mechanical Engineers says: “I really hope he succeeds. It is a really brave experiment in producing a sustainable car.”

Now does that sound like the Toyota Production System to you? It should. If I were an executive at Toyota I would sure examine this to see if it really is as promising as it looks. And if it is Toyota sure has plenty of cash and the management practice to make a very compelling case for allowing Toyota to produce this globally. The engineers desires closely match what Toyota has learned. Both seek to eliminate the waste of transportation (friction).

Related: Click Fraud = Friction for Google - Manufacturing Takes off in India - Electric Automobiles

February 24, 2008

Losing Consumers’ Trust

Last week their was a recall of 143 million pounds of beef in the USA. Lets take a short systemic view at what is going on. The public has an interest in a safe food supply which is difficult to enforce through caveat emptor (buyer beware). So this is a natural situation for government regulation (to protect the public interest) - plus it relates to public health which is another natural for government regulation.

The USDA regulates the industry and puts in place rules as new threats emerge. So a few years ago they instituted rules that if an animal can’t walk after the USDA pre-death inspection they be re-inspected “largely as a precaution against bovine spongiform encephalopathy, or mad cow disease .” It seems hard to argue with that plan. If the pressures to maximize profits (assuring every cow is processed) exceed the desire to take precautions to ensure the safety of customers the risk of losing the trust of consumers is great.

There have been several instances, that have been made public, which call into question how effective the system is at preventing self interest from endangering the food supply. That then calls into question the safety of all meat that is part of that system. Many in the industry seem not to realize that they will be judged by the failures of any in the industry. And in my view, it is in their interests to have strong protections industry-wide.

The export market for meat is large. For political reasons some countries aim to protect local farmers and ranchers (the USA is a huge subsidizer of farmers and ranchers - Sugar Industry Quotas). And when the system continually shows that bad practices are allowed to continue it makes it a very easy decision to not allow the import of meat. Why would a country want to import food from a system that fails to follow food safety standards (especially if politically that is what they want to do - this provides them a pretty darn good reason to do what they want).
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February 4, 2008

Improvement Through Designed Experiments

The Rationale of Scientific Experimentation by John Dowd explains the value of designed experiments.

Another difficulty in industrial experimentation is the existence of interactions. As has been stated, manufacturing processes are complex with many factors involved. In many processes these factors interact. This is particularly so for continuous processes such as plating or sputtering. Saying that the factors interact means more than that they are related to each other. It means that the effect of one (or more) factors on the response variable(s) changes when one (or more) other factor(s) changes its value.

In order to detect interactions and understand the nature of their effects it is necessary to combine the interacting factors into the same experimental runs. The problem is not necessarily knowing in advance if the interactions exist. Sometimes they are predictable with theory. Sometimes they are discovered when the process behaves ’strangely’.

In addition to their efficiency, factorial designs also offer the only method of detecting interactions through experimentation. Because numerous factors can be combined in the same series of experimental runs, the interactions can be detected and the nature of their effects can be evaluated when they are present.

The paper also explains analytic and enumerative studies. Dr. Deming stressed the importance of understanding the distinction between the two.

Related: management improvement articles - Design of Experiments articles - Statistics for Experimenters - search statistical management improvement sites - Using Design of Experiments

January 6, 2008

Stratification and Systemic Thinking

I am reading a fascinating book by Jessica Snyder Sachs: Good Germs, Bad Germs. From page 108:

At New York Hospital, Eichenwald and infectious disease specialist Henry Shinefield conceived and developed a controversial program that entailed deliberately inoculating a newborn’s nostrils and umbilical stump with a comparatively harmless strain of staph before 80/81 could move in. Shinefield had found the protective strain - dubbed 502A - in the nostrils of a New York Hospital baby nurse. Like a benign Typhoid Mary, Nurse Lasky had been spreading her staph to many of the newborns in her care. Here babies remained remarkably healthy, while those under the care of other nurses were falling ill.

This is a great example of a positive special cause. How would you identify this? First you would have to stratify the data. It also shows that sometimes looking at the who is important (the problem is just that we far too often look at who instead of the system so at times some get the idea that it is not ok to stratify data based on who - it is just be careful because we often do that when it is not the right approach and we can get fooled by random variation into thinking there is a cause - see the red bead experiment for an example); that it is possible to stratify the data by person to good effect.

The following 20 pages in the book are littered with very interesting details many of which tie to thinking systemically and the perils of optimizing part of the system (both when considering the system to be one person and also when viewing it as society).

I have recently taken to reading more and more about viruses, bacteria, cells, microbiology etc.: it is fascinating stuff.

Related: Science Books by topic - Data Can’t Lie - Understanding Data

December 24, 2007

Bigger Impact: 15 to 18 mpg or 50 to 100 mpg?

This is a pretty counter-intuitive statement, I believe:

You save more fuel switching from a 15 to 18 mpg car than switching from a 50 to 100 mpg car.

But some simple math shows it is true. If you drive 10,000 miles you would use: 667 gallons, 556 gallons, 200 gallons and 100 gallons. Amazing. I must admit, when I first read the quote I thought that it must be an wrong. But there is the math. You save 111 gallons improving from 15 mpg to 18 mpg and just 100 improving from 50 to 100 mpg. Other than those of you who automatically guess that whatever seems wrong must be the answer when you see a title like this I can’t believe anyone thinks 15 to 18 mpg is the change that has the bigger impact. It is great how a little understanding of math can help you see the errors in your initial beliefs. Via: 18 Is Enough.

It also illustrates that the way the data is presented makes a difference. You can also view 100 mpg as 1/100 gallon per mile, 2/100 gallons per mile, 5.6/100 gpm and 6.7 gpm. That way most everyone sees that the 6.7 to 5.6 gpm saves more fuel than 2 to 1 gpm does. Mathematics and scientific thinking are great - if you are willing to think you can learn to better understand the world we live in every day.

Related: Statistics Don’t Lie, But People Can be Fooled - Understanding Data - Seeing Patterns Where None Exists - Optical Illusions and Other Illusions - 1=2: A Proof

December 6, 2007

Toyota’s Partner Robot

Toyota partner robot photo

Latest robot in Toyota’s line showcases violin skills

But Toyota’s new robot played a pretty solid “Pomp and Circumstance” on the violin Thursday. The 152-centimetre [about 5 feet] tall white robot used its mechanical fingers to push the strings correctly and bowed with its other arm, coordinating the movements well. Toyota Motor Corp. has already shown robots that roll around to work as guides and have fingers dexterous enough to play the trumpet.

Toyota President Katsuaki Watanabe said robotics will be a core business for the company in coming years. He says Toyota will test out its robots at hospitals, Toyota-related facilities and other places starting next year. He hopes to see partner robots in use by 2010.

“We want to create robots that are useful for people in everyday life,” he told reporters at a Toyota showroom in Tokyo. Watanabe and other Toyota officials said robotics was a natural extension of the automaker’s use of robots in manufacturing, as well as the development of technology for autos related to artificial intelligence, such as sensors and pre-crash safety systems.

As I have mentioned before Toyota continues to invest and plan for the long term. And that future is not limited to automobile manufacture. We posted previously on Toyota’s partner robots. The Curious Cat Engineering Blog Robotics category has a great deal of posts on robots.

On the Toyota web site they list the following areas of non-automotive Toyota business (I don’t understand why robots are not included here): financial services, new business enterprises, marine and most surprisingly Biotechnology and Afforestation.

Related: Toyota as Homebuilder - Toyota Engineers a New Plant: the Living Kind - Toyota’s iUnit webcast (personal transport) - Toyota’s Early History - Interview with Toyota President - More on Non-Auto Toyota - 12 Stocks for 10 Years Update
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November 11, 2007

Engineering Innovation for Manufacturing and the Economy

Editorial: Engineering Innovation, Milwaukee Journal Sentinel:

They are the invisible heroes in business, the men and women who make innovation possible. They are people like Mary Ann Wright at Johnson Controls in Milwaukee, the former chief engineer for the Ford Escape hybrid who is leading a team bent on establishing world leadership in hybrid battery systems.

Or Werner Zobel, a Modine Manufacturing engineer working in Germany who hatched the idea for a new cooling system that the Racine-based company believes could be revolutionary. The system uses ultra-thin layers of aluminum to dissipate heat, a breakthrough that has potential for car and truck radiators and air conditioning condensers.

Intellectual candlepower will fire the regional economy, the Milwaukee 7 regional economic development group believes. Its strategic plan relies on innovation-driven manufacturers that are heavy with engineers. But across the region, those companies say they can’t recruit enough engineers, and they worry that shortages will worsen as baby boomers retire. Complicating the picture is a shortage of visas for foreign-born engineers and increased competition from rapidly developing economies in China and India for those students even when they complete their studies in the United States.

The University of Wisconsin-Milwaukee, Marquette University and the Milwaukee School of Engineering are racing to fill the pipeline. Marquette and UWM are promising expansive new buildings and increased enrollment of both undergraduate and graduate students.

The USA continues to be by far the largest manufacturing in the world. And one important reason is the contributions provided by science and engineering (fed by strong science and engineering schools). In addition to other smart economic policies (The World Bank’s annual report on the easiest countries to do business in ranks the USA 3rd - after Singapore and New Zealand). Wisconsin manufacturing continues to get good discussion on various lean blogs for good reason(More Wisconsin Lean, Wisconsin Continues to Lead in Lean Government, History repeats itself). The success Wisconsin is enjoying is not due to one single factor but the efforts of many actors including companies, universities, government, the press… and groups like the Wisconsin Manufacturing Extension Partnership and the Madison Quality Improvement Network (I have managed MAQIN’s web site since it was created - John Hunter).

Related: Best Research University Rankings - 2007 - S&P 500 CEOs - Again Engineering Graduates Lead - Invest in New Management Methods by William G. Hunter, Commentary to the Milwaukee Journal, 1986

June 19, 2007

Mistakes in Experimental Design and Interpretation

Mistakes in Experimental Design and Interpretation

Humans are very good at detecting patterns, but rather poor at detecting randomness. We expect random incidents of cancer to be spread homogeneously, when in fact true randomness results in random clusters, not homogeneity. It is a mistake for an experiment to consider a pool of 47,000 possibilities, and then only report on the 7 cases that seem interesting.

A proper experiment states its hypothesis before gathering evidence and then puts the hypothesis to the test. Remember when you did your seventh grade science fair experiment: you made up a hypothesis first (”Hamsters will get fatter from eating Lucky Charms than Wheaties”) and then did the experiment to confirm or refute the hypothesis. You can’t just make up a hypothesis after the fact to fit the data.

This is an excellent article discussing very common errors in how people use data. We have tendencies that lead us to draw faulty conclusions from data. Given that it is important to understand what common mistakes are made to help us counter the natural tendencies.

Related: Seeing Patterns Where None Exists - Illusions, Optical and Other - Understanding Data - Dangers of Forgetting the Proxy Nature of Data - How to Deal with False Research Findings - descriptive “theory” and normative theory

March 13, 2007

Simple Solutions That Work

Nurse, the maggots

Maggots clean wounds 18 times faster than normal treatments, can conquer MRSA and would save the NHS millions.

Recent studies have indicated that maggot therapy can cut treatment duration from 89 days to just five, and slash the cost from £2,200 to £300 per patient. Moon describes the grubs as “a highly cost-effective, highly efficient but forgotten and undervalued method of treatment”, and Caroline Flint, the Public Health Minister, says that using fly larvae (maggots) is “increasingly common” and “an illuminating idea”

In trials in Wales and Manchester, says Moon, patients not only recovered faster but noticed less smell and felt less pain from their rotting flesh when maggots were allowed to eat it. “Maggots are highly precise,” she says. “Unlike surgeons, they remove only the rotting tissue. Surgeons have to cut out healthy tissue to clear the wound, thereby creating a larger wound and more bleeding.”

I can believe we would avoid such a simple solution even it is more effective (the health care system seems perfectly capable of avoiding simple effective solutions to me). I hope we pursue scientific study of the most effective solutions - even if they don’t fit with the current way of thinking. It seems to me the health care system needs to find creative and cost effective solutions.

Related: USA Health Care System Costs Reach 16% of GDP - Lean UK Hospitals - Management Improvement in Healthcare - Maggot Therapy Project - Maggots make medical comeback

February 14, 2007

Scientific Thinking - the Modern Way

“Scientific thinking” the modern way by Bill Harris:

What does this all mean? It simply means that Fisher’s designed experiments give us better and faster means to extract insight from tests on system dynamics models than the old one-factor-at-a-time approach.

I thank Deb Schenk, then (and perhaps now) statistician at Hewlett-Packard Company, for teaching me and others about the design of experiments using Statistics for Experimenters: An Introduction to Design, Data Analysis, and Model Building back in 1981-82.

I admit to a bit of bias, in seeing my father’s book (Statistics for Experimenters 2nd edition was published last year by the way), referenced but Bill Harris is exactly right in the power of design of experiments. The most recent post discusses Ackoff’s excellent f-Laws and a previous post discusses Deming (titled, It’s the process) so I couldn’t resist adding a post myself.

Related: design of experiments posts - Ackoff’s New Book: Management f-Laws

January 25, 2007

Innovative Marketing Podcast

Lego Mindstorms

This podcast on Lego Mindstorms NXT, Lead Users, and Viral Marketing is interesting. The discussion does a good job of explaining how factors like web 2.0 and “open source” can allow business to operate in a new way and take advantage of new opportunities. Understanding these ideas is much more innovative than most of what I read in the “business press.” And the message is explained clearly, so one does not need to understand these concepts to appreciate the business opportunities. See links below: Lego Mindstorms are also just cool.

via: eContent

Related: Open Source for LEGO Mindstorms - Lego Learning - science and engineering podcast libraries - Gadgets and Gifts - Intellectual Property Rights and Innovation - Better and Different

January 22, 2007

Systems Improvement Example

New Jamarat Bridge Saudi Arabia

Interesting paper - The Dynamics of Crowd Disasters: An Empirical Study (also see the supplemental materials). Systems thinking allowed the engineers to design a solution that wasn’t about enforcing the existing rules more but changing the system so that the causes of the most serious problems are eliminated.

analysis of unique recordings of the Muslim pilgrimage in Mina/Makkah, Saudi Arabia. It suggests that high-density flows can turn “turbulent” and cause people to fall. The occuring eruptions of pressure release bear analogies with earthquakes and are de facto uncontrollable.

entrance of the previous Jamarat Bridge, where upto 3 million Muslims perform the stoning ritual within 24 hours.
On the 12th day of Hajj, about 2/3 of the pilgrims executed lapidation even within 7 hours.

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January 10, 2007

Applied Quality Engineering Education

Classroom projects translate into immediate workplace gains for working professionals in engineering

In the final semester of his UW–Madison master’s degree, Bob Aloisi didn’t just earn a letter grade in his quality engineering class: He saved his company $50,000. It wasn’t the typical classroom outcome — but it wasn’t a typical classroom. As a student in “Quality Engineering and Quality Management,” Aloisi accomplished a major class project in quality improvement at his own workplace.

The project is the capstone experience in the College of Engineering’s award-winning distance-education program, the Master of Engineering in Professional Practice (MEPP). Designed for mid-career engineers who live and work all over the country, MEPP’s Internet-based curriculum strives to provide knowledge students can apply immediately at their companies.

“Our project was a very good example of the Kaizen approach,” says Aloisi. “It wasn’t one specific thing, a home run type of thing, that we changed to make our improvements.” Instead, his team met its targets through many small steps, including adjustments to equipment settings and better training for machine operators.

Good news. Related: Wisconsin Manufacturing - Improving Engineering Education - Teaching Quality Improvement by Quality Improvement in Teaching - The Lean MBA

July 16, 2006

Better Manufacturing in UK

My design for better manufacturing in UK by James Dyson:

The way forward is to make things that are better designed, better engineered and with better technology than our competitors’ products. This is the blueprint for 21st-century success embraced by Japan. It is why Japan makes six times as many patent applications as Britain and spends three times as much on research and development. The Japanese government is about to spend £128 billion on research and development. The figure in Britain is £1 billion.

He at least partially gets the idea. I think he could benefit from studying and exploring the Toyota Production System - perhaps he could attend the seminars by Toyota UK. Still he is encouraging some of the right stuff, and the innovative engineering school he is half funding seems like a very good idea.
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June 17, 2006

Curious Cat Science and Engineering Blog

We have updated the design of the Curious Cat Science and Engineering Blog. Please share your comments on the design: we plan on moving this blog to a similar design. (more…)

May 25, 2006

Improving Engineering Education

On our Science and Engineering blog I just posted on the Olin Engineering Education Experiment. It is a great story of doing things differently.

The Franklin W. Olin College of Engineering was founded with a donation of over $400 million and opened to students in 2002. All students get a full tuition scholarship. Interesting article: The Olin Experiment by Erico Guizzo gives an excellent overview of the different focus of the school:

Olin’s aim is to flip over the traditional “theory first, practice later” model and make students plunge into hands-on engineering projects starting on day one. Instead of theory-heavy lectures, segregated disciplines, and individual efforts, Olin champions design exercises, interdisciplinary studies, and teamwork.

To some extent this is something a number of schools are attempting to do. (more…)

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