Category Archives: Economics

Burning Toast: American Health System Style

Posted on October 4, 2016 by John Hunter

Democrats and Republicans have created a health care system in the USA over the last 40 years that “burns toast” at an alarming rate. As the symptoms of their health care system are displayed they call in people to blame for burning toast. Their participation in the “you burn, I’ll scrape” system is even worse than the normal burning then scraping process. They create a bad system over decades and ignore the burnt toast just telling people to put up … Continue reading →

Posted in Economics, Health care, Management, Public Sector | Tagged , , , , ,

Decades Later The USA Health Care System is Still a Deadly Disease for Our Economy

Posted on March 30, 2016 by John Hunter

Decades ago W. Edwards Deming named 7 deadly diseases of western management. One of those was excessive health care costs. Sadly that deadly disease has become much worse in the last several decades. Americans pay 300% more for this prostate cancer drug than much of the rest of the world Xtandi, a prostate cancer drug co-licenced by Japan’s Astellas Pharma and Medivation Inc. was developed at a U.S. university with grants funded by taxpayer dollars. That gives the federal government … Continue reading →

Posted in Competition, Economics, Health care | Tagged , , , , , | 3 Comments

Kleptocrat CEOs and Their Apologists

Posted on March 10, 2014 by John Hunter

I am disgusted by the lack of ethical and moral fiber of many CEOs of the largest corporations (along with their cronies and apologists) in the USA. This lack comes out in many ways (see all the scandals at the too-big-to-fail banks etc.) but the problem I am upset about now is the increasingly commonplace kleptocrat behavior. CEOs, and their cronies, were well paid decades ago. As their greed about their pay got to be unethical Peter Drucker started to … Continue reading →

Posted in Economics, Investing, Psychology | Tagged , , , , , , | 2 Comments

Manufacturing Outlook and History In the USA and Globally

Posted on February 27, 2014 by John Hunter

I write primarily about management improvement on this blog – which makes sense given the title. In the very early days I had more on investing, economic data, science, engineering and travel. Then I created three new blogs (Curious Cat Investment and Economics Blog, Curious Cat Science and Engineering Blog, Curious Cat Travel Photos blog) and that made this blog more focused. Even so the lines of what fits where can be a bit fuzzy and I continue to write … Continue reading →

Posted in Economics, Manufacturing | Tagged , , , , , , , | 1 Comment

Business 901 Podcast: Two New Deadly Diseases for Business

Posted on February 4, 2013 by John Hunter

I continue to record podcasts as I promote my new book – Management Matters: Building Enterprise Capability. In this podcast I discuss the 2 new deadly diseases facing companies. The second part of the Business 901 podcast will be posted soon. Links to more information on items discussed in the podcast: Dr. Deming’s 7 Deadly Diseases + 2 Executive pay: Excessive Executive Pay (2005) Taking What You Don’t Deserve, CEO Style (2011) Warren Buffett: “Too often, executive compensation in the … Continue reading →

Posted in Deming, Economics, Management | Tagged , , , , , , , , | 1 Comment

The Market Discounts Proven Company Leadership Far Too Quickly

Posted on January 28, 2013 by John Hunter

Developing a strong executive leadership culture is not a short term effort. It isn’t based on one person. It almost never deteriorates quickly. Yet markets continually overact to minor blips on the long term success of companies. I think this is mainly due to a failure to appreciate systems and a failure to appreciate variation along with plenty of other contributing factors. The market’s weakness does provide investment opportunities. Though taking advantages of them is much more difficult than spotting … Continue reading →

Posted in Data, Economics, Investing | Tagged , , , , , | 1 Comment

Using Incentives to Guide Social System Improvements

Posted on December 5, 2012 by John Hunter

When confronted with the challenge of managing a social system (or market) I like to find ways to use a few simple rules that will guide the system to find improvements. I favor allowing participants in complex social system to determine how to adapt. So I support, for example, a carbon taxes where the market can decide where it is most effective to invest to reduce carbon use (both to reduce our depletion of the resource and to reduce pollution … Continue reading →

Posted in Creativity, Economics, Public Sector, Systems thinking | Tagged , , , | 2 Comments

New Deadly Diseases

Posted on August 29, 2012 by John Hunter

Management and the economy keep evolving. Many good things happen. In the last decade the best things are probably the increased deep adoption of lean thinking in many organizations and the adoption of lean and Deming methods in software development (agile software development, kanban and lean startup [which I do realize isn’t limited to software development]). Sadly all the deadly diseases Dr. Deming described remain. And, as I said in 2007, I think 2 new diseases have become so widespread … Continue reading →

Posted in Creativity, Deming, Economics, Innovation, Lean thinking, Management, quote, Systems thinking | Tagged , , , , , , , , , | 12 Comments

Marketplace Looks at the Apple Economy

Posted on April 15, 2012 by John Hunter

Marketplace looks at the Apple economy in China [the broken link was removed]. Marketplace is an excellent source of actual journalism; rare in the post Bill Moyers days, sadly. A look inside a Foxconn factory< [the broken link was removed] The first misconception I had about Foxconn’s Longhua facility in the city of Shenzhen was that I’ve always called it a ‘factory’ — technically, it is. But after you enter the gates and walk around, you quickly realize that it’s … Continue reading →

Posted in China, Economics, Manufacturing | Tagged , , , | 1 Comment

Looking at Auto Manaufacturing in the USA

Posted on February 6, 2012 by John Hunter

America’s Dirty War Against Manufacturing Bob Lutz, the former head of GM, says it was neither uncompetitive wages nor unions that drove the Big Three into decline. It was a management with its eye focused on the bottom line and the short term. That sentiment should be familiar to students of Deming (it is one of Deming’s 7 deadly diseases). It is sad that this bad management practices, short-term thinking, continues to do harm several decades later. Hopefully we can … Continue reading →

Posted in Deming, Economics, Manufacturing | Tagged , , , , , , , | 1 Comment

USA Spent $2.6 Trillion, $8,402 per person,17.9% of GDP on Medical Expenses in 2010

Posted on January 19, 2012 by John Hunter

The federal government financed 29% of total health spending in 2010, a substantial increase from its share of 23% in 2007. Meanwhile, the shares of the total health care bill financed by state and local governments (16%), private businesses (21%), and households (28%) declined during the same time period. Continue reading →

Posted in Economics, Health care, Systems thinking | Tagged , , , , , , | 2 Comments

Taking What You Don’t Deserve, CEO Style

Posted on December 8, 2011 by John Hunter

The excesses to which CEO’s and their board buddies go to in taking from corporate treasuries what they don’t deserve continues to amaze me. The level to which the bad behavior is accepted is apparent in the lack of progress at dealing with those that are taking what they have no moral right to. As shouldn’t have to be explained (but maybe does) leadership isn’t about avoiding being indicted. The levels to which these people take from the organization they … Continue reading →

Posted in Deming, Economics, Investing, Management, Psychology, Respect | Tagged , , , , , | 5 Comments

Manufacturing Jobs Increasing for First Time Since 1998 in the USA

Posted on September 29, 2010 by John Hunter

Surprise! Blue collar jobs are coming back [the broken link was removed] Manufacturing employment began its decline long before the recession, losing jobs every year since 1998. But since the start of this year, there’s been a 1.6% gain in manufacturing jobs — about twice the pace of growth in other private sector jobs. … The unemployment rate for manufacturing workers has also shown much greater improvement than for workers overall, dropping to 9.5% in August from 13% in December. … Continue reading →

Posted in Economics, Manufacturing | Tagged , , | 2 Comments

Managing Our Way to Economic Success

Posted on August 23, 2010 by John Hunter

From Managing Our Way to Economic Success, Two Untapped Resources by William G. Hunter, my father. Written in 1986, but still plenty relevant. We have made some good progress, but there is much more to do: we have barely started adopting these ideas systemically. there are two enormously valuable untapped resources in many companies: potential information and employee creativity. The two are connected. One of the best ways to generate potential information to turn it into kinetic information that can … Continue reading →

Posted in Creativity, Economics, Management, Process improvement, Quality tools, Respect, Statistics, Systems thinking | Tagged , , , , , , , , , ,

Manufacturing in the USA, and Why Organizations Often Don’t

Posted on May 9, 2010 by John Hunter

Manufacturing in the USA continues to do well. But it could do better. There are reasons manufacturing that could be located in the USA is not. And addressing those can increase USA manufacturing. Some reasons are sensible, based on the existing economics and realities of comparative advantage. Some reasons are just flawed thinking, such as the “spreadsheet management” taught at many business schools that Deming and lean thinkers can understand the flawed thinking that leads to outsourcing. Typical wall street … Continue reading →

Posted in Economics, Manufacturing | Tagged , , , | 3 Comments

Net Neutrality, Policy, Economics and Intelligent Engineering

Posted on April 13, 2010 by John Hunter

I believe net neutrality should be championed to prevent decay of the usability of the internet. It seems to me internet connectivity is a natural monopoly that economic theory says should be a regulated monopoly. Smart countries have invested in providing much better internet connectivity that the USA has at much lower prices. Now in the USA we have companies that seek to control internet connectivity and then use that monopolistic control to favor higher margin efforts. So force those … Continue reading →

Posted in Economics, Google, Innovation, IT | Tagged , , , , , | 3 Comments