Category Archives: Respect

Some Firms Cut Costs Without Resorting to Layoffs

Posted on December 17, 2008 by John Hunter

Some Firms Cut Costs Without Resorting to Layoffs Hypertherm Inc. has never laid off a permanent employee in its 40-year history. A 20% downturn in sales in recent months led the closely held maker of metal-cutting equipment to eliminate overtime, cut temporary staff and delay a facility expansion, says Chief Executive Dick Couch. Managers are transferring employees to busy segments from those with less work. The Hanover, N.H., company also may bring some outsourced manufacturing in-house to keep its 1,100 … Continue reading →

Posted in Deming, Management, Process improvement, Respect, Systems thinking | Tagged Deming, economy, jobs, layoffs, management

How Private Equity Strangled Mervyns

Posted on December 12, 2008 by John Hunter

I do not like the actions of many in “private equity.” I am a big fan of capitalism. I just object to those that unjustly take from the other stakeholders involved. It is not the specific facts of this case, that I see as important, but the thinking behind these types of actions. Which specific actions are to blame for this bankruptcy is not my point. I detest that financial gimmicks by “private capital” that ruin companies. Those gimmicks that … Continue reading →

Posted in Deming, Management, Respect, Systems thinking | Tagged ethics, management, Respect, short term thinking, Systems thinking

Family Business Gives $6.6 million in Bonuses to Workers

Posted on November 29, 2008 by John Hunter

The PEER Bearing Company (a manufacturer of bearings based in Illinois) was bought out by a Swedish company this year. The family that had owned the company gave surprise bonuses of $6.6 million to the 230 employees of the company (an average of over $28,000). family thanks employees with surprise bonuses Family members signed two thank-you cards to each employee, one in Spanish and one in English, expressing gratitude for “the loyalty and hard work of our employees over the … Continue reading →

Posted in Management, Respect | Tagged bonus, jobs, Manufacturing, respect for people | 2 Comments

Thanksgiving: Micro-financing Entrepreneurs

Posted on November 28, 2008 by John Hunter

This is a post from my Curious Cat Investing and Economics Blog. For me, giving back to others is part of my personal financial plan. As I have said most people that are actually able to read this are financially much better off than billions of other people today. At least they have the potential to be if they don’t chose to live beyond their means. Here are some of the ways I give back to others. Kiva is a … Continue reading →

Posted in Economics, Respect | Tagged charity, Economics, respect for people | 3 Comments

Honda has Never had Layoffs and has been Profitable Every Year

Posted on November 25, 2008 by John Hunter

Engineers Rule, 2006 Longtime auto analyst John Casesa, who now runs a consulting company, says, “There’s not a company on earth that better understands the culture of engineering.” The strategy has worked thus far. Honda has never had an unprofitable year. It has never had to lay off employees. … The lean and compact Fukui, like all of his predecessors, is an engineer who started in R&D and later ran the subsidiary. While other auto chief-executives-to-be were punching keyboards in … Continue reading →

Posted in Deming, Lean thinking, Management, Respect | Tagged cars, engineering, executive pay, Japan, layoffs, management | 7 Comments

What’s the Value of a Big Bonus?

Posted on November 21, 2008 by John Hunter

What’s the Value of a Big Bonus? by Dan Ariely To look at this question, three colleagues and I conducted an experiment. We presented 87 participants with an array of tasks that demanded attention, memory, concentration and creativity. We asked them, for instance, to fit pieces of metal puzzle into a plastic frame, to play a memory game that required them to reproduce a string of numbers and to throw tennis balls at a target. We promised them payment if … Continue reading →

Posted in Data, Deming, Management, Psychology, Respect, Systems thinking | Tagged bonus, Data, executive pay, experiments, extrinsic motivation, Psychology

Ford’s Camaçari Plant in Brazil

Posted on November 18, 2008 by John Hunter

Brazil’s Camaçari plant is model for the future This state-of-the-art manufacturing complex in the northeastern Brazilian state of Bahia is not only the centerpiece of Ford’s Brazilian turnaround plan, it is also one of the most advanced automobile plants in the world. It is more automated than many of Ford’s U.S. factories, and leaner and more flexible than any other Ford facility. It can produce five different vehicle platforms at the same time and on the same line. … At … Continue reading →

Posted in Innovation, Manufacturing, Respect, webcast | Tagged cars, Innovation, Manufacturing, Respect, South America, webcast | 3 Comments

Tilting at Ludicrous CEO Pay 2008

Posted on November 10, 2008 by John Hunter

I continue to tilt at the robber barron CEO pay packages (2007 post on CEO pay abuses). 2007 pay rank Company CEO Pay 5 Year Pay CEO % of 2007 Earnings 1 Apple Steve Jobs $646,600,000 $650,170,000 18.5% 2 Occidental Petroleum Ray Irani $321,640,000 $509,530,000 5.9% 3 IAC Barry Diller $295,140,000 $512,270,000 Company Lost Money 4 Fidelity National Financial William Folley $179,560,000 NA 138.4% 5 Yahoo! Terry Semel $174,200,000 $432,490,000 26.4% 7 Countrywide Financial Angelo Mozilo $141,980,000 $295,730,000 Company Lost … Continue reading →

Posted in Data, Economics, Management, Respect, Systems thinking | Tagged commentary, curiouscat, Economics, executive pay, overpaid executives, quote, respect for people, stakeholders | 5 Comments

Righter Incentivization

Posted on November 5, 2008 by John Hunter

Incentive schemes to get people “motivated” often backfire. Why can’t we figure out how to incentivize the behavior we desire and have it not backfire on us? What is the righter way to dangle incentives in front of our employees to get them to do what we want? Well aiming at that is a bad strategy. Using extrinsic motivation less badly is possible but the correct answer is just don’t do it. The problems of individual incentives seem to far … Continue reading →

Posted in Deming, Management, Psychology, quote, Respect, Systems thinking | Tagged curiouscat, Deming, Douglas McGregor, extrinsic motivation, John Hunter, motivation, quote | 7 Comments

CEOs Plundering Corporate Coffers

Posted on October 22, 2008 by John Hunter

Pointy haired bosses broke the code they provided on their site for embedding a Dilbert comic, so I removed the broken code. Dogbert: “I am stepping down as CEO so I can spend more time with the money I stole from this hellhole.” Unfortunately we still have far too few people that see the obscene behavior of CEOs and their brooks brother bureaucrats as unacceptable. The behavior of many of them has been similar to that of dictators looting the … Continue reading →

Posted in Management, Respect, Systems thinking | Tagged commentary, ethics, executive pay, Management, overpaid executives | 17 Comments

Flaws in Understanding Psychology Lead to Flawed Management

Posted on October 21, 2008 by John Hunter

I people are self interested and somewhat rational. However, self interest, is complex. People want to be liked, people want to be part of something good, people want to feel they are appreciated… Continue reading →

Posted in Management, Psychology, Respect | Tagged commentary, curiouscat, Deming, John Hunter, Psychology, quote, respect for people | 5 Comments

Idle Workers Busy at Toyota

Posted on October 12, 2008 by John Hunter

Idle Workers Busy at Toyota Instead of sending the workers home, as the Detroit makers often do, Toyota is keeping them at the plants, though. The employees spend their days in training sessions designed to sharpen their job skills and find better ways to assemble vehicles. … At its Princeton plant, by contrast, Toyota is using the down time to hone its workers’ quality-control and productivity skills. The company has pledged never to lay off any of its full-time employees, … Continue reading →

Posted in Lean thinking, Management, Management Articles, Manufacturing, Respect, Toyota Production System (TPS) | Tagged Manufacturing, respect for people, Systems thinking, Toyota, training | 2 Comments

Motivate or Eliminate De-Motivation

Posted on October 7, 2008 by John Hunter

A huge failure I still see is managers thinking in a theory x way, 50 years after McGregor’s The Human Side of Enterprise. Continue reading →

Posted in Deming, Management, Psychology, Respect | Tagged commentary, curiouscat, demotivate, John Hunter, motivation, Psychology, respect for people, Software Development | 5 Comments

Dr. Deming’s 15th Point

Posted on September 24, 2008 by John Hunter

Guest post from John McConnell, Wysowl Pty Ltd Dr. Deming opened his first Australian seminar in 1986 with the question, “What are we here to do”? After some discussion he answered his own question with, “To learn”, and “To have a good time”. He repeated this opening at subsequent seminars. The Fifteenth Point Mr. Murray Mansfield of Melbourne has what I believe to be the only completely up to date version of Dr. Deming’s famous Obligations for Top Management. After … Continue reading →

Posted in Deming, Fun, Management, Psychology, Respect | Tagged Deming, guest post, Joy in Work, respect for people

Kiva Fellows Blog: Nepalese Entrepreneur Success

Posted on August 30, 2008 by John Hunter

Kiva is a great charity and example of how to use the web effectively. Kiva has added a fellows blog – which is a great idea. Continue reading →

Posted in Economics, Respect | Tagged Economics, entrepreneur, global, respect for people | 3 Comments

Individual Bonuses Are Bad Management

Posted on August 7, 2008 by John Hunter

Gojko Adzic provides a nice post on Mary Poppendieck’s presentation at Agile 2008 on bonus, compensation and motivation: Paying programmers: are bonuses bad and what to do about it? In software development, it is very hard to establish the effects of individual contributions and good teamwork is key to the project. Most individual compensation schemes, according to the presentation, absorb vast amounts of management time and resources and leave nobody happy, but team compensation strategies are not easy to implement. … Continue reading →

Posted in Competition, IT, Management, Performance Appraisal, Psychology, Respect, Software Development, Systems thinking | Tagged bonus, Deming, Performance Appraisal, programming | 1 Comment