Category Archives: Systems thinking

Giving Away Your Service for Free on Weekends

Copilot is a cool application that lets you control someone else’s computer. So you can receive technical support remotely. You let someone access your computer and copilot takes care of the sometimes very complex task of linking the two computers up (getting through firewalls, etc.). You can use it to fix your parents computer after you move away… or you can can have your kid fix your computer for while you pay for part of their college… (I am not … Continue reading →

Posted in Creativity, IT, Management, Systems thinking | Tagged , , | 3 Comments

Learn from Russel Ackoff

The In Thinking network offers many great ways to learn. This week they have 4 hour long conference call discussions with Russ Ackoff. Thought Pieces (suggested links to review in preparation for the conference call) Lecture on “Systems Practice” at Open University (audio file) Transforming the Systems Movement A Major Mistake that Managers Make From Mechanistic to Social Systems Thinking These four resources are great, even if you are not going to participate in the conference calls. Related: articles by … Continue reading →

Posted in Career, Education, Management, Systems thinking

Creating Jobs

Do Lean Companies Create Fewer Jobs? No, they create more. If you assume the lean company grows sales at the same rate as some poorly management company then it may well be that the lean company creates fewer jobs. However that is not a valid assumption. Deming provided the reason in his presentations to Japan in the 1950’s with his chain reaction. From page 3 of Out of the Crisis Improve Quality —> Costs decrease because of less rework, fewer … Continue reading →

Posted in Career, Deming, Economics, Lean thinking, Management, Popular, Systems thinking | Tagged , , , , | 5 Comments

Prediction Markets with Google Employees

Another interesting experiment from Google: Using Prediction Markets to Track Information Flows: Evidence from Google In Google’s terminology, a market asks a question (e.g., “how many users will Gmail have?”) that has 2”5 possible mutually exclusive and completely exhaustive answers (e.g., “Fewer than X users”, “Between X and Y”, and “More than Y”). Each answer corresponds to a security that is worth a unit of currency (called a “Gooble”) if the answer turns out to be correct (and zero otherwise). … Continue reading →

Posted in Creativity, Data, Economics, Google, Psychology, Statistics, Systems thinking

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 … Continue reading →

Posted in Creativity, Data, Deming, Health care, Innovation, Management, Quality tools, Science, Statistics, Systems thinking | Tagged , , , , , , | 2 Comments

Communicating Change

Response to: Sales Compensation Plan Changes [the broken link has been removed] I believe the best way to communicate such changes is to explain how they tie into the long term vision of the organization. This requires that such a vision actually exists (which is often not the case). Then all strategies are communicated based on how they support and integrate with that vision. In addition that communication strategy incorporates an understanding about what weaknesses with past practices are addressed … Continue reading →

Posted in Deming, Management, Systems thinking | Tagged , , , , | 5 Comments

Dr. Deming 4 Day Seminar

The W. Edwards Deming Institute is sponsoring a 4 day seminar using videos of Dr. Deming’s seminars and facilitated by Ed Baker, Dave Nave, and Joyce Orsini: Quality, Productivity, and Competitive Position. Ed Baker was the person at Ford responsible for helping Ford apply Dr. Deming’s ideas. Hear and watch Dr. W. Edwards Deming identify faulty management practices. He will describe how, as better practices are introduced, quality of products and services increases, costs decline, and you create a globally … Continue reading →

Posted in Career, Deming, Education, Management, Systems thinking

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 … Continue reading →

Posted in Economics, Lean thinking, Management, Manufacturing, Public Sector, Science, Systems thinking | Tagged , , , | 4 Comments

The Problem with Targets

Targets can seriously damage your health by Simon Caulkin Targets, claim their defenders, are simple, they provide focus, and they work. Yes, they do. Unfortunately, these are also their fatal flaws. The simplicity is a delusion. As Russ Ackoff put it: ‘The only problems that have simple solutions are simple problems. The only managers with simple problems are those with simple minds. Problems that arise in organisations are almost always the product of interactions of parts, never the action of … Continue reading →

Posted in Deming, Management, Performance Appraisal, Systems thinking

The Lazy Unreasonable Man

“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” – George Bernard Shaw, Man and Superman That quote sprang to mind when I read the great post – In praise of the lazy employee They want to know why it takes five signatures to get something approved when one should do. They want to know why the forecasting effort should take … Continue reading →

Posted in Fun, Management, Psychology, quote, Systems thinking | 5 Comments

Fooled by Randomness

This is a nice article discussing how people are often fooled by thinking there must be special causes for patterns in random data. I still remember my father showing my classes these lessons when I was in grade school. Playing At Dice – What That “Weekend Exercise” Was All About: Yes, that’s more or less the point. If the system is behaving statistically, it will show apparent sequential trends that in reality are mirages. The dice experiment demonstrates that – … Continue reading →

Posted in Data, Management, Statistics, Systems thinking | 3 Comments

Enhancing Passion of Employees

What can we do to enhance passion amongst employees? Some think you need to pay people more. If tomorrow you doubled everyone’s pay they are excited for a short time a few months later everything is the same on the passion front (it would lesson turnover as people stay for the extra money compared to what they would get elsewhere). Douglas McGregor explained, in the Human Side of Enterprise, nearly 50 years ago, the theory x and theory y styles … Continue reading →

Posted in Management, Psychology, Respect, Systems thinking | 4 Comments

Bring Me Solutions Not Problems

My comments on: No Problem Without a Solution [I removed the broken link] I understand that most managers feel that their employees should not bring them problems. Instead, expressed in the most positive way, employees should fix things or bring possible improvements. However, I think that is poor management. I understand there may well be more detail than you provide that adds a more sensible (but more complex) reaction that stated in your post about your situation. However, there are … Continue reading →

Posted in Lean thinking, Management, Psychology, Respect, Systems thinking | Tagged , , , , , , , | 8 Comments

CEO’s Given Lottery Sized Payouts

Comment on: Fun With Statistics, CEO Life Edition In the US, CEO’s tend to be fairly interchangeable these days and it is rare for their tenure to exceed five years. There are some notable exceptions such as chain-saw Al and Neutron Jack, but in general a change of CEO doesn’t seem to do much over the long term. This is one of the criticisms of American CEO’s they seem to be more interested in feathering their nest and getting out … Continue reading →

Posted in Deming, Management, Performance Appraisal, Systems thinking | 2 Comments

Seven Fatal Flaws of Performance Measurement

The Seven Fatal Flaws of Performance Measurement by Joseph F. Castellano, Saul Young, and Harper A. Roehm Performance measurement systems are used to establish specific goals, align employee behavior, and increase accountability. Organizations often use these systems to set targets for component units (e.g., individuals, profit centers, divisions, plants). Each unit is expected to develop its own goals consistent with overall targets. This process, sometimes called a “roll-up,” reflects the premise that if all units achieve their targets then the … Continue reading →

Posted in Deming, Management, Performance Appraisal, Statistics, Systems thinking

Employees That Telecommute are the Most Loyal

In Loyal Employees Stay Home, quotes from the Wall Street Journal (behind a iron curtain still in this day and age – oh well): “When companies allow employees to work remotely or from home, they are explicitly communicating to them that ‘I trust you to be dedicated to the accomplishment of the work, even if I’m not able to observe you doing it,’ ” says Jack Wiley, executive director of the institute, which is in Minneapolis. “It boils down to … Continue reading →

Posted in Creativity, IT, Management, Respect, Systems thinking | 3 Comments