All Models Are Wrong But Some Are Useful

“All Models Are Wrong But Some Are Useful” -George Box

A great quote. Here is the source: George E.P. Box, Robustness in the strategy of scientific model building, page 202 of Robustness in Statistics, R.L. Launer and G.N. Wilkinson, Editors. 1979.

See more quotes by George Box.

Related: Dangers of Forgetting the Proxy Nature of Dataarticles by George BoxQuotes by Dr. W. Edwards Deming

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Management Improvement Carnival #6

Management Improvement ideas from around the web:

  • Lean Q&A by Jamie Flinchbaugh – “There is no recipe, no three-ring binder approach to lean. If someone brings you an approach and says “here is the best way to implement lean,” please, run away.”
  • Seven steps to remarkable customer service by Joel Spolsky – “The superficial and immediate solution is just to solve the customer’s problem. But when you think a little harder you can usually find a deeper solution”
  • The Seven Habits of Toyota People by Jon Miller – “2. Think about what is the problem… 5. Discuss things with each other 6. Are thorough about genchi gembutsu
  • Why Write it down? by Joe Ely – “Lean is built on standard work. We write down work instructions. We write down paths for material handlers. We ask associates to write down small improvements. We write down kaizen plans.”
  • The Great Lean Consulting Shakeout by Bill Waddell – “Big consulting firms peddling ‘kaizen in a box’ – prepackaged, one size fits all, lean manufacturing through kaizen events – are collapsing as well they should… The best I can do is to teach, coach, and encourage, but you and the people in your company will have to do all of the hard work.”
  • Plan, Do, Check and Act in the Deming Wheel by Grigor – “After the solution is developed it is checked against a problem it should solve. If goal is not achieved, we should go back to a planning phase. If goal is achieved solution can be applied widely.”
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Write it Down

Why Write it down?

The longer I pursue Lean, the more I am amazed with its fundamentals. I may write more about this in the near future. Like the emphasis to write things down.

In meetings, writing down decisions (what is the issue, who is going to do what…) is very helpful. It is very easy for people to think everyone agrees to some somewhat clear statements made in the meeting. Only later it becomes obvious several people have different understandings of what was agreed to. Sometimes this is even really known in the meeting but it is easier to let things slide instead of confronting the disagreement. But this is not helpful, it just means the issue is not properly addressed. It might make the meeting easier but that should not be the goal.

Writing down decisions greatly reduces the chance of miscommunication. In a meeting clearly writing down decisions (action items etc.) for everyone to see (on a flip chart for example) is a vey useful tactic to improve communication.

Russell Ackoff also has some great stuff on the importance of documenting decisions – both to serve as guide posts to future action and to serve as documentation that can be examined over time to find historic weaknesses and strengths with decision making in the organization. The Team Handbook is a very good book for improving team meetings and team performance.

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Evolving Excellence – The Book

Evolving Excellence – the book takes posts from the excellent Evolving Excellence blog by Keven Meyer and William Waddell. Those familiar with their work know that the authors provide great insight and take strong positions – they are not timid. The book is an enjoyable read and packed with great ideas focused on lean manufacturing and lean management thinking. I enjoyed the different format of reading the material presented in the blog (though I like the blog even better, linking to other resources…, but books have advantages in certain ways).

Another nice feature is since the material is from a living blog, you can visit the blog and find out new thoughts they have posted on areas that you find especially interesting in the book. The blog also includes comments others have shared on the thoughts expressed in the book and links to online resources.

Related: Curious Cat Management Improvement Blog Directory

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Curious Cat Management Improvement Web Site

The Curious Cat Management Improvement site includes a wide array of resources for management professionals (and has been growing and improving, I hope, since 1996). Our calendar now includes several interesting opportunities including Performance Measures and Statistics Workshop [the broken link was removed] in Richland, Washington, USA by Stephen Prevette. This workshop looks interesting. We have mentioned the presenter in other posts.

Our management improvement job board currently lists jobs including: Six Sigma/Technical Specialist, Supply Chain Project Manager (Google), Quality Control Specialist (Toyota) and Quality Engineer. The service is free, both to those posting and those responding to jobs. If you are looking to fill a management improvement position or for a position please give it a try.

In addition to the blog we also offer links to hundreds of articles on management topics we have selected, a dictionary of management terms, annotated directory to management resources and recommended management books.

Please let us know what you like and what we could improve.

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Six Sigma City Government

A recent report from the Brookings Institution, Reconnecting Massachusetts Gateway Cities [the broken link was removed], has some good words on the efforts of Fort Wayne, Indiana:

In a short time, the city reduced water main replacement costs by 18 percent, cut pothole response time by 86 percent, and slashed the waiting time for building permits from 51 days to 12 days. And because the Six Sigma process permeates all functions of the city’s government, these productivity enhancements have piled up, generating more than $10 million in cost savings over the last five years.

In this time, Fort Wayne’s first-in-the nation municipal foray into Six Sigma practices has proven that statistical analyses and stringent quality control standards do not lose their power outside the boardroom. Such data-centric attention to detail, in fact, is making all the difference.

Related: Doing More With Less in the Public Sector: A Progress Report from Madison, WisconsinPublic Sector ManagementLean Government – Quality Best Practices in Government [the link that ASQ broke was removed] – Six sigma management resources

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The Georgetown Kentucky Way

The Scott County Way [the broken link was removed] by Jillian Ogawa:

It seemed only natural that Toyota’s corporate culture would influence the local schools, said Superintendent Dallas Blankenship. He estimated that one in three students in the school district have one or more parents that work for either Toyota or a Toyota supplier. The school district has had several partnership programs with Toyota in Georgetown. “Simply over time, we learned a lot of practices that have helped us to become a better school system,” he said.

Center for Quality People and Organizations:

The QUEST process consists of teaching students teamwork philosophies to learn current curriculum in all different subject areas. We provide a safe environment (parameters/ground rules) and a process for the students to conduct their groups using problem-solving techniques (PDCA: Plan Do Check Act)

Great. The Education area does require special care but management improvement concepts can work very well in education. David Langford has done some great work in this area as has Alfie Kohn. They are not focused on the Toyota Way but their principles and lean thinking go together well and there expertise in the education area is very important.

via: Scott County Schools Trying Out the Toyota Way [the broken link was removed]

Related: K-12 (kindergarten though high school) improvement resourcesarticles on quality educationposts on Toyota management methodsquality learning books

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Firing Workers Isn’t Fixing Problems

I commented on a post on Evolving Excellence that Jim Jubak is a wall street guy who has good ideas. He has posted another good article: Firing workers isn’t fixing problems [the broken link was removed]

Both CEOs, Edward Zander at Motorola and Jeffrey Kindler at Pfizer, of course, kept their jobs and their paychecks. According to Motorola’s latest proxy statement, Zander received a salary of $1.5 million, a $3 million bonus and $2.3 million in restricted stock in 2005.

For this kind of money, investors — let alone the workers who are being fired — deserve something a little more imaginative as a turnaround strategy. Cutting jobs has become a reflex, not because it works especially well at fixing the real problems at companies like these but because firings produce the kind of immediate earnings improvements that help CEOs keep their jobs. Getting rid of workers, you see, lets a company forecast the kind of immediate cost savings and surging profit margins that keep shareholders from marching on the executive suite.

Right. Wall street is not incapable of seeing past short term “thinking.” Even if many on wall street can’t seem to understand. I am far from convinced short term thinking is Wall Street’s fault, it seems to me many executives have this problem and blame “Wall Street.” I believe short term thinking is mainly management’s fault.

Short term thinking is part of the management system. Exorbinant executive pay exacerbates the problem. A failure to understand variation exacerbates the problem.

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Dell Innovation

Dell has been taking some interesting actions recently. Several months ago they started blogging and interacting with bloggers. Those steps have been interesting since few other companies of their size have taken such action (nothing amazing, but seem much beyond the common corporate, totally out of touch attempts to adopt new technology – they seemed to be committed to actually try to learn about interactive web thinking).

They recently created IdeaStorm to Turn Up the Volume of Customer Voice [the broken link was removed] (quite an innovative attempt at customer focus). There are issues with the method they are using, but innovation is about trying to find new ways of doing things there often are questions about the new methods. The simple view is they are using the a tool of the social web (Digg, Reddit) to discover what the users of IdeaStorm want from Dell (obviously this is only a subset of Dell potential customers – and a small one I would imagine). Essentially users can post ideas and then others promote those they support.

Dell has now announced some actions they are taking based on the results thusfar.
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Interview with Mary Poppendieck

Lean for Software: Interview with Mary Poppendieck:

We start by asking people to draw a Value Stream Map. You start with a customer problem-need request, and you go to where that request is filled. So, you put on “customer glasses”, and now I want to watch what happens to that problem until it is back and the customer problem is solved. You draw a map or a timeline of everything that happens from the time the customer request comes in the organization until the customer has their problem solved. You lay out the activities there and how much of the time are you really adding customer value and how much of the time is just sitting there contending with other work that has to happen.

New book – Implementing Lean Software Development: From Concept to Cash by Mary and Tom Poppendieck.

Related: Competing On The Basis Of Speed (webcast)Problems Caused by Performance Appraisal

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