Management Improvement Carnival #41

Please submit your favorite management posts to the carnival. Read the previous management carnivals.

  • Could Microsoft’s Windows Be Disrupted? by Scott Anthony – “as Clayton Christensen pointed out in his seminal book The Innovators’ Dilemma, market leadership isn’t just an insufficient buffer against disruption, in some cases it is the root cause of failure.”
  • Learning to say no by Dan Markovitz – “The CFO says no when the president want to renovate the offices or hire new people, and the company can’t afford it — that’s part of her fiduciary responsibility. You have a responsibility, too — you have to set expectations about what can be accomplished with the resources (time and people) available.”
  • Connecting to the Customers by Lee Fried – “It is amazing how much you can learn in a short period of time by spending time listening to the voice of the customer. What is just as amazing is how much you can learn from talking to the people who spend forty hours a week listening to the customer”
  • Remembering the Model T by Jon Thompson – “So on the 100th anniversary of the Model T, it seems worth tipping the Toyota hat to Henry Ford and the production techniques he so cleverly harnessed. Those techniques put us all on wheels.”
  • The Hard Sell for Cells by Jon Miller – “The cell brings processes together, thereby bringing people together. The basic unit for natural work teams to form work zones that connected physically and in terms of work flow. When the person working to either side of you directly depends on the work you do to be successful, team spirit can take root.”
  • Why my oil company can’t deliver by “They could make fewer, or at least better timed visits to the customer… I’m guessing because they can’t predict my oil use that well and if they targeted a refill at a 1/4 tank, I’d run out of oil sometimes… And what’s horrible about it is a little extra free information is all they’d need to cut visits and still not have anyone run out of oil.”
  • Systemic problems in US healthcare? by Bill Harris – “Treating the symptoms might make things better in the short term, but we shouldn’t be surprised when they return if the disease remains present. That’s where the systemic approaches come in: they can help us find the structures at work creating our problems, and they can help us test our theories about proposed solutions.”
  • Be Careful with Copying by Mark Graban – “Unfortunately, there are no short cuts to this process. Copying someone else’s layout may end up being suboptimal for your needs.”
  • Interactions and Systems by John Dowd – “Successful managers understand these interactions, how they work and they manage them as well as the main effects.”
  • Continue reading

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Don’t Do What Your Users Say

In, Don’t do what your users say [the broken link was removed], Hanford Lemoore, provides a nice illustration of why customer focus is important but must be done with care.

in UI design it’s important to understand that what a user says and what a user is telling you can be two different things.

I got a good variety of comments back. Constructive thoughts. But I noticed an interesting trend: The most common thing suggested was “Add an undo to the game.” It seems almost everyone who tested the game had asked for an undo option.

I wanted to find the root cause of the “undo” request. I had some friends of mine host a playtest party at their house

During the party I got a lot of great feedback. Just watching someone play my game and see them learn from their mistakes was an incredible experience. But mainly I was watching closely to see if and why anyone was going to request an undo feature. What I saw was surprising.

After the user test is was clear to me that the root cause for undo requests was that the controls were too sensitive for the average player. There were a few other things that were revealed too. People really loved solving the puzzles in the game — the first time. But if they had to restart, they really did not enjoy redoing the puzzles they had already solved. This was another cause of wanting an undo in the game.

This is a great example of looking for the root cause and going to the gemba. You must focus on customers but you must bring thought into how you react. Just doing what they say is likely a bad idea. Ignoring them is also bad. But listening and learning and then adjusting is good.

Related: Pleasing CustomersConfusing Customer FocusWhat Could we do Better?Good Customer Service ExampleFind the Root Cause

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Toyota Winglet – Personal Transportation Assistance

Winglet Personal Mobility Device (kind of like a scooter but you stand just above the wheels and it reaches about the level of your knees)

Toyota has a long term vision. The population of Japan is aging rapidly. Toyota has invested in personal transportation and personal robotic assistance for quite some time. I must admit this new Winglet doesn’t seem like an incredible breakthrough to me (their earlier iUnit seems much better to me – though I am sure much more expensive too). The interest to me is in their continued focus on this market which I think is a smart move. The aging population worldwide (and others) will benefit greatly from improved personal mechanical assistance.

The Winglet is one of Toyota’s people-assisting Toyota Partner Robots. Designed to contribute to society by helping people enjoy a safe and fully mobile life, the Winglet is a compact (you stand just above the wheels and it reaches about the level of your knees) next-generation everyday transport tool that offers advanced ease of use and expands the user’s range of mobility.

The Winglet consists of a body that houses an electric motor, two wheels and internal sensors that constantly monitor the user’s position and make adjustments in power to ensure stability. Meanwhile, a unique parallel link mechanism allows the rider to go forward, backward and turn simply by shifting body weight, making the vehicle safe and useful even in tight spaces or crowded environments.

Toyota plans various technical and consumer trials to gain feedback during the Winglet’s lead-up to practical use. Practical tests of its utility as a mobility tool are planned to begin in Autumn 2008 at Central Japan International Airport (Centrair) near Nagoya, and Laguna Gamagori, a seaside marine resort complex in Aichi Prefecture. Testing of its usefulness in crowded and other conditions, and how non-users react to the device, is to be carried out in 2009 at the Tressa Yokohama shopping complex in Yokohama City.

Toyota is pursuing sustainability in research and development, manufacturing and social contribution as part of its concept to realize “sustainability in three areas” and to help contribute to the health and comfort of future society. Toyota Partner Robot development is being carried out with this in mind and applies Toyota’s approach to monozukuri (“making things”), which includes its mobility, production and other technologies.

Toyota aims to realize the practical use of Toyota Partner Robots in the early 2010s.

On a personal note, I bought some more Toyota stock two weeks ago. The stock had declined a bit recently. Toyota is one of the companies in my 12 stocks for 10 years portfolio.

Related: Toyota Develops Personal Transport Assistance Robot ‘Winglet’No Excessive Senior Executive Pay at ToyotaMore on Non-Auto Toyota

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Individual Bonuses Are Bad Management

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. Mary presented results from HP’s experiments during the beginning of the nineties, when HP allowed 13 local organisations to experiment with team-incentive plans. All programs were discontinued by the 4th year, due to constant changes to the plans which were needed to distribute available money among the teams and a wide dissatisfaction with the plans by employees.

Use profit sharing schemes instead of bonuses to tie people to the organisation goals.
keep in mind the norm of reciprocity — if people feel that they are being treated generously, they will reciprocate it with increased discretionary effort.

As usually Mary Poppendieck provides good advice: Mary Poppendieck webcast on Leadership in Software Development. The idea that bonuses are bad management is one of the more difficult management improvement ideas for people to accept. See related posts for much more on the problems with them and what to do instead.

Related: Interview with Mary PoppendieckThe Defect Black MarketDeming on the problems with targets or goalsIncentive Programs are IneffectiveProblems with BonusesMeasuring and Managing Performance in Organizations

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

How to Develop Thinking People

Toyota’s Top Engineer on How to Develop Thinking People [broken link was removed]

Hayashi says, “Developing people requires physical endurance.” Frequent follow up is necessary, in person. It is not acceptable to give an assignment and follow up or scold only after three months, during a progress report meeting. Specific actions and detailed follow up are necessary.

Excellent advice.

Also, when we are required to deliver results with speed, we only give our subordinates small projects so that even if they fail they have time to recover. In the end, we give them the solution. We must firmly carry on the practice of developing thinking people. Mr. Ohno often said to us, “Don’t look with your, look with your feet. Don’t think with you head, think with your hands.” He also taught us, “People who can’t understand numbers are useless. The gemba where numbers are not visible is also bad. However, people who only look at the numbers are the worst of all.”

And more wisdom. Great stuff from Taiichi Ohno, Nanpachi Hayashi and Jon Miller’s translation and great blog.

Related: Respect for People and Taiichi OhnoToyota IT for KaizenManagement ImprovementWorkplace Management by Taiichi OhnoPosts on Respect for People

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India Lean Management

India’s Economic Times has an interview with James Womack, Now is the time for lean management, with an interesting quote:

When I last visited India in 2002, I looked carefully at several operations of the TVS group in the Chennai area. I found that they were the best examples of lean manufacturing I had ever seen outside of Toyota City. In my mind these facilities completely eliminated any questions as to whether “lean” would work in India. However, I have not visited India in six years and I have no data on the performance of Indian firms on average, so I can’t say what the trend is or how many success stories I might find if I had the time to visit at length. How-ever, I have high expectations for the potential of Indian firms to embrace the full range of lean principles and methods.

I have discussed TVS several times in the past; TVS has won several Deming Prizes.

Related: TVS Group Director on India – Manufacturing, Economy…Deming Prize 2007Indian Deming Prize Winner ExpandingToyota Chairman Comments on India and ThailandCurious Cat Lean Manufacturing

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Management Improvement Carnival #40

Mark Graban is hosting the Management Improvement Carnival #40. Mark recently authored a new book, Lean Hospitals. Health care highlights from this carnival include:

  • Hospital Error – Heparin in the news again (The Lean Thinker Blog): “I am reasonably certain that the two workers who went on “voluntary leave” (yeah, right) will absorb more than their share of blame as the system solves the problem by asking the “Five Who?” questions.”
  • Management 101, 201, 301, and 401 (Paul Levy – Running a Hospital): “The only role of management is to create an environment where people left to their own devices and unsupervised are most likely to engage in behavior that advances the goals of the organization.”
  • Why I Work In Healthcare (Lee Fried – Daily Kaizen): “Great people that were trying to work in a broken system.”
  • Competing Podcast Interview with Mark Graban (Dwight Bowen – Lean Thinking Network): “Most everyone has been aware of the increasing costs of healthcare – the general public is recently becoming more aware of the patient safety and quality risks they face in a hospital. And these are all problems that can be addressed with Lean.”
  • 5S, Poka-Yoke, and Visual Controls (Bryan Lund – TWI Blog): “I need a visual control to tell me if the standard is met, in order to avoid mistakes or failure.”

Related: previous management carnivalsCurious Cat health care article libraryCurious Cat Management Improvement blog Health Care postsimproving health care links

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Multitasking Decreases Productivity

The problems with multitasking are becoming more and more well know, thankfully. Here is another article on the lower productivity multitasking produces – Multitasking Madness Decreases Productivity [the broken link was removed] by Barbara Bartlein:

In a recent study by Eric Horvitz and the University of Illinois, a group of Microsoft workers took, on average, 15 minutes to return to serious mental tasks, like writing reports or computer code, after responding to incoming e-mail or instant messages. They often strayed off to reply to other messages or browse news, sports or entertainment web sites.

These findings are similar to those of David E. Meyer, a cognitive scientist and director of the Brain, Cognition and Action Laboratory at the University of Michigan. “Multitasking is going to slow you down, increasing the chances of mistakes,” said Meyer. “Disruptions and interruptions are a bad deal from the standpoint of our ability to process information.”

“Many people delusionally believe they’re good at this,” he says. “The problem is that we only have one brain and it doesn’t work that way. In reality, nobody can effectively do more than one remotely complicated thing at a time.”

Related: The Siren Song of MultitaskingMulti-Tasking: Why Projects Take so LongFlow (the opposite of multitasking)

Posted in Management, Process improvement, Psychology, Science | Tagged , , | 2 Comments

Parfrey’s Glen, Wisconsin

photo of John Hunter with trees in the background

John Hunter, Durwood Glen

Close up photo of Yellow FlowerSee more photos from my visit to Parfrey’s Glen Natural Area in Wisconsin, about an hour outside of Madison. It really was amazingly beautiful – the pictures do not do it justice. The Parfrey’s Glen trail is under a mile but well worth visiting. If you want to hike more try the Ice Age National Scenic Trail or nearby Devil’s Lake State Park. The top photo is of me (John Hunter) at nearby Durwood’s Glen. The yellow flower is from Parfrey’s Glen.

Related: Coopers Rock State Forest, West VirginiaMetropolitan Museum of ArtSouth Carolina travel photosThe Importance of Management ImprovementHoh Rain Forest and Ruby BeachNorth Cascades National Park

Parfrey’s Glen is Wisconsin’s first State Natural Area, is a spectacular gorge deeply incised into the sandstone conglomerate of the south flank of the Baraboo Hills. The exposed Cambrian strata provide excellent opportunities for geological interpretation. The walls of the glen – a Scottish word for a narrow, rocky ravine – are sandstone with embedded pebbles and boulders of quartzite.
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Full and Fractional Factorial Test Design

An Essential Primer on Full and Fractional Factorial Test Design [the broken link was removed]

Since full factorial gathers additional data, it reveals all possible interactions, but as seen by the numbers above, there is a trade-off. More data equals more information but more data also equals a longer test duration. The minimum data requirements for full factorial are very high since you are showing every experiment.

Even if you are using full factorial to get the same amount of information as a fractional factorial test, it will take more time since you need more data to see statistically relevant differences between the many experiments. You might be wondering how fractional factorial can be accurate if interactions are possible?

Random interactions of high relevance are very rare, especially when looking for interactions of more than 2 factors. You really need to design tests where you look for meaningful interactions that are based on true business requirements rather than hoping for a random and low influence interaction between a red button, a hero shot and a headline.

I am a fan of design of experiments as long time readers know (see posts on design of experiments).

Some good resources for more on the topics discussed above: What Can You Find Out From 8 and 16 Experimental Runs? by George Box – Statistics for ExperimentersDesign of Experiments in Advertising.

Related: Google Website Optimizerfactorial experiment articlesUsing Design of ExperimentsMarketers Are Embracing Statistical Design of Experiments

Posted in Design of Experiments, Process improvement, Statistics | Tagged , , , | 3 Comments