Tag Archives: Economics

The New Age of Robots and What it Means for Jobs

Posted on January 23, 2018 by John Hunter

I believe we have reached a turning point in the usefulness and effectiveness of industrial robots. For several decades it was pretty easy to predict wholesale adoption of “the robots will save us” mantra would be followed by failure. I still strongly believe Toyota’s method (thoughtful use of robotics to enhance people is the best strategy). But the ease of using robots to succeed in the long term is much easier today than 10 years ago. Robot-first strategies are going … Continue reading →

Posted in Innovation, Management | Tagged Economics, engineering, IT, leadership, management, organization as a system, robots, technology, Toyota

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 blame, Economics, global, government, health care system, organization as a system

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 deadly diseases, Deming, Economics, government, Health care, patent | 3 Comments

Out of Touch Executives Damage Companies: Go to the Gemba

Posted on August 20, 2014 by John Hunter

When your customer service organization is universally recognized as horrible adding sales requirements to customer service representatives jobs is a really bad practice. Sadly it isn’t at all surprising to learn of management doing just that at our largest companies. Within a system where cash and corruption buys freedom from market forces (see below for more details) such practices can continue. Such customer hostile practices shouldn’t continue. They shouldn’t be allowed to continue. And even though the company’s cash has … Continue reading →

Posted in Customer focus, Data, Management, Psychology, Systems thinking | Tagged bad management, business, commentary, curiouscat, Customer focus, customer service, Economics, executives, gemba, Google, government, internet, leadership, management, Psychology, regulation, respect for people, sales, targets

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 copyright, Deming, Economics, government, John Hunter, management, overpaid executives, patent, podcast | 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 Creativity, Economics, leadership, Systems thinking | 2 Comments

Long Term Thinking with Respect for People

Posted on May 9, 2012 by John Hunter

Toyota nearly went bankrupt near 1950 and had to lay off a third of their employees. A huge focus of the Toyota Production System as envisioned by Taiichi Ohno was to secure the long term success of the company. The priority of doing so is easier to see when you respect people and are in danger of witnessing the destruction of their careers. I can’t find the quote (maybe Jon Miller, or someone else, can provide one), but I recall … Continue reading →

Posted in Deming, Lean thinking, Management, Respect, Toyota Production System (TPS) | Tagged commentary, curiouscat, Deming, Economics, Investing, leadership, lean management, long term thinking, respect for people, Taiichi Ohno, Toyota, Toyota Production System (TPS) | 6 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 Apple, China, Economics, Manufacturing | 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 business, economic data, Economics, economy, Health care, health care system, USA | 2 Comments

Worth Does Not Equal Wealth

Posted on November 11, 2010 by John Hunter

Warren Buffet often says he happens to be very good at something that is very financially rewarding – effectively allocating capital. He says this while making the point that plenty of other people are exceptionally gifted in ways that are not as financially rewarding (teachers, grandparents, nurses, Peace Corps assignment…) but are important to society. He understands that his worth as a person is not tied to this bank account. It might be one reason he and Bill Gates have … Continue reading →

Posted in Psychology, Respect | Tagged charity, commentary, control chart, Economics, ethics, Psychology, respect for people

Work and Life

Posted on November 4, 2010 by John Hunter

I believe in efficiency a great deal (it is a big part of the reason I took to Deming and lean manufacturing – I find waste annoying). Vacation sure can seem inefficient. All these people that could be working, not working. But people are not the same as machines. Time away from work can reinvigorate people. Time away from the day to day work can lead to better performance when people are actually at work. Time to enjoy life is … Continue reading →

Posted in Management, Psychology, Systems thinking | Tagged Economics, managing people, Psychology, respect for people, Systems thinking | 3 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 Bill Hunter, Creativity, Data, Deming, Economics, management, Management Articles, Process improvement, Quality tools, respect for people, SPC

Frugal Innovation

Posted on June 9, 2010 by John Hunter

First break all the rules The device is a masterpiece of simplification. The multiple buttons on conventional ECGs have been reduced to just four. The bulky printer has been replaced by one of those tiny gadgets used in portable ticket machines. The whole thing is small enough to fit into a small backpack and can run on batteries as well as on the mains. This miracle of compression sells for $800, instead of $2,000 for a conventional ECG … Frugal … Continue reading →

Posted in Creativity, India, Innovation, quote | Tagged Creativity, disruptive innovation, Economics, Innovation, purpose, quote, simplicity | 1 Comment

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 China, Economics, Manufacturing, USA | 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 commentary, Economics, economy, engineering, internet, IT | 3 Comments

Kiva – Giving Entrepreneurs an Opportunity to Succeed

Posted on April 3, 2010 by John Hunter

I really like Kiva. Kiva lets you lend small amounts of money to entrepreneurs around the world. My latest loan is to a manufacturing entrepreneur in the USA. When Tony’s 6’0 6″ body could not fit in the traditional supercars, he built his own in 1990. Tony says, “If one door closes I just look for another opening; I don’t give up.” With much patience and hard work he continues to expand his business and hopes to make it a … Continue reading →

Posted in Economics, Fun, Investing, Respect, Systems thinking | Tagged Creativity, curiouscat, Economics, ethics, Investing, John Hunter, respect for people | 2 Comments