article-one:
Dear Dr. Sigma:
I've heard and read a lot
about the cost savings and efficiencies of manufacturing operations that "went
lean". How come more companies aren't following suit?
--Skinny Steve
Dear Steve:
I was at one of the Lean Enterprise Summits a few years ago. One of
the best speakers was Art Byrne, CEO of Wiremold, one of the companies prominently
featured in the book Lean Thinking by Jim Womack and Dan Jones. Art is a very straight
shooter, and here's what he said:
"People often ask me why I would come to a forum like this and
share my lean strategy when there might be competitors in the audience. I have no problem
with it. I'm glad to tell you my strategy. Why? Because I don't think...wait...I KNOW you
won't be able to do it."
As effective as any system-level technique is in its results, they
are usually the outcome of the worst year any executive has had to experience. If 20
people go down the lean road, chances are only one or even none of them will yield
anything substantial, but they will all be stressed out strangers to their families by the
end.
What's worse is the lack of maintainability. I recently read about a
survey of 5 companies who turned their operations around using Theory of Constraints. Five years
later, only one company still had a TOC system still in place on the shop floor. Not to be
pessimistic, but success is rarer than many would have you believe. It's part of human
nature to want to "keep hope alive."
Yes, Virginia, there do exist silver bullets. But you have to mine
your own ore to get one.
--Dr. Sigma
Dear Dr.
Sigma:
Our CEO likes to
misapply Moore’s Law to everything from his computer to the price of cream cheese. I
know it originated at Intel, but what’s the true origin of Moore’s Law?
--Literally Dave
Dear Dave:
Way back in the stone ages, 1965 to be exact, the co-founder of
Intel, Gordon Moore, was preparing a speech when he noticed a trend in a graph he was
making on memory chip performance. What he noticed was that each new chip had almost
exactly double the capacity of the previous chip (measured in transistors per square
inch), and that they were always released within 18 to 24 months from one another.
Over the years, technology progress has modified Moore’s law to
a standard 18 month cycle for doubled performance in microprocessors, which is still
upheld today. In 1997, Moore agreed that by the year 2017, this law will "hit a
wall" as transistors will reach the top end of their physical limitations.
Maybe your CEO needs some new laws to quote. I suggest one of the
following "Augustine’s Laws." Norman Augustine is the former chairman of
Lockheed Martin:
- Augustine's Law V - on resource management...
One-tenth of the participants produce over one-third of the output. Increasing the number
of participants merely reduces the average output.
- Augustine's Law XXXIV - on supply chain management...
"The process of competitively selecting contractors to perform work is based on a
system of rewards and penalties, all distributed randomly.
- Augustine's Law XXXVII - on optimism...
Ninety percent of the time things will turn out worse than you expect. The other 10
percent of the time you had no right to expect so much.
* From "Augustine's Laws", Norman R.
Augustine, 1997, Sixth Edition, AIAA.
--Dr. Sigma
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article-two:
MYB2O.com
Link: http://www.myb2o.com
Clarification: "B2O" = Build-to-Order
Even though somebody forgot to tell them that putting
"my" in front of your web domain is as passe as putting a lowercase
"i" in front of your product name, myb2o.com is a very young portal that has as
much promise as you could expect from such a thing. Myb2o is led by 3D Software company
Paraform, who, along with partners B2B eCommerce player Ariba, manufacturing software
company Moldflow, and imaging software vendor 3D Systems, have built this portal for those
managing design chains in build to order environments. They call this blend of services a
"Collaborative Innovation Platform" or (CIP).
Even though each of the sponsoring companies has a vested interest
in the marketplace aspect of this community building effort, they seem to be sincerely
building a content-rich website that could help a lot of those out there seeking advice
and strategy for succeeding with a B2O effort.
Some parts of the site still appear to be a work in progress, but
here are the sections that seem the most interesting:
RESOURCES - This is currently the most valuable and
complete site section. As you would expect, this space presents a collection of news,
articles, links and expert advice on subjects such as rapid prototyping, analysis, reverse
engineering and mass customization.
COLLABORATION - Currently empty, this space
promises to provide access to technologies for collaboration across the extended supply
chain. I imagine it will include a microportal to ASP type services. They are currently
seeking beta users.
COMMUNITY - What's a portal without a BBS
discussion forum? Like all web forums, it's success will hinder on volume. Are there
enough of you out there? In my experience, these things are always either bloated or
deserted.
YELLOW PAGES - Just what the name implies, a
straightforward listing service. Luckily it has a familiar interface for searches based on
location and zip code. Seems a little bit light, but if this site can succeed it could
aggregate a more thorough directory.
MARKETPLACE - A very simple online project bidding
system.
Related Sub-Links:
MyB2O - FAQ: http://www.myb2o.com/homeus/faq.html
Information on MyB2O Partners: http://www.myb2o.com/homeus/partners.html
Know a website we should review? Send the url to gregg@roundtable.com
article-three:
Top Ten Signs Your Project Is In Trouble
...from the MRT
satellite office in Shenzen, PRC
| 10. |
Report
is back from the lab: all monkeys dead. |
9. |
None of
the other project managers will sit with you at lunch. |
8. |
CFO
visits your cube, delivers kiss of death. |
| 7. |
Entire
staff wears the same t-shirt on teambuilding day: "If we're so smart, why do we work
here?" |
| 6. |
You
discover the number on your $1000 phone bill labeled "marketing consultant" is
really Sister Soul, telephone psychic. |
| 5. |
You're
"accidentally" locked in a basement storeroom with the President's nephew on the
day of the ISO9000 audit. |
| 4. |
Your
boss's secretary has listed your Aeron chair on the company's internal intranet auction. |
| 3. |
The
Snapple in your team's refrigerator is replaced with Wallymart Imitation Diet Cola
Beverage. |
| 2. |
While
giving the CEO a progress report, he puts his finger over a button and asks you to move to
the left. |
...and the No. 1 sign your project is in
trouble: |
| 1. |
Robed
men smear every cube in the office with lamb's blood EXCEPT yours. |
Send me your Top Ten
List suggestions - gregg@roundtable.com
TCP
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article-four:
MRT NEWS
PHARMCENTRIC.COM
We're very excited to be partnering with Tufts University's Center for the Study of Drug
Development to bring our expertise and knowledge to the pharmaceutical industry. Check out
the special website we're developing for information on the upcoming conference, and for
special articles and white paper downloads. http://www.pharmcentric.com
MRT ON TAP FOR 2001 - CALL FOR CASE STUDIES
Planning stages are underway for MRT's fall conference season. As usual, we're looking for
industry practitioners who have cutting edge tools, techniques and strategies to share
with their colleagues and peers on the following product development subjects:
- Metrics
- Virtual Collaboration
- Internet-Based Customer Communication
- Supply Chain Management
- Product Life Cycle Management
- Six Sigma
- Technology Development
- Theory of Constraints
- Lean / Toyota Production System
- Incubation
- Product Definition
Phase-gate systems
and more...
If you would like to suggest yourself or another person as
a possible presenter, please contact Jacquelin Cooper, Conference Director at 781-891-8080
ext. 211 or via email at jackie@roundtable.com
CONTEST RESULTS
In case you missed it, we’ve posted the results of our Resource Management Horror
Story contest. Check out the different anecdotes your colleagues say are keeping them up
at night, read the questions people are posing to our experts, and email us any comments
you might have as well. For the whole story: http://www.roundtable.com/Event_Center/ResMgmt/RES01-contest-results.html
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