Month: October 2016

BOOK REVIEW- Winning

jack-welch-winningDAN’S SCORE: Stars 4
Winning
by Jack Welsh


My wife, god love her, rolled her eyes after hearing me going on and on about the virtues of Agile and Deming-style management for the millionth time.

A manager herself (and often my sparring partner over the best way to manage), she was growing tired of my pontification. “You know,” she said with a frown, “there’s other management styles out there.”

I decided to take her up on this and look at a contrary style.

Another reason I selected this book is because one of my fellow employees, after eyeballing the library on my desk, told me, “I’d prefer to take advice from people who have actually ran a business.”

Ouch.

So, I selected Jack Welsh’s book, Winning. Welsh is probably one of the biggest influences on management in the last decade. Warren Buffest said Winning was the only management book that was needed. It’s hard to argue with Welsh’s advice. After all, he grew GE by 4000% during his stay as GE’s CEO and made it the largest company in the world.

I’ll admit, this book rattled my confidence. Welsh’s ideas would certainly better resonate with the circles I’ve worked in than any of the Agile exhortations I’ve spouted. Many would say his management style is superior because the proof is in the pudding, and despite Deming’s belief that there is no instant pudding, Welsh has a hell of a lot pudding. It’s hard to argue against.

Overall it was an interesting read and I learned a lot.

At first, I was calling Welsh the anti-Deming. But as it turns out, Deming and Agile have a lot in common with Welsh. Here are some of the thing I saw:

Welsh

Deming/Agile

“There is no easy formula (for success).” “There is no such thing as instant pudding. (i.e. no recipe for success).”~Deming
“Variation is evil and must be destroyed.” Welsh is a huge supporter of Six Sigma. “If I had to reduce my message for management to just a few words, I’d say it all had to do with reducing variation.” ~Deming
You must develop a culture of trust in order to develop a culture of candor. Trust is important in both Agile and Deming philosophy. Deming often talks about the importance of driving out fear.
Believes an organization must have a culture of learning. PDSA, an appreciation for knowledge, kaizen and retrospectives are at the heart of Agile and Deming philosophy.
Believe culture is very important. It’s just as important as strategy. Also believe culture is important and the key for successful change or the biggest obstacle for change. “Culture eats strategy for breakfast.”
Change is important. Also embraces change.
“Don’t get the mentality of ship it then fix it.” Build quality into the product the first go around.
Does not like quotas. He said it ruins a meritocracy. Also hate quotas.
Believes management must change in order to succeed. Interesting enough, he brought up the post war Japanese miracle as an example (though did not mention Deming). “It would be a mistake to export American management to a friendly country.” ~Deming
Doesn’t like the concept of the boss needs to knows it all. There needs to be a culture of employees coming forward with opinions and ideas and the boss needs to listen. Every voice needs to be heard and everyone needs to feel like they can come forward and speak their minds. Hate command and control. Absolutely hate it.
People are important. So important he believes the HR director should at least be equal to the CFO. Lots of focus on understanding people and what motivates them. Respect for people underlies Agile concepts and is core to Deming’s teachings.

That being said, there are some key differences:

Welsh

Deming/Agile

Differentiation or 20-70-10 or ‘Rank and Yank’ is critical to his philosophy of success. He says it creates a meritocracy and is fair for everyone. Welsh admits this is the most controversial of his philosophies. Deming hated ranking. He called it a destroyer of people. Ironically, this was also the most controversial of his philosophies.
Emphasis on the individual and heroic effort. He believes stars are critical to success. He talks about undaunted individual effort a lot and chalks it up to much of GE’s success over the years. Both agile and Deming emphasize teamwork over heroes. Jeff Sutherland said if you need heroics it’s a sign of poor planning.
Results is the best indicator of success. Deming said beware of management by results (MBR) or management by objective (MBO).
Does not mention the importance of a system. Systems are key in both Deming and agile thinking.
Rely on leaders who have a sixth sense—i.e. “the ability to see around corners,” trust their gut, are intuitive, have an uncanny ability to see things others do not, people who just have a ‘knack,’ people with natural abilities (i.e. its something that can’t be trained) Emphasis on science to bring about improvement (PDSA, understanding of psychology).

I enjoyed reading this book and would recommend it to Agile and Deming practitioners. It gave me better perspective on what I think most people in the U.S. would prefer as a management style. Perhaps there is something there we can leverage to instigate change? After all, looking at the two philosophies, there are plenty of similarities. Perhaps we can build from there? I’m certainly going to borrow some of his ideas such as the importance of creating an organization that can be candid with one another.

I’m going to continue to study contrary points of view and post what I found on my blog. After all, Taichi Ohno told us, “We are doomed to failure without a daily destruction of our various preconceptions.”

You can buy Winning here.

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Implementing Change Using Kanban- Part IV

Here’s some latest happenings on my wall charts. The last post is here.

  • The head of our IT department came by my cubicle the other week. My boards attract his attention whenever he’s in the area. We started discussing what was going on with the project. He could see from the board that sites were starting to move through the process which made him glad. He could plainly see the blocks. He was able to help me get rid of six. He seemed a little perturbed we hadn’t figured out how to get rid of them ourselves, though. He then looked at the burn down chart next to the board, pointed at the WIP which was still way above the sloping diagonal line and said he wanted the WIP on the line the next time I gave my report. That was unnerving. All I could say was I wanted it on the line too. Maybe he isn’t pleased how things are progressing, but I hope he appreciates the transparency I am trying to show. Its something he once said he wanted from the project managers. I actually wished he would come by more often so we could have more discussions. At the same time, if he did, I can’t help wonder if he will only blame me for not getting more work done.
  • My other team member gave input on how the board could be better changed– showing the sites that have been queued the longest from top to bottom. He also has becoming by more frequently to look what needs to be done. I wish he sat closer to me so he could have more easy access to it. I think it would help. The problem is, my project is just one of three or four others he has to work on and my supervisor who sits in the next room over, prefers my team member to be closer to him, also, I don’t sit with the rest of my department (which is sort of good, because there is no wall space there).

 

img_1076

My teammate’s contribution to improving the board. He wanted to identify how long our sites had been in provisioning.  Note the burn down to the left.

 

  • One day, this same team member came by to look at the board. I heard one of the other employees chiding him about getting into the whole post-it note thing. My team member replied that the board actually had its merits.
  • I had someone ask me how to make a Kanban board so they could use it for their own purposes.  I had to cram what I could in a 30 minute session because his time was limited. He’s used similar boards in the past but hadn’t thought of putting in ‘Done’ columns. I also explained to him the importance of limiting WIP but I’m not certain he understood. Since I went over with him how to make the board (a few weeks now), I’ve seen his board still lying on the ground next to his cubicle. He said he’s been busy. Whenever he comes by he still marvels at my board. Wish I could do more to help him.
  • This same person I helped said that one of these board would help one of the other teams. I had the same thought because what they do is similar to what I do. I know their manager has seen my boards, but she is one of the folks who doesn’t understand why I just don’t use a spreadsheet. Her team would have to want a board like this, and they haven’t shown much interest, and I’m not certain how supportive she would be.
  • There’s some talk of moving the department and there is a concern there won’t be any wall space for my board. I’m not sure what I’ll do in that situation. I could go electronic, but the board will lose a lot if its power if I do that. Its size and location is much of its strength. It will be more difficult to have conversations about it if its tucked away on my computer. It will also make it more difficult to read. Of course, since I’ve been here, there has been talk of moving and it hasn’t happened.
  • I had another project manager come by to view my boards. She really liked them and I could see the wheels turning on how she could create her own. It reinforces the idea that I need to make time to teach how these work. This same project manager said my ideas would find more acceptance and traction in her department than in mine. Maybe.
  • The board is getting more and more crowded with work. Its starting to look like a parking lot. My company does not understand or appreciate the concept of limiting WIP or flow. I’m thinking of ways to rearrange the board that will highlight where items are queuing. My concern is this will only cause people to get upset that we aren’t doing our work. We’ll see. Perhaps it will start more conversations about how having too much WIP is slowing us down.

The next post in this series is here.

Links to the rest of this series:
Part I
Part II
Part III
Part IV
Part V

BOOK REVIEW- Fourth Generation Management

4th-generationDAN’S SCORE: Stars 4
Fourth Generation Management: The New Business Conciousness
by Brian Joiner


This book appears often in the Deming circles and has been described as the best synthesis of Deming’s philosophy. I’d call it a good nuts and bolts book for those wanting to implement Deming’s principles in their organization. One of the reasons I got it was to better understand variation. This is the area of Deming’s message where I still struggle. Joiner’s explanation helped.

Takeaways:

  • One of the problems I’ve had with variation is that whenever I plot data, the level of variation is unacceptable or the results aren’t within the limits I want. He explained this is a common reaction. Glad it wasn’t just me.
  • He explained the strategies on how to deal with special and common causes. I’ll have to review these. He had some examples to see if the reader understood the differences and I kept getting them wrong.
  • He explained how to identify common causes and special causes without using a graph. This is something I’ve been trying to do in my own work now. Some things are difficult or can’t be graphed.
  • His story of the non-profit organization that had to work really hard and use brute force during its first year of existence but refined itself every year instead of continuing to rely on brute force really struck home. He explained some organizations never learn this lesson. Some just keep doing the same thing over and over because they like the adrenaline rush. I’d also might add that they believe this is what it takes to be successful. It reminds me of my last organization.
  • He said three system-wide measures that seemed to help organizations was overall customer satisfaction, total cycle time, and first pass quality. I had started to draw this same conclusion and this reinforced my belief. I’ll be using these to measure my own projects.
  • He lost me a little bit when he started talking about the importance of standardization. He may have hit the nail on the head when he said that many view implementing standards as adding red tape, stifling creativity, and made work boring. That’s certainly been my attitude. Agile teaches the importance of individuals and interactions over processes. He says its important to strike a balance with standardization. They must be used judiciously and be treated as living and breathing—i.e. always evolving. And no, they shouldn’t be stifling creativity and increasing complexity. In the end, I think he convinced me.
  • I liked the stories he used from real life situations. However, he never is specific about who the company is and I couldn’t help wondering sometimes if these were made up or real organizations. I think they are real, he just wasn’t specific so as to protect the innocent.

This is a good book and I’ll be recommending it to others. Its one I know I will have to revisit from time to time because it has a lot of depth. Buy it here.