Utah Open Source Planet

Our little baby boy was born June 23, 2008. Lakin (pronounced “lay-kin”) is our 8th child and we brought him into our family through the blessing of adoption. For long-time shmula readers, you might remember that we just adopted Mylie in November 2007 and we adopted Preston in November 2006. Yup, we did it again, and we’re very, very happy.

Some people ask why we have so many kids, or why we’ve adopted so much. I’ll attempt to answer those in the People Are Dang Nosy Section Frequently Asked Questions (FAQ) section at the end of this post but, first, I want to explain a little about the Adoption Process.

• Search for Adoption Agency
  • Download Packet
  • Print Packet
  • Fill-out Packet
  • Mail-in Application

• Submission
  • 3 Reference Letters
  • Fingerprints (6 week wait)
  • Health Assessment for everyone in family
  • Proof of Marriage
  • Employment Check including Financial Health
  • Homestudy (took about 1 month)
  • Family interview
  • 1:1 interviews
  • Agency Write-up

• Approval
  • Agency Committee reviews file
  • Accepted as Adoptive Family
  • Create Profile (parallel process above, 2 weeks)

• Matching
  • Agency calls us to tell us situation & ask permission to show our profile
  • If no, then we continue to wait
  • If yes, then Agency shows our profile to Birth Mother
  • If Birth Mother chooses our profile, then we meet Birth Mother
  • If we like birth mother and she likes us, then we are matched.

• Birth
  • Make arrangements for day of delivery
  • Relinquishment in Utah is 24 hours after delivery
  • After Birth Mother signs relinquishment papers, then Adoptive parents sign documents & pay Agency Fees.
  • Bring baby home.

• Post-Placement
  • 3 post-placement visits by the Agency at 2, 4, 6 months.
  • After last post-placement & 6 months after relinquishment, then can finalize with attorney and judge.

Adopted Versus Biological

Guy Kawasaki — a fellow Asian and someone I admire — has adopted a few kids also and said this — something that I believe is true and important:

You can love an adopted child as much as a biological one. A man’s contribution to a pregnancy lasts about ten seconds — five if he told the truth — three if you asked the mother. And yet I’ve met many men who who were skeptical about adoption because they didn’t think they could “bond” with a child that didn’t have their DNA — ie, the ten-second commitment. This is simply not true: when you hold your precious jewel for the first time, no one cares if none of those chromosomes came from you. Certainly not the baby. Certainly not your wife. So get over it. Your DNA isn’t the Holy Grail — to mix several metaphors.

Frequently Asked Questions (FAQ)

Dude, so why so many kids?

My wife and I love children and we believe in the institution of the family. We have 5 biological kids — 3 singletons and 1 doubleton and 3 adopted — but they are all thankfully ours. By the way, the ’singleton’ and ‘doubleton’ talk is old Set Theory talk coming out. Fun.

Even more fundamental, though, is this: when all is said and done, on my death bed, I will not wish that I had spent more time at work or other similar activities. All I will take with me are my relationships and my memories. The most meaningful relationships are those with family and with dear friends. We believe in the family; it’s where my wife and I receive our greatest joy, experience our toughest challenges, and also where we gain our deepest learning.

So, are you a white guy? What are you, bro?

Actually, I’m not Caucasian. I’m Filipino, my wife is Caucasian, we have 5 biological kids together (so they are 1/2 Filipino and 1/2 White, and 3 kids that are African American.

Hey man, why adopt? — Why you gotta be doin’ that?

Good question. My wife and I can produce biological children. My wife has always wanted to adopt — her heart is big, kind, and charitable — and she teaches me everyday. I have come to believe in adoption and am a huge proponent of it now.

There are many children in the world that need loving parents. We are doing our part to help in the most meaningful way we know how: bringing children into our family, parenting them, teaching them to be the best they can be, and watch them grow and contribute back to society. We’re really blessed to be the parents of our children.

What kind of car fits all ya’ll?

We drive a big 15 passenger Ford Econoline Van. I’ll be the first to admit that the Van is not cool, incredibly offensive to our environment (I’m really sorry), but it’s what fits our family. I have attempted to make it less uncool by installing 2 DVD players in it that drop from the ceiling. The 2 DVD thing is pretty cool.

Ummm, so wachu tizzle, wizzle?

I’m not sure what you mean, but drizzle, fizzle.

Hey, so where’d your hair go? — You are balder than an eagle, man. Dang, you ugly.

Thanks for noticing. Yes, I have no hair. I am developing a theory about hair and here it is: I believe that hair is for the insecure. Deep inside, you’re hiding something.

Do you drive like a big ‘ol bus or something?

Please see response above but, to answer you briefly — Yes.

Man, your house must be packed. How many bedrooms you got in that thing?

We live in a modest home. We have 10 bedrooms, but our kitchen and living room are a little smaller. Pretty much all of the square footage in our house is in bedrooms, but every child has their own room and my wife and I have our own room that she let’s me share with her.

That’s pretty cool that you’ve adopted so much. Good job, man.

Thank you.

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Articles on Queueing Theory:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

ShareThis

If you’ve been paying attention you’ll have noticed that ice cream is shrinking.  A half gallon is no longer a half gallon.

You can’t see the mark on the bottom carton clearly enough (thanks camera-phone!) but it says 1.5 quarts while the top carton says 1.75 quarts.  Same product, same price, different quantities.  Earlier at another store I saw a carton labeled 48 ounces.  The “Kong Kone” at the grocery store deli also shrunk.

I would rather pay more for the same amount than have Corporate America try to deceive me.

Every system has constraints — sometimes several — minor bottlenecks and major bottlenecks.  What makes managing constraints even more challenging is that bottlenecks move: up-and-down the process paths.

I saw this phenomenon recently during a visit to a fast food restaurant, which I discuss in this post — but, my application of the Theory of Constraints, Lean Manufacturing, and Six Sigma as applied to a Restaurant can be applied to any Dynamic System.

One of the key lessons in The Theory of Constraints is that the contraint or the bottleneck determines the throughput for the entire system.  This means, then, that if we optimize and improve a non-bottleneck, then those efforts have almost zero impact on the overall throughput of the system.  It is only when we improve and optimize the contraint that we will see improvement in the throughput of the entire system.

Every system has a constraint — that is neither good nor bad — but just a fact of dynamic systems.  Once you’ve identified the constraints in your system, then the next step is to manage it.

I was able to obtain some empirical volume data for a Burger King.  The data below is taken from one Burger King restaurant.  I imagine the numbers would be significantly different if we were to average the volume by geography, restaurant size, or by other factors.  Now, consider the following process map for a typical Burger King:

Click on the image for a larger view.

For this restaurant, over the course of an average month, Burger King produces 34227 sandwiches.  This means, then, that for an average hour, Burger King produces 198 sandwiches per hour during normal hours.

But, on Friday and at 12:00PM, Burger King experiences higher-than-normal volume and so we add a “Peak Multiplier” of 18% and 17.9% to arrive at 256 sandwiches during Peak Hours.   The “Peak Multiplier” is not completely arbitrary, but a quasi-educated guess at the volume increase during those hours.  In both cases of Fridays and Lunch Hours, we add a ~20% multiplier.

Now, let’s take a look at the process map above.  We see the Assembly Step producing 200 sandwiches an hour.   We consider the Assembly to be the constraint in the system.  The upstream processes produces more than 200, but when we arrive at the Assembly, the capacity of that step is lower than its upstream processes.  So, the maximum throughput of the entire system above is 200 sandwiches per hour.

Under normal hours, the constraint functions reasonably well.  Since normal hour demand is 198 sandwiches per normal hour, the Assembly Step can produce at least at that amount — but, it’s cutting it close.  Under peak volume, the constraint is not able to fulfill demand. 

How To Manage a Constraint

Under normal hours, it appears that the Assembly Step can produce at expected demand.  But, there are several things that could put burden on the constraint and cause it to producing less than capacity.  Here are some of those items:

• Rework: Having to Re-Assemble sandwiches adds undue burden on the system and exaggerates the effects of the constraint, leading to a potentially higher-than normal work-in-process, or build-up.
• Set-up & Changeover: If all the parts aren’t immediately available in the Assembly step, then it could lead the operator to slow down which could lead to build-up and higher-than-normal work-in-process.

It’s easy enough to see that the Assembly Step needs some help.   Here are several things Burger King — or any system with constraints — can do to better manage the natural constraints that are in every system:

• Eliminate Defects at the Constraint: This means that all waste is eliminated or reduced at the constraint.
• Have the Quality Steps in Front of Constraint: In support of the first bullet, make sure that the parts entering the Assembly step are free of defects.
• Support the Constraint: Add labor to the constraint or more lines, if that is prudent.
• Appropriately use Buffers: Systems with Constraints exhibit a feast/famine phenomena.  To avoid having too much coming into the constraint or too little coming into the constraint, have a buffer of parts large enough that the constraint stays appropriately busy.  Put another way, reduce the variation in front of the constraint as much as is possible.  A Drum-Buffer-Rope system might be appropriate for some systems.
• Evaluate the overall system: How much of the steps in the system are really value-add to the customer?  What is the process-cycle effeciency of the process?

Conclusion

All systems have constraints.  Identify what they are, quantify the effects, then manage it.  The above Burger King example shows how this can — with some effort — be done.  What are the constraints in your systems?  What can you do to better manage those constraints?

+++++

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

Advertisement: compnay formation by Jordans

ShareThis

I wrote this brief little Byrd’s parody for my friend who’s doing a Summer internship in Texas.  Perhaps you’ll recognize the tune.

To every thing turn, intern.
This your season. (Turn, intern!)
There’s an intern for every purpose under heaven.

An intern to type, an intern to clean,
an intern for food, an intern for drinks,
an intern for calls, an intern for blame,
Intern, the men’s room TP will soon need replacing.

I’ve spoken extensively about the unheralded — but, arguably, the most important — Pillar of The Toyota Production System: Respect for People. Today, I want to highlight an interesting company that appears to have done an amazing job at Participative Management and in eliminating fear and mediocrity in the workplace: Semco Group.

I was first made aware of Semco Group after watching this amazing video on the MIT website. I sought to learn more about Semco and found some pretty amazing case studies such as the following:

• Harvard Business Review: Managing without Managers
• Harvard Business Review: Why my former employees still work for me
• Maverick: The Success Story behind the World’s Most Unusual Workplace
• The Seven-Day Weekend: Changing the Way Work Works
• Semco on Strategy+Business

Semco appears to have operationalized a very humane workplace and has also produced some impressive results, proving that fear and intimidation and mediocrity are not necessary ingredients to do well in the corporate world:

Reforms implemented during that time led to 65% reduction in inventories, a marked reduction in product delivery times and a product defects rate that fell to less than 1%. As the business climate improved, Semco’s revenues and profitability improved dramatically. As of 2003, SEMCO had annual revenue of $212 million, from $4 million in 1982 and $35 million in 1994, with an annual growth rate of up to 40 per cent a year. It employs 3,000 workers in 2003, as opposed to 90 in 1982.

Semco publishes and collectively live by the “Semco Survival Guide”, opting for something much simpler and thinner than a big, thick manual. Here are two points that I personally appreciate:

Our People: We avoid using terms like “employees”, “staff”, “collaborator” and similar terms. We are a team and we only have “people”. This is what we call everyone who works with us. Try as hard as you can not to use terms which are so common, but which do not express equality.

Customer Services: This is very important. Never fail to serve a customer well; do not run away from the customer, and do for the customer exactly what you would expect if you were in their position. Be honest about deadlines, prices and service conditions - never promise something you cannot deliver.

I find “never run away from your customer” an interesting thing to say — I think this point requires some reflection:

Do we — as an act of omission — run away from our customers — either in action or mentally or emotionally?

Below is their survival guide, taken directly from their website:

Leadership
We believe that organizational structure is required to ensure good business processes. However, only people who have respect for their followers can be leaders. Situational leadership will always be stimulated and respected.

Position
At the Semco Group, it makes no difference whether someone has a high ranking or a humble position. The most important thing is to always try to learn and teach new things.

Job Rotation
Whenever possible we rotate people: Some people change area and other people change business unit. This is another development opportunity offered by the company.

Freedom
There is no space at the Semco Group for formalities. The doors are always open and people should say what they really think, without worries or inhibitions.

Honesty
Everything at the Semco Group is based on trust. Whenever there is dishonesty, and there is always the possibility that there will be somebody dishonest, the company takes hard action.

Accusations
The company does not encourage people to accuse others - this should only occur when you believe you have access to concrete facts that somebody is benefiting while harming everybody else. Anonymous letters are not considered.

Gambling
No gambling of any type is permitted within the company.

Weapons and Violence
It is completely unacceptable to carry weapons inside the company. Any type of violence employed by one person against another is seen as an extremely serious event.

Unions
Unions are an important method of protecting workers. Unionization is free within the company. The Semco Group believes that constant relationships with unions are healthy for the company and the employees. The presence of union members at the company is always welcome.

You… and the Others
Based on the fact that everyone can say what they think, rumors and gossip should not be stimulated. Any attempt to harm another person is looked on very seriously. Take part and speak openly of what you are thinking in order to improve things.

Sales at the Company
The entry of salespersons to deal with personal issues is only permitted when scheduled by the interested party.

Loan Sharking
Any employee lending money to another while charging interest is considered abusive and this is dealt with by the company as a serious matter.

Discrimination
The Semco Group does not permit discrimination based on sex, colour, religion, politics etc. Everybody must have identical opportunities at the company - help to make this a reality.

Use of Authority
Many positions of the company involve the use of authority. Pressure, tactics that involve people working while afraid or any type of disrespect are considered incapable leadership and improper use of authority.

Working Hours
The Semco Group has flexible working hours where possible. This is a method of meeting the needs of each person, without harming the company.

Employee Timesheet Control
At the Semco Group, each person controls their own working hours. This is a method of transferring responsibility to each person.

Commissions
People at the Semco Group usually create commissions to deal with issues of collective interest. Take part to ensure that the commissions are active channels which effectively defend your interests, which may often not coincide with the interests of the company. Here, this conflict is seen as healthy and necessary.

Internal Promotions
At the Semco Group, people already working for the company are given preference when a new position or a promotion appears, as long as they fill the requirements for the job.

Vacations
The Semco Group does not believe that anyone cannot be replaced. Everybody must take their annual vacations, always. This is fundamental for the health of the people and the company as a whole - no excuse is good enough to justify accumulating vacations.

Recruitment
Where there is recruitment or a promotion, people in the department have the chance to interview, analyze and take part in the decision to choose the candidate.

Evaluation by Subordinates
Every six months you will fill in a questionnaire and say what you really think about your immediate superior. Be open and honest, when filling in the form and during the discussion that should take place afterwards.

Retirees
We have no restrictions on active or part-time work for retirees or people of an advanced age. Nobody is too old for us - on the contrary, we believe that experience comes with age.

Everyday Participation
The Semco Group philosophy is based on active involvement and participation. Do not sit back. Have an opinion, put yourself forward as a candidate, always say what you think - do not be just another cog in the wheel. State your opinion about everything that interests you, even if you weren’t asked for it. Be active about your feelings.

Suggestions
We want everybody to participate; opinions will always be welcome and should be spontaneous. The Semco Group does not use and is not wish to implement suggestion box programs. Whenever there is a need or interest, we can institute campaigners that encourage specific suggestions.

Dynamism
The Semco Group is normally a company that implements major changes from time to time. Don’t be scared - we think this is positive. Look at the changes without fear - these are typical characteristics of the Group.

Salary Policy
The Semco Group seeks to involve people in discussions regarding what is a fair salary for each employee. Of course, there are times when people think their salaries should be higher and the company believes it cannot pay more. What is important is to always provide an opportunity for discussions regarding this type of issue.

Strikes
The decision to take part or not in this type of event is an individual one. This is part of democracy and is respected by the company.

Personal Life
Each person’s life belongs to themselves and the personal life of each person at the Semco Group is sacred. Providing it does not interfere with the work of the environment, the company is not interested in what each person does with their own life. The human resources area is available to provide support in any area, but the company will never get involved in people’s private lives.

Former Semco Employees
Whenever anybody leaves the company, they are always welcome back - we have nothing against former Semco employees. On the contrary.

Severance
Whenever there are dismissals the company spends hours and days carefully considering the case (or cases). The company avoids dismissals as much as it can and is extremely involved in protecting justice - we must all take this line - dismissals are very serious and must be dealt with carefully by everybody.

Occupational Safety
This is not only a company responsibility. Keep your eyes open, always avoid accidents, use safety equipment even when it is bothersome - we cannot take risks with our health. Make a special effort along these lines, demand that the company do its part and do not let CIPA become a pro forma commission.

Statement of Results
On a periodic basis you’ll find out the results for your unit and for the company, and will be able to discuss them. Watch the results closely and ask any questions you want - there are no issues that cannot be discussed. Very few companies offer this - take advantage!

Profit Sharing Program
The Profit Sharing Program at the Semco Group is for real. This is a participation in which each unit wins. Each company and the Group have its own program, according to the characteristics of each business.

Relations
In order to avoid injustice or embarrassment, close relations do not work at the same unit, workplace or with the same leader, except in special cases. In completely different and unrelated locations, there are no formal restrictions.

Hourly/Monthly Workers
At the Semco Group there is no discrimination - Here everybody is a salaried worker and everybody is treated the same.

Our Personnel
We avoid using terms like “employees”, “staff”, “collaborator” and similar terms. We are a team and we only have “people”. This is what we call everyone who works with us. Try as hard as you can not to use terms which are so common, but which do not express equality.

Use of Company Resources
Do not mix company work and resources with personal services. During working hours, nobody should provide services to other people only for personal benefit, which does not stop people using a colleague’s services outside business hours, agreeing the conditions between themselves, without involving the company.

Customer Services
This is very important. Never fail to serve a customer well; do not run away from the customer, and do for the customer exactly what you would expect if you were in their position. Be honest about deadlines, prices and service conditions - never promise something you cannot deliver.

Communication
The Semco Group and its people must communicate openly and honestly. You must be tranquil and believe what is said in company notices – demand transparency when you are in doubt.

Pregnancy
Pregnancy is considered a time of great importance and happiness by the company. Never allow an injustice to be committed with one of our pregnant women – they deserve our respect and care.

Informality
Having a birthday party at the end of the working day or using nicknames is part of the company culture – don’t feel intimidated, and don’t stick to formalities.

Pride
It’s only worth working for someone you are proud of. Create this pride in the quality in what you do. Never deliver a product or service that fails to meet customer expectations, do not write a letter or communiqué that is not honest, and do not let the company’s stature fall – always fight for your pride.

Respect to Visitors
Give our visitors all of your attention and respect. Never let anyone wait more than 5 or 10 minutes. Meet everyone with courtesy, be they a supplier, customer or anyone else.

From the little I’ve seen, I’m quite impressed with Semco. If there are any that would care to chime-in on what they know of Semco — I’d love to hear about it in the comment section. Below is an interview with Ricardo Semler, the CEO of Semco.

+++++

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

ShareThis

Why do companies think it’s good business to execute for the short term?

• eBay Seller Revolt Gaining Traction
• Qatar Won’t Raise Crude Oil Output as Prices Soar

If they don’t make it easier to use the service or product that they are selling, people will find substitutes. Oil became dominant because it was less expensive and easier to refine, transport, etc. than other fuels. For ebay, the situation was similar, they were easier than the alternatives. When organizations constrain, they make money in the short term, then fall away when substitutes arrive. I’m ready for an ebay substitute, because the common guy can no longer afford to “see if something will sell.” I’m completely ready for a reasonable electric car - Are you listening GM? I’ve even thought about converting one myself. It’s just a matter of time.

-Peter

For Father’s Day, I was expecting the traditional breakfast in bed, cards from the kids, and my only sleep-in-past 7AM for the year, but I got something extra this year: tickets to see Snoop Dogg and 311!

Six Sigma and Snoop Dogg

I have to say this was a huge surprise because I don’t listen to Snoop Dogg. I like 311, but I’m not into Snoop all that much. When I was in 5th grade, I bought my first tape — a $2 USD bootleg of NWA. I pretty much grew-up on NWA, Eazy-E, and Dr. Dre, but I never got into Snoop. Those early years of my life were years of trouble and self-destruction and I’m glad I’m not there anymore. Now, I’m fully focused on staying positive, contributing back to society, and just doing good in the world.

Seeing Snoop will be fun, or at lease entertaining.

To get myself stoked, I listened to some of his songs and, it made me wonder what Snoop’s songs would be like if he were a geeky business guy. What would snoop’s songs look like as a Pareto Chart, Process Map, and a Regression?

Gin and Juice

Rollin down the street, smokin indo, sippin on gin and juice
Laid back [with my mind on my money and my money on my mind]

Here’s Snoop’s Gin and Juice in a Pareto:

Nuthin’ But a G Thang

Its where it takes place so Im a ask your attention
Mobbin like a *** but I aint *********
Droppin the funky **** thats makin the sucka ******** mumble
When Im on the mic, its like a cookie, they all crumble
Try to get close, and your ***** get smacked
My ******* homie doggy dogg has my back
Never let me slip, cause if I slip, then Im slippin
But if I got my nina, then you know Im straight trippin
And Im a continue to put the rap down, put the mack down
And if your ******* talk ****, I have ta put the smack down
Yeah, and ya dont stop
I told you Im just like a clock when I tick and I tock

Here’s a Process Map for “Nuthin’ but a G Thang”:

Nuthin’ But a G Thang

One, two, three and to the fo
Snoop doggy dogg and dr. dre are at the do

A Linear Regression for “Nuthin’ but a G Thang”:

The regression above tells us that as we increment from one to fo’, the more likely will Snoop and Dre be at the do’. With an R^2 of 1, in fact, there is no argument — Snoop and Dre will definitely — foshizzle bizzle — be at the dizzle. In other words, all of the variation in the data is explained by the regression model. Foshiznit.

I don’t know about you, but Snoop as a foshizzle bizniz fizzle would be a fun d-o-double g. Dig?

+++++

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

ShareThis

Several months ago my wife mentioned, in a subtle way, that she misses Giordano’s Pizza. Giordano’s is our favorite pizza joint and we used to eat there daily while I was a graduate student at The University of Chicago. I’d say most of my graduate student loan debt went to Giordano’s in exchange for their delicious and famous stuffed pizza.

To appease my wife’s appetite (and mine), I decided to purchase some Giordano’s for overnight delivery. In this post, I’ll discuss good pizza and the supply chain it takes to deliver it, including the strategic role of The Warehouse.

I ordered 2 Cheese pizzas and they arrived the next day in a box containing an internal dry-ice box. We let the pizza’s thaw in room temperature and cooked them and enjoyed eating them. It felt as if we were living in Chicago again. Absolutely convenient.

There is a network of 48 Giordano’s restaurants and they are all in Illinois; they have been featured on NBC (GE), Fox (NWS), New York Times (NYT), and the Chicago Tribune (TXA), which has brought much popularity to the Giordano’s Pizza brand and now they now ship nationwide and, I’m guessing, the online sales channel is probably capturing a good chunk of the revenue.

The Pizza Supply Chain

In reverse order, starting with an Illinois-based customer, the Giordano’s Pizza Supply chain looks like the following (hint: diagramming a supply chain works best when you start with the customer and work backwards):

Customer => 48 Restaurants => 1 Distribution Center => Individual and Local Raw Material Suppliers

Because Giordano’s operates only in Illinois, it only needs 1 distribution center to house the raw material and take advantage of price-quantity discounts. Because of the close Illinois proximity, it can also do more frequent deliveries to individual stores of less product, ensuring freshness. This follows the Toyota model of smaller batches, but more frequency in material delivery.

For non-Illinois residents (like me), there is an added few steps to the supply chain:

Customer => 3PL Freight Partner (FedEx) => 48 Restaurants => 1 Distribution Center => Individual Raw Material Suppliers

The Role of a Warehouse

Why have a warehouse at all? It takes labor, capital, space, equipment, and information systems. Unfortunately, most firms cannot avoid this expense all-together; reduce, yes, but the Warehouse actually plays a really important role in the supply chain. Namely, The Warehouse is a strategic response to Supply & Demand, Transportation Costs, and Value-Added Processing.

Supply & Demand

A major challenge in managing supply chains is that demand can change very quickly, but supply is takes longer to change — that is, supply is not as responsive because there is usually some transformation that needs to happen, such as raw materials to finished goods, which takes time. But, demand is not very forgiving or patient and can change almost instantly. Supply is more “sticky”.

As a response to unknown or seasonal demand, the Warehouse plays a strategic role in assuring that there is product available, so that customers don’t find themselves wanting and firm doesn’t find itself unable to meet demand and face loss of sales, goodwill, and morale for the employees.

The Warehouse allows the firm to respond quicker when demand changes. The Warehouse acts as a buffer to changing demand, unreliable transportation, congestion in any part of the supply chain. As an added part of the complexity of supply chain management, the points of congestion in the system must also be managed.

Some questions to consider:

1. Given the approximate location of 80% of the customers and considering costs, response time, political climate of the country, and transportation reliability, what is the ideal geographical location of material sourcing, manufacturing, assembly, and warehousing?
2. What inventory buffer stock levels are appropriate for The Warehouse to hold? Replenishment levels? Use-to-Exhaust policies?

Consolidate Product Reduces Transportation Costs

There is a fixed cost everytime product is transported. Given the price of fuel currently and the instability of the US Dollar to other currencies, this is especially true. To amortize or reduce the pain of this fixed cost, it’s necessary to fill the carrier to capacity. In the industry, this is typically called “Truck-Load” and the opposite is “Less-Than-Truckload (LTL)”, regardless if transportation is achieved by truck, plane, or boat.

The pizza example above takes advantage of product consolidation well. Imagine if tomatoes, mushrooms, pepperoni, ham, pineapples, etc., were shipped directly from the material supplier to the 48 stores? The transportation costs alone would eat away any margins, not to mention the over-labor and over-effort that might be involved in that type of operation.

Provide Value-Added Processing

The final assembly could be done at The Warehouse. For example, if you produce a product that is private-labeled for your customer, then the product differentiation could be done at The Warehouse. Generic parts can be shipped to The Warehouse and then labeled to the customer specifications to achieve differentiation.

Back To The Pizza

The pizza was super good. This real-world example also gave me an added appreciation for good bootstrapping small business that gets things done to serve the needs of the customer.

+++++

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

ShareThis

“people remember experiences, not features or attributes” - a.g. lafley

I love companies and products that are disruptive, simple, and yet elegantly meets an unarticulated but dire customer need.

Today, we are speaking with Gauri Nanda, the inventor of Clocky and founder of nandahome.com.

+++++

Tell us a little about yourself: education, background, and career focus.

I have been designing products for a few years now, since I was a student at the MIT Media Lab researching the intersection of design and technology. Because of all the interest surrounding him, Clocky gave me the drive to start a company. Since graduating, I founded Nanda as a place to find things that are missing from our lives and create them. Our ideas come from ordinary questions like ‘Why does my alarm do such a terrible job of getting me up?’ and ‘Why can’t I find a bag that makes it easy to carry my heavy laptop around?’ Then, from these ordinary questions, we set out to create extraordinary products. Things that are at once both simple and exceptional.

What is Clocky?

Clocky is, quite simply, the most obvious way I could think to get out of bed. He is an alarm clock that runs away when you don’t get out of bed on time. He will jump from your night-stand and run around the run in random directions. Because you don’t know where he’ll end up, you have to get out of bed, and find him to silence his alarm. In this ‘hide-and-seek’ game, you wake up in the process!

What is the Alarm Clock Problem?

When I was a student, I would hit the snooze bar repeatedly, never realizing how late it was getting. I had friends who told me that they would put the alarm clock on the other side of the room, but because they knew where it was, they would just sleep walk to it, turn it off and go right back to bed. As a designer, it was obvious that the alarm clock needed to be improved, both in functionality and in personality. In addition to doing the job of an alarm clock better, Clocky is also an attempt to imbue alarm clocks with living qualities so that it is ultimately more fun to use.

Did you study people sleeping? Can you share a little about the ethnographic steps to observing people sleeping and waking up — what insights did you gain? How did those insights evolve into your solution, Clocky?

During the development time, we received countless emails from people who needed a better solution than their current alarm clock was providing. Over and over, I heard the same story of people repeatedly hitting the snooze button and never reaching a wakeful state. During the design process, we tested the product out with potential customers and made changes to the program as well as the interface (including buttons and backlight) to ensure better usability. It was very important to me to maintain a minumum of user interface controls so that anyone could use the clock almost immediately.

Past the concept phase, tell us about the product development process and the iterations Clocky went through to finally arrive at the current version. For example, the Clocky prototype was much bigger than the current version — what led to that design decision?

The original prototype took me a couple of weeks. It was put together with the materials I had at my disposal while I was a student at the MIT Media Lab, and turned out to be little more than a pair of Lego wheels and motors and a shag covering to hold it together. At this time, I wasn’t optimizing Clocky for size and efficiency, but rather just creating a proof-of-concept for a class project.

In order to get Clocky ready for commercial sale, I worked with a team of engineers and manufacturers on the design for about a year. We went through about 3 design iterations on the external casing. We didn’t want Clocky to take up too much room on a night-stand so we reduced the size considerably. We also wanted Clocky to be much lighter, since it was to withstand a drop to floor everyday. Through a lot of engineering and testing, we identified the parts of the clock that would endure the most shock when Clocky jumps off of a night-stand. We designed those parts so that the force would be directed away from them.

Material sourcing and manufacturing — can you share about your experience in that arena.

The original prototype I put together quite quickly using limited materials I had at my disposal. The shag was used to emphasize Clocky as something with living quality. In a manufacturing context, materials are chosen that are durable and easy to work with. I decided to retain the living quality of Clocky by arranging the buttons and the LCD screen in such a way to describe a face.

We compared and contrasted various strong and shock absorbing materials. For example, for Clockies wheels, we needed a material that would bounce back and not wear too much over time because the body should not hit the ground when he falls. We tested out several different customers for this purpose.

How long has Clocky been in the market now? Clocky has a (funny/cool) factor to it. Do people really like using it? Do people laugh or curse at it when they wake up? Tell us about that.

Clocky was launched right around the holidays. If had quite a lot of good feedback:

“Just talked to my daughter - She was thrilled with her first morning with Clocky! She said it woke her up smiling and then she was giggling as she chased it around her room and downright laughing by the time she turned it off! By then she was wide awake and ready for her 8AM Bioengineering Class!”

“My daughter is presently at Dartmouth. She’s the master of the snooze alarm. When home, she can go for hours with the alarm going off, hitting the snooze button, and probably not waking up at all. When I saw the info about Clocky on line, I immediately ordered one to be shipped to her at college. It’s been a week after Clocky’s arrival, and already I have success to report. For example, she got up today in time to go to a job interview, which went well. She reported having to find Clocky behind the refrigerator. It Works!”

Certainly, a lot of people may purchase Clocky because they think he’s funny or just out of curiosity. I think it’s great if people just get a good laugh out of Clocky. I hope that Clocky enables a new way of thinking about the things we use every-day. The buzz surrounding the product may be attributed to the fact that Clocky attempts to humanize technology and make it more personable, a concept which I believe could be applied to many products that we use on a daily basis so that they become more usable.

Why is there a Snooze Button? Can I program it to travel to where my Gym Clothes are, so that when I finally find it and turn it off, I have no excuse but to work out because I’m where my clothes are at?

Well I sort of felt (and a lot of people agreed), that a person should have some time to get up, and have a chance to turn off the alarm before Clocky runs away. So we allow for one snooze. If the person using Clocky is alert as soon a they hear the alarm, the may opt to disable to snooze button. We found that Clocky does not need to employ sensor technology to do his job. He may bump into objects on the floor or hit a wall, but because he is programmed to change directions a few times, he will usually get ‘unstuck.’ We have a couple more versions of Clocky in R&D. Future versions of the clock will employ more sophisticated technology to achieve some exciting features we have planned. We envision an entire Clocky product line.

Where can people buy Clocky?

Clocky is currently only available for purchase online at nandahome.com. We will be announcing select retail availability soon.

What is next for Clocky? What other projects are you currently working on? What problems are trying to solve through innovative product development?

We have a line of ‘Lapsacs’ out now, which are bags with laptops in mind. The idea was to reinvent the common black laptop case into something more stylish and more comfortable for carrying around a heavy computer. Much like Clocky, the Lapsacs came out of what I observed to be a common need. We have other products in R&D which I can’t disclose yet!

Thanks very much Gauri!

+++++

Articles on Ethnography and Design:

1. Feature? What Feature?
   
2. Simplify The Product
3. Ask Aza Raskin
4. Aza Raskin on Poka-Yoke & The Humane Interface
5. Aza Raskin on Quasimodal Design and The ATM
6. Aza on Feature-Bloat and Site Clutter
7. Aza on Google Search Results Page
8. Aza on Cooperation and Team Size
9. Design Thinking in Medicine
10. On Designing a Watering Can for Little Hands
11. Queueing Theory and Visual Management
12. An Interview with the Inventor of “Clocky”
13. Bad Breath but Good Design
14. What is Ethnography

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Powell on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S
• Click-to-Ship Processes
• Kanban Sizing and “Pull”
• Lean at Krispy Kreme
• Theory of Constraints and Camping
• Lean for Software Development
• Don’t Waste the Customer’s Time
• Featuritis and the Focus on the Customer

ShareThis

Motorola (MOT), the inventor of Six Sigma, is in big trouble. Even though it invented Six Sigma, this is a clear example that shows how Lean or Six Sigma are not a cure-all for corporate woes, but that good leadership and a winning strategy are key in a competitive world — Lean or Six Sigma is necessary, but not sufficient.

The Art of Exclusion

Michael Porter (Porter’s Five Forces) argues — I believe correctly –, in his seminal work, What is Strategy, that Operational Excellence is necessary but not sufficient. What is needed — even still and always — is a winning strategy. In his article, he argues that the essence of strategy consist of two related propositions:

1. strategy is engaging in activities that are different than the competition
2. strategy is engaging in activities that are similar than the competition, but perform better than the competition

Regarding (1), Porter argues that, regarding (1), the firm must choose a position — one that sets the firm apart from its competitors; a position that makes the firm and its products or services uniquely and competitively different and leads to a sustainable and profitable competitive advantage. Porter then claims that an important aspect of strategy is deciding what NOT to do — the art of exclusion.

Regarding (2), a firm will undoubtedly engage in activities that are similar than the competition. For example, take a traditional internet retailer — a firm in that space will usually have a front-end store and a fulfillment back-end. To set the firm apart on similar activities from its competitors requires that the firm perform those activities better — with better quality, lower costs, with better service, and deliver quicker than the competition.

Deploying a Lean or Six Sigma culture within your firm is essentially an activity borne from (2) — but it is not a panacea; by itself, a culture of Operational Excellence will find itself lacking in a hyper-competitive world.

Necessary but Insufficient

While Motorola might remain one of the hallmarks of Operational Excellence, it has, over the years, essentially failed to engage in activities that are uniquely and competitively different than the competition. Speaking as an outsider, it appears that Motorola has continued to run an efficient business, producing products and services with few defects and delivering on-time, but products and services in a market that has changed to demand less and less of Motorola products, in favor of competitors products, such as the Apple (AAPL) iPhone.

The Need for Leadership

The theme, I see, with most corporate problems, overwhelmingly points to Leadership. The OPPOSITE of long-term thinking, inspiring, visionary, humane, collaborative, reflective, selfless, nurturing, interested, responsible, and mobilizing is what seems to be what most companies elevate to the Chief Executive position.

Emulating Gary Convis

Gary Convis was recently brought in to be the CEO of Dana Corporation (DAN), an $8.7 Billion manufacturer of auto parts. Convis is a 40 year veteran of the auto industry and a former executive at Toyota. Dana Corporation is a struggling giant, currently in bankruptcy. When asked what words of wisdom he has to impart to his new team members at Dana Corporation, he said this:

“manage as if you have no power”

For me, that statement elegantly summarizes the the essence of Leadership — the type of Leadership that is capable of satisfying both (1) and (2) above.

+++++

Articles on Leadership:

1. Overmanaged and Underled
2. Colin Power on Leadership
3. Team or Staff?
4. Tipping-Point Leadership
5. Abraham Lincoln on Leadership
6. How to transform an Organization: Chime-in Before Buy-in

Please articles on Queueing Theory below:

• Queueing Theory: Part 1
• Queueing Theory: Part 2
• Queueing Theory: Part 3
• Queueing Theory: Part 4
• What is Waste?
• On Time-Traps and Waste
• Call Centers as Queueing Systems
• Travel Time & Waste
• Little’s Law for Product Development
• YouTube’s Queueing Properties
• Psychology of Queueing and Disneyland
• Queueing, Disneyland, and FastPass
• Multi-Tasking Leads to Lower Productivity
• Queueing Theory and Terrorism
• On Queueing Theory and Elevator Mirrors
• Psychology of Queueing, Haunted Houses, and Halloween
• The Variability Tree
• Attitude and the Psychology of Waiting - The Psychology of Queueing

Articles on Operations, lean and six sigma, please visit the links below:

• Managing Constraints Under Peak Volumes
• Order Pipeline of Events
• On Game Theory
• Applied Regression Analysis
• 5S