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Jan 3 2017

Probability For Professionals

dice In a previous post, I pointed out that manufacturing professionals’ eyes glaze over when they hear the word “probability.” Even outside manufacturing, most professionals’ idea of probability is that, if you throw a die, you have one chance in six of getting an ace.

2000 years ago, Claudius wrote a book on how to win at dice but the field of inquiry has broadened since, producing results that affect business, technology, science, politics, and everyday life.

In the age of big data, all professionals would benefit from digging deeper and becoming, at least, savvy recipients of probabilistic arguments prepared by others. The analysts themselves need a deeper understanding than their audience.

With the software available today in the broad categories of data science or machine learning, however, they don’t need to master 1,000 pages of math in order to apply probability theory, any more than you need to understand the mechanics of gearboxes to drive a car.

It wasn’t the case in earlier decades, when you needed to learn the math and implement it in your own code. Not only is it now unnecessary, but many new tools have been added to the kit. You still need to learn what the math doesn’t tell you: which tools to apply, when and how, in order to solve your actual problems. It’s no longer about computing, but about figuring out what to compute and acting on the results.

Following are a few examples that illustrate these ideas, and pointers on concepts I have personally found most enlightening on this subject. There is more to come, if there is popular demand.

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By Michel Baudin • Data science • 1 • Tags: data science, Manufacturing, Probablility, Randomness, Variability

Jan 1 2017

Digital Transformation vs. Lean Transformation | Bob Emiliani

“Corporate investment is increasingly shifting from machinery and employees to robots and software. Why? Because CEOs think digital transformation will be a source of competitive advantage. And it is a transformation that they think they can execute more rapidly compared to Lean transformation. CEOs also think that automation and artificial intelligence will take on greater roles, while the work of employees will take on less significance over time. They think technology is becoming more valuable than employees.”

Sourced through Bob Emiliani’s blog

Michel Baudin‘s comments: “Digital transformation” is a quaint way of describing the growing pervasiveness of software in business, with its infrastructure of computers, computer-controlled devices, and networks. Digital is normally opposed to analog, as in music CDs versus vinyl LPs. The early work on industrial automation was based on analog mechanical, fluidic, or electronic control systems, and its “digital transformation” happened decades ago with the advent of numerically controlled (CNC) machine tools and programmable logic controllers (PLCs). This is not what Bob is talking about, but I am not sure what he is talking about.

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By Michel Baudin • Blog clippings • 3 • Tags: cyber-physical systems, ERP, Industry 4.0, IT, Lean, Lean management, WMS

Dec 19 2016

Lean As A Regenerative Value System | Robert W. “Doc” Hall | Compression Institute

“Lean thinking needs transformation, major expansion, and a basic shift in objectives – from improving operational efficiency to something much bigger: Continuous Regeneration of ourselves, our human economy, and of the natural world. All three depend on each other. To do that we must learn to think more than technique deep.”

Sourced through the Compression Institute.

Michel Baudin‘s comments: While I agree with Doc Hall that there is more to life in society than manufacturing or even business operations and that we need to continuously rethink the conclusions we have reached on “ourselves, our human economy, and of the natural world,” I don’t see much value in putting all of these deep meditations under Lean, which I see as nothing but a convenient label to enable car companies to adopt Toyota’s system without referencing a competitor, and to allow organizations outside the car industry to borrow and adapt concepts from this system.

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By Michel Baudin • Blog reviews • 1 • Tags: Creative Destruction, Industry 4.0, Lean, Piketty, Protectionism, Rank-and-Yank

Dec 13 2016

Managers’ Knowledge: What Remains Once You Have Forgotten Everything

To what extent should managers be able to do the work of their subordinates? And, if they are, how should they use this ability? This is not a topic I have seen addressed in the management literature, perhaps because there are no generic answers. The manager of a car repair shop is typically a mechanic who can do everything the technicians can, but the manager of an opera company usually can’t sing.

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By Michel Baudin • Management • 0 • Tags: Management, Manufacturing Management, skills

Dec 5 2016

What You Can And Cannot Learn About Manufacturing From Books

I found the following reader’s question in another blog:

“I’m new to Lean and reading all I can find about it, but is there something specific I need to look out for; is there something I should know that I won’t find in the books?”

It’s been centuries since the book was the state of the art in communicating knowledge, and readers needed technical support on how to use one:

Millenials may be the last generation for which “book smart” is synonymous with educated. But books, even printed books as opposed to ebooks, are still essential to learning, and in particular to learning Lean.

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By Michel Baudin • Answers to reader questions • 1 • Tags: Books about Lean, Lean

Nov 22 2016

If Talk Of Probability Makes Your Eyes Glaze Over…

Few terms cause manufacturing professionals’ eyes to glaze over like “probability.” They perceive it as a complicated theory without much relevance to their work. It is nowhere to be found in the Japanese literature on production systems and supply chains, or in the American literature on Lean. Among influential American thinkers on manufacturing, Deming was the only one to focus on it, albeit implicitly, when he made “Knowledge of Variation” one of the four components of his System of Profound Knowledge (SoPK).

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By Michel Baudin • Data science • 1 • Tags: Deming, Lean, Manufacturing, Operations Research, Probability

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