Apr 22 2014
When “Lean” is Watered Down to “The Customer is King”
See on Scoop.it – lean manufacturing
Making your business lean might be a surefire way to lose customers | Quartz.com |
“Recently, I lost my wallet and had to replace a couple of bank cards (a situation millions of people face yearly). The first bank I called required me to slowly navigate through an automated system with an endless succession of prompts, while I grew increasingly frustrated and weary. Finally—after almost an hour!—a robotic voice told me that I would receive a new card in about a week.”
http://qz.com/190968/making-your-business-lean-might-be-a-surefire-way-to-lose-customers/
The Toyota Production System (TPS) is the best performing way we know to build cars, and it has a rich technical and managerial content. From the 1970s on, Toyota promoted among its suppliers. They were joined in the 1980s by Toyota’s competitors and a few non-automotive pioneers, who didn’t fully understand it.
Rebranded “Lean” in the 1990s, it was sold first in many manufacturing sectors and then outside of manufacturing. As a consequence, however, the “Lean Body of Knowledge” offered by most consultants and training organizations became more and more generic, and gradually drained of substance.
In this article, Lean boils down to “maximizing customer value using fewer resources.” If that is what Lean is, then I don’t know any businessperson — from my local dry-cleaner to the CEO of a major manufacturing company — who would not claim to doing it. They might express it in simpler words, like “taking care of customers without wasting money,” but the meaning is the same.
“The customer is king” is Business 101, not the defining characteristic of TPS or Lean as I see it, which addresses the needs of all stakeholders, not just customers. A “relentless customer focus” may be what you want to tell customers about, but it is not the basis for providing supplier support or career planning for production operators.
See on qz.com
May 16 2014
Does the World Need More MBAs? | Sally Blount says “Yes” | Business Week
See on Scoop.it – lean manufacturing
“Business is our most important social institution—improving the lives of millions. Yet it falls far short of its potential to serve society […] When you’re creating the next Google, Tencent, or Apple, you’re going to need people with the training, skills, and network that business education is uniquely good at providing. There’s a reason all of those companies hire people with MBAs. Even more important than the skills argument, however, is the intellectual argument for an MBA education, where there is critical knowledge to be gained. Business has evolved to be the dominant social institution of our age. Business is the cultural, organizational, and economic superforce in human development.”
Bill Waddell disagrees. I do too, for different reasons.
While I agree with Blount about the value of business skills, I see MBA programs as steeped in the druckerian fallacy that management is a profession in its own right, like Medicine or Engineering, and that a well-trained manager can be equally effective at running businesses in any industry, whether selling sugared water or making computers that change the world.
Rather than being a specialty in its own right, “Business Administration” is best viewed as a set of skills that complements industry-specific knowledge and experience.
That business is “the cultural, organizational, and economic superforce in human development” is something the dean of a business school would say. You could easily make the case for other forms of human endeavors, like universal public education, scientific research, or even democracy.
Bill Waddell seems to think that MBAs are inherently unable to implement and sustain Lean. I have, however, met several leaders who excelled at Lean while having MBAs. But it was not all they had.
A unique feature of this degree is that it takes over the identity of its holders, to the point that they describe themselves as “being MBAs” rather than “having MBAs.” The ones I have admired for their excellence in Lean had an engineering degree and had worked as engineers before getting MBAs.
See on www.businessweek.com
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By Michel Baudin • Press clippings 1 • Tags: Lean, MBA, Peter Drucker