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A friend and colleague, Bill Bentley, writes about the use of professional certifications in the recruiting industry.
In the late 1800s, economist and avid gardener Vilfredo Pareto established that 80% of the land in Italy was owned by 20% of the population. While gardening he later observed that 20% of the pea pods in his garden yielded 80% of the peas that were harvested. And thus was born a theory that has stood the test of time and scrutiny. The Pareto Principle or the 80:20 Rule has proven its validity in a number of other areas:
We’ve learned to categorize and sort our defects, problems, expenses by this 80/20 rule so that we can focus or limited resources, attention, brain power on the ‘vital few’. But in my experience you can’t let this thinking allow you to forget about the tail. Often the greatest opportunities or insights are found are out there in the mix.
Evolutionary Operations, first described by George E. P. Box and Norman R. Draper in in their book Evolutionary Operations – A statistical method for process improvement, New York: John Wiley and Sons, 1969. EVOP is Continuous Improvement + Design of Experiments. Basic idea is to replace the routine operation of a process by continuous and systematic plan of slight adjustments of the control variables. The effects of the adjustments are then evaluated just as with DOE. The process is then shifted in the desired direction of improvement. In many product and service processes it is impossible or very expensive to do DOE, especially where trials can be disruptive or the process owner would let you have the necessary time, materials, labor to run your experiments. So rather than running experimental production runs you use actual production by shifting off the base point left, right, up, down all within "spec".
Here’s another example for “sizing the wheel” for a mixed model fixed repeating schedule.
Given:
and
Now some math:
So the fixed repeating wheel will turn once in 2.86 days. Production run sizes as follows:
Plus 4 changeovers of 100 min each = 2403 min = 2.86 days. When it comes time to run product A, run 2.86 days worth. Got it? Would be nice if we could run just one piece. But until we can make the 100 minute changeover go away we’re stuck running a batch of some size.
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