The Importance of knowing your REAL core competency...

There seems to be a revival brewing related to the importance of an organization's understanding of its core competency or competencies.  I remember when this was an important step in process improvement (nearly 10 years ago) then it fell by the wayside...I have always used this subtly in my work...from that time to today!

I laud the person or person's who re-sparked this...KUDOS!

True innovation within organizational constraints can not happen without that understanding.  The problem is that (at the risk of sounding philosophical) most organizations stop short of finding the soul...and stop at some physical manifestation.

The core competency of an organization is its soul...it is what it is really good at...on the most basic and nearly quantum level.

Let me use an example to further clarify my position...

Let's consider an Armored Car Company...we'll call it "ACC, Incorporated."

It is a booming company.  Their clients all desire that their money is moved from their places of business to the banks without any risk.  ACC had been doing this for years without any loss.  They have impenetrable equipment, people of the highest integrity, and technology second to none!  From their perspective they are in the Armored car business and to be at the top of the business, they have to be this way.

ACC leaders decide that they need to define their core competency and quickly identify "safely moving money" as what they do.

Let's take a break for a moment and look at some examples of mistakes that other companies have made in ill-defining core competencies.

A diet food manufacturer defined its competency as making flavorful diet foods.  Their true competency was portion control.  They met dietary requirements not through low calorie ingredients, but through weight control.  As a result they completely missed another potential market related to portion control for diabetics.

A company who made metro buses defined its core competency as making mass transit vehicles, rather than large framed energy efficient vehicles and missed the recreational vehicle market.

Not clearly defining the core competency closes doors to many creative opportunities and often ones that are more viable and less competitive than the market that the company is currently in.

ACC has "missed the boat" in their narrow definition of their core competency.  It would be more accurate to describe their core competency are moving materials without the risk of loss.  They do not have to move only money...although that is all they do.  They could move priceless pieces of art, jewelry, important documents, equipment...anything that their customer does not want to risk losing.  Their market is significantly larger than their prior definition has limited them to...

I could go on for a long time on this issue...but I believe that we can see the importance of this exercise in 21st Century Process Improvement.  "The New Brass Ring" touches briefly on this subject during the define stage.  My next book "The Perfect Machine" is all about capturing the essence of a company and leveraging it into the new market arena...it is one of the Secrets to going from Surviving to Thriving in this century!   

Triz vs The New Brass Ring

Triz is an amazing and powerful methodology. 

It is powerful because its development was driven by data and insight...

It is amazing because the thought behind it was an example of cutting-edge thought...perhaps a bit ahead of its time...

Those who have grasped the real power of Triz are a rare group, because you can not be effective in Triz with a superficial knowledge of it.  The real power comes from one's ability to apply the generalized Triz concepts to the issue at hand.

Many superficial practitioners totally miss the boat with Triz because they do not possess the ability to draw the abstract parallels between the categories and the issue.  Triz remains abstract by its very nature...BUT...

It is the forefather of "Solution-based" problem solving.  For the real masters of Triz...it is more than enough to handle organizational issues...

The New Brass Ring...leverages the categorizations developed in Triz to drive its solutions (key word) searches...

The differences between the Brass Ring and Triz start at this point.  In driving solutions...The Brass Ring recognizes the need for additional decomposition of the problem (normally People/Process/Technology).  So rather than 40 or so solution sets...the Brass Ring (at the intermediate decomposition level) is about 120 possibilities. 

This sounds daunting...but like Triz, many of the possibilities are not applicable and can be quickly (immediately) rejects, so the search list narrows by logical design.

An understanding of Triz is important to the effect application of the New Brass Ring.

Then it is important to be able to convert the Triz categories into applicable search terms for the Brass Ring...

As the books states...evolution seldom totally rejects genes or DNA.  It evolves it systematically.

The New Brass Ring carries some of the DNA from one of its forefathers...Triz and proudly so...

Is it different from Triz? 

Only about as much as you are different from your grandfather or father...



    

Is it Worth the Wait?

My long awaited book...The New Brass Ring - DMADD , Process Improvement for the 21st Century has been released...

As expected it is available on the publisher's website...

http://tinyurl.com/2bsxq78

and on the major book retailer sites...

http://www.amazon.com/ and http://www.barnesandnoble.com/

If you are buying from Amazon, click on the link on the right-hand side of the page...it will take you right to it!

This book is an introduction to DMADD.  It is not everything and not a full text book.  It is meant to set the stage for differentiating between Six Sigma, Lean, Triz and any other PI methodology.

It is different!

Showing people what I do has always what I envisioned, but didn't have the time or the energy to do so!

I finally took the time to do it...so....Some may called this another goal achieved...

In actuality, it is not a goal....it is another step in my journey...

As I said before, I desired to share a brief glimpse into what is really in the DMADD methodology.

It is an overview that can be only be had by fully engaging through the Cii!

Sorry...

I believe that it is worth the wait!

It has addressed many of the issues that the previous methodologies have...

One of the biggest issues has been the presence of individuals who claim to be practitioners and can't begin to use the methodology!

That is one of the reasons that the book does not lay out the entire methodology...

Cii maintains the only certification of practitioners.

I am also completing a blog about the difference between Triz and DMADD.

It will post shortly!

I think that if you read the book...you'll quickly see the differences!

The thing I love about the methodology is that it provides low risk solutions...

DA "MADD" Man!

One of the pre-press reviewers of my latest book "The New Brass Ring" (ISBN 976-1-60911-613-2) prosaically wrote that "...the unveiling of the DMADD methodology can be likened to a glorious sunrise over a tumultuous ocean...the dawn of a new day in Process Improvement"  These are kind words...AND I would like to believe so!

DMADD (Define/Measure/Analyze/Develop/Deliver) is not a new concept, but an offspring from a lineage of parents that can be traced to the earliest ancestors of process improvement.  Darwin would be proud!  Another example of evolution!

A cool thing about nature...it does not create perfection...just better!  The DMADD methodology is not perfect, but it does address many of the weaknesses of its forefathers and has adapted to the environment that threatens the Process Improvement species!  Like our children, it inherently leverages the benefits of the information age, rather than depending on an easily ignored, "add-on, after the fact," tool set to capture available information. 

Moreover, it goes beyond simple "Cause/Effect," to "Cause/Effect/Impact" allowing for a more meaningful assessment of driving relationships...and...

Its decision making tool adds a 3rd element to "Opportunity/Effort" (a simple ROI) " making it truly more applicable to real decision-making...

What more do we need to make decisions in this century?" you may ask.

The answer is "Risk."  This provides a more representative set of characteristics used in decision making.  In fact from my experience and research..."Risk" is the strongest determinant in decision-making and it is seldom quantified beyond a "gut feeling."

I am excited about the NBR and its methodology.  Define/Measure/Analyze/Develop/Deliver (DMADD) is more attuned to the way Process Improvement people should be working.  It is the way that management should be thinking!  Organizations don't want or need CULTURAL CHANGE!  They need RESULTS that move them from Surviving to Thriving...anything less is a waste of time!

Some may argue that this is simply a variant of the DMAIC methodology.  IT IS NOT!

I have been a constant practitioner of Six Sigma nearly since its beginnings!  I recognized and taught it as an analytical based methodology and actually classified it as a "discovery based methodology" early on!  I mentored my students to seek the "eureka moment!"

DMAIC is a "Discovery-based" problem solving methodology.  It utilizes the benefits of the scientific methods (hypothesis testing) to identify the causes and the level of contribution (correlation) to the given effect(s).  Although effective, those practitioners that are weak in statistics do more harm than good.  Those that are good in statistics often get caught up in the beauty of the analysis.  There is seldom a middle ground. Six Sigma got a bad reputation from individuals who did not know the methodology deeply enough to know when it was time to make a decision...enough said about this...so they analyzed it to death out of fear for being seen as incompetent...the others analyzed it to death out of the pure joy of analysis...and missed the results!

DMADD is a "Solutions-based" problem solving methodology.  Thanks to Six Sigma and the information-age driven marketplace itself, in all but a very few cases, "the answer is out there!"  (sounds like X-files!).  In fact...there are sometimes hundreds of possible answers!  We just need to find it (them) and determine which of the myriad of solutions has the greatest chance (least risk) of providing the required results!  AND adapt it to the current need and implement it and adjust until it provides the desired results...

The central tool driving this is called the "Solutions Tree."

Over the course of the next few months, we'll address some of the concerns and issues...

I am already hearing that many practitioners are threatened by the dawning of DMADD.  These are the very people who promote...(actually...mandate...) "embracing change" yet when something new comes along...the "not invented here" demon from within them crawls out of the depths of their true character!

To them...I say...what we need is results...stop touting the need for cultural change...and all of that fluffy stuff...give the companies what you promised and stop wasting their money...

It saddens me to have a good thing attacked rather than welcomed...

These are the same people who probably watch a beautiful sunrise and rue the morning!

Time will show the true colors of these people...I did not create this methodology to make any methodology obsolete...in fact it is just another weapon in the PI arsenal, that we can use to effectively and efficiently address process and performance problems...

It will not and can not apply to every situation...

There are still situations where Lean or Six Sigma will still be more effective...

There are still situations where TQM works best...

I could go on with many examples...

The fact of the matter is...

I have become "Da-MADD" man and I am proud of it...because I have been able to consistently able to provide better results faster and less costly!  Isn't that what companies want?

If you want to find out more about DMADD...The New Brass Ring is here...get it!    

The New Brass Ring

Continuous Improvement and its Process Improvement (PI) tool set sits on the cusp of a potential transformation.  Its practitioners can choose to embrace the change and move into the new Milena or reject it and remain in the 20th century.  We'll just have to wait and watch and see if the purported advocates of change, are capable of living up to the behavior set that they advocate is critical to success.  Are PI people really capable of performing up to their standards, or just using high standards as a safeguard and an excuse for failure.  The next year will be VERY telling.


In short order, my latest book, "The New Brass Ring" will be released.  It unveils a concept called "Solutions-based" problem-solving.  This stands at the opposite end of the PI spectrum from Six Sigma, which lives in the world of "Discovery-based" problem-solving.  Each has their place. 

In the 20th century Six Sigma ebbed because the majority of the issues that organizations faced required the identification of the root causes (sources) and subsequent changes based upon the discoveries.  Cause and Effect analysis was not a widespread or natural behavior. 

"We have a problem..."

"What is causing it?"

"I do not know!"

"Then go and find out what it is...and fix it!"

Six Sigma developed a structure (discipline) loosely based upon scientific method called MAIC or DMAIC.  There is a myriad of reasons for this structure...and most are valid.  The important thing is that the influence of Six Sigma (directly and indirectly) has made a majority of the population astute at "cause and effect analysis! The conversations now have evolved to...

"We have a problem..."

"X is causing it..."

"Go and fix it..."

"There are 50 things that we can do...which one is the best answer?"

"Just pick one and do it...we can't afford to wait while someone makes a decision!"

The question has shifted from "what is the cause?" to "What do we do?"

There is an elegant beauty inherent in "Solution-based" problem-solving, just like there was in "Discovery-based" problem-solving.  The "New Brass Ring" unveils that beauty.

Discovery-based problem-solving pursued knowledge...Solutions-based problem-solving applies wisdom.  It addresses RISK and IMPACT.

At this point in organizational evolution...risk and overall impact are the critical characteristics that need to be addressed.  These are the elements required to survive in the 21st century.

I desire to get the word out...

I need your help to do so...you can be part of the transformation...it is a great place to be!

When the book is released...buy it and also tell your friends and associates to do so also!  SPREAD THE WORD!

When you are traveling...go to the airport book stores and news stands and ask for the book (whether or not you have a copy).  It needs to be present at these stores to get the most exposure...

Continuous Improvement and Process Improvement needs a transformation...we can do it! 

The Perfect Machine

I am working on a systematic treatise...discussing the real needs of a successful 21st century organization. It has become evident to me...while composing the book (The Perfect Machine), that when this concept (organizational survival) is put in the context of Maslov's hierarchy of needs, that American organizations have been pushed back to the very bottom of the hierarchy!

In order for American organizations to be successful (whether they operate in an international or limited market) they must throw off their apathy and strive again for organizational self-actualization. It is an interesting concept and I believe that it is applicable.

The "Perfect Machine" is one of 3 books intended to guide and lead organizations up the hierarchy! Organizations must understand and realize that they are at the bottom and much of their plight has been caused by their current leaders! This is not a criticism of American management (although it is likely that it will be taken that way). It is a challenge to assess the organization and themselves and move forward!

Fear, risk aversion and a focus on short-term results will drive complacency and ultimately lead to demise of those organizations. That is a fact of nature...evolution will take its toll and those leaders will not get another chance to make the difference that they had an opportunity to make! The good thing is that most of them know how to wait tables and flip burgers. In a tongue in cheek way...the leaders of today that refuse to recognize the real state of things will be serving those who do recognize and adapt to it!

Which one are you?

"If it works...don't mess with it"...won't make it in the 21st century...are you that type of leader?

"I heard you and we need to do something about it..." is the other type...

Two will walk into the marketplace...but only one will return...

Which one are you?

REALLY!

2 versus 3 Dimensions

Traditional Process Improvement is linear in nature and practice Advanced PI "steps out" a bit and becomes "planer!"

I have always questioned why...Extreme advocates and practitioners demand adherance to a linear methodology. I believe that it has much to do with talents and abilities.

Assessing the levels or number of dimensions that your PI people are utilizing is a great way to judge the complexity of their thinking and competence with the tools at hand.

As is true in the "real world"...Linear thinkers are "child-like" in the PI world, YES...they are child-like! I actually see it as a temporal permanence issue...If I close my eyes...it disappears! If it isn't done my way...it isn't PI! SO SAD!

As one moves in 2 directions, simultaneously, they are maturing...3 dimensional thinking (global methodologies) tend to indicate young adults...beyond that is where wisdom truly lies!

The 21st century methodology is 3 dimensional; with the ability to expand beyond. Very few activities are linear in nature and are linked (directly or indirectly) to eachother. Nothing is independent or stand alone!

Each activity feeds all those around itself...and the interesting thing is...all of the other activities are around it!

Although the activities are grouped into phases...this is only to make it a bit easier for individuals to understand...

Classic methodologies provide classic answers at classic speeds of deliveries...

The 21st century methodology is designed to meet the needs of a quantum society...