The Illusion of Business “Logic” – Brilliant at Home, Illogical at Work
MAR 1, 202629 MIN
The Illusion of Business “Logic” – Brilliant at Home, Illogical at Work
MAR 1, 202629 MIN
Description
In this episode, you'll be able to take away why many "logical" workplace measures and incentives can drive behavior that conflicts with Lean principles, and why comparing work decisions to everyday home-life decisions can make Lean concepts easier to understand and teach.
You will hear about various examples, including grocery shopping and volume discounts, which highlight purchase price variance and excess inventory. You will explore the concepts of push versus pull using the supermarket and kanban approach. You'll gain insights into utilization and overall equipment effectiveness (OEE) and understand how "banking" uptime can lead to overproduction and unmet demand.
Additionally, you will investigate changeover strategies using a multi-part thermoforming case, illustrated through a barbecue analogy comparing hot dogs and hamburgers. Finally, you will discover why oil leaks and poor visual management are perceived differently in the workplace compared to a car context, including the use of dashboards, warning lights, signs, and scoreboards.
Timestamps:
01:31 Lean Accounting Origins
04:20 Buying in Bulk Trap
06:31 Pull Systems Grocery Lesson
08:05 Utilization Incentives Myth
11:27 Absorption Accounting Reality
12:44 Changeover Barbecue Analogy
17:52 SMED Rethink Changeovers
18:40 Fix Leaks Like Cars
21:38 Visual Management Everywhere
25:16 Bring Lean Home and Work