supply chain
The Source of Dirt
In Amazon’s 2008 letter to shareholders, Jeff Bezos shares about a Kaizen event he participated in:
At a fulfillment center recently, one of our Kaizen experts asked me, “I’m in favor of a clean fulfillment center, but why are you cleaning? Why don’t you eliminate the source of dirt?”
I’ve spoken numerous times about Bezos on Lean Thinking, some of which are here, here, here and here but there are many more — just browse shmula.
In Amazon’s 2008 letter to shareholders, Jeff Bezos shares about a Kaizen event he participated in:
At a fulfillment center recently, one of our Kaizen experts asked me, “I’m in favor of a clean fulfillment center, but why are you cleaning? Why don’t you eliminate the source of dirt?”
I’ve spoken numerous times about Bezos on Lean Thinking, some of which are here, here, here and here but there are many more — just browse shmula.
The Role of The Warehouse in eCommerce and eRetailing: Trade-off and Benefits
fficiently optimizing inventory, storage space, labor, costs, and time in eCommerce (e-retailing) is required to attain customer satisfaction and economic profit. For the Operations Researcher, this is no easy task; for the in-the-dirt manager with competing priorities and pressures from her chain-of-command, it is even a bigger challenge.
Efficiently optimizing inventory, storage space, labor, costs, and time in eCommerce (e-retailing) is required to attain customer satisfaction and economic profit. For the Operations Researcher, this is no easy task; for the in-the-dirt manager with competing priorities and pressures from her chain-of-command, it is even a bigger challenge.
Most people are familiar with the front-end of eCommerce — the store, search, navigation, the cart, and payment. But, what most consumers don’t realize is that the true magic and the more technically challenging piece of eCommerce is actually what happens after “click” — The Fulfillment, which often requires a Warehouse.
Not Accountable, Not Responsible
Team size can make a big difference in the success of your service or product. What is counterintuitive for most people is that the larger the team size, the lower the likelihood of success for your service or product. Why? Entropy can set in and large teams are inherently bad vehicles for communication. More insipid, however, is that the larger the team, there is a higher likelihood of accountability and responsibility being diffused across the team.
Team size can make a big difference in the success of your service or product. What is counterintuitive for most people is that the larger the team size, the lower the likelihood of success for your service or product. Why? Entropy can set in and large teams are inherently bad vehicles for communication. More insipid, however, is that the larger the team, there is a higher likelihood of accountability and responsibility being diffused across the team.
Maintain Forward Tension
One principle in Wing Chun is the maintaining of forward tension. To explain, I’ll draw the distinction between Tension and Energy and show how this principle in Wing Chun can be applied to Change Management.
Tension is a type of Energy
A Wing Chun maxim goes as follows:
soft and relaxed strength will put your opponent in jeopardy
One principle in Wing Chun is the maintaining of forward tension. To explain, I’ll draw the distinction between Tension and Energy and show how this principle in Wing Chun can be applied to Change Management.
Tension is a type of Energy
A Wing Chun maxim goes as follows:
soft and relaxed strength will put your opponent in jeopardy
Fast Food Congestion
Every system has constraints — sometimes several — minor bottlenecks and major bottlenecks. What makes managing constraints even more challenging is that bottlenecks move: up-and-down the process paths.
I saw this phenomenon recently during a visit to a fast food restaurant, which I discuss in this post — but, my application of the Theory of Constraints, Lean Manufacturing, and Six Sigma as applied to a Restaurant can be applied to any Dynamic System.
Every system has constraints — sometimes several — minor bottlenecks and major bottlenecks. What makes managing constraints even more challenging is that bottlenecks move: up-and-down the process paths.
I saw this phenomenon recently during a visit to a fast food restaurant, which I discuss in this post — but, my application of the Theory of Constraints, Lean Manufacturing, and Six Sigma as applied to a Restaurant can be applied to any Dynamic System.
Student Loan Debt, Pizza, and The Supply Chain
Several months ago my wife mentioned, in a subtle way, that she misses Giordano’s Pizza. Giordano’s is our favorite pizza joint and we used to eat there daily while I was a graduate student at The University of Chicago. I’d say most of my graduate student loan debt went to Giordano’s in exchange for their delicious and famous stuffed pizza.
Several months ago my wife mentioned, in a subtle way, that she misses Giordano’s Pizza. Giordano’s is our favorite pizza joint and we used to eat there daily while I was a graduate student at The University of Chicago. I’d say most of my graduate student loan debt went to Giordano’s in exchange for their delicious and famous stuffed pizza.
Necessary but Insufficient
Motorola (MOT), the inventor of Six Sigma, is in big trouble. Even though it invented Six Sigma, this is a clear example that shows how Lean or Six Sigma are not a cure-all for corporate woes, but that good leadership and a winning strategy are key in a competitive world — Lean or Six Sigma is necessary, but not sufficient.
Motorola (MOT), the inventor of Six Sigma, is in big trouble. Even though it invented Six Sigma, this is a clear example that shows how Lean or Six Sigma are not a cure-all for corporate woes, but that good leadership and a winning strategy are key in a competitive world — Lean or Six Sigma is necessary, but not sufficient.
After the “Place Order” Button
What happens after the customer clicks the “Place Order Button”? For some customers, this is a large black hole. But, wise companies understand that customers need to be informed and aware of the steps after the “Place Order Button” is clicked. In fact, customers want to be involved in the end-to-end transaction. In this article, we’ll discuss how we can better satisfy this critical customer need, thereby ensuring repeat-business, loyalty, and also good, old fashioned, customer happiness.
What happens after the customer clicks the “Place Order Button”? For some customers, this is a large black hole. But, wise companies understand that customers need to be informed and aware of the steps after the “Place Order Button” is clicked. In fact, customers want to be involved in the end-to-end transaction. In this article, we’ll discuss how we can better satisfy this critical customer need, thereby ensuring repeat-business, loyalty, and also good, old fashioned, customer happiness.
Customer Service: an iPhone Case Study
In some organizations, the Customer Service function is largely viewed as a cost center, draining resources of the firm. I maintain that this viewpoint is one that less mature companies support. In what follows, I’ll take a hypothetical iPhone defect case and show how customer service in this example plays a pivotal role in the overall iPhone supply chain — a key player in the overall product value chain.
In some organizations, the Customer Service function is largely viewed as a cost center, draining resources of the firm. I maintain that this viewpoint is one that less mature companies support. In what follows, I’ll take a hypothetical iPhone defect case and show how customer service in this example plays a pivotal role in the overall iPhone supply chain — a key player in the overall product value chain.
Black Holes and Supply Chains
It’s critically important in any transaction to be able to answer the question “where’s my stuff” or “where are we in the process?” This requirement is often referred to as Traceability and Visibility; sometimes, people refer to this overall process as Click-to-Ship.
It’s critically important in any transaction to be able to answer the question “where’s my stuff” or “where are we in the process?” This requirement is often referred to as Traceability and Visibility; sometimes, people refer to this overall process as Click-to-Ship.
