Monday, 25 October 2010

Productivity 2: Reduced variation is not enough

This is the second in a series of productivity notes. Reducing variation is only part of the productivity process.

Reorganising processes so they are precise and prediction is helpful but not enough. In the diagram, the red dots are hitting the target in a predictable way. However, while they may be precise, they are not accurate. The green dots, with less precision, are more accurately placed around the bulls eye.

What I learn from this is the need to

  • know the definition and position of the bullseye (what is the purpose of the process being improved)
  • measure for accuracy as well as measuring variation
  • fix accuracy first, then go for reduced variation

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