Archive for October 7th, 2013|Daily archive page

The GREAT GAME of Business

In Book, Networking, Self Improvement on October 7, 2013 at 9:27 am

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Jack Stack said:

Jack Stack Myth pg23

Page 23 — Being honest with people was unheard of at Melrose Park and at most other companies in the 1970’s. The whole mentality was, Cover your ass. If your job was to get parts, you never told your suppliers how many parts you really needed, or when you really needed them, because they’d screw you every time, or so the experienced schedulers told me. They said, “Lie, kid, lie.” If you’ve got enough parts to last you a couple weeks, tell ’em you’ll be out of stock by Friday.” It got to the point where nobody trusted anyone else’s numbers, and for good reason. They were all lying to each other to cover their asses.

But I had an advantage: I didn’t need to cover my ass. I didn’t have a family. I didn’t have any responsibilities. So when suppliers asked me what the situation really was in the factory, I told them the truth. I told them exactly how many parts we had in stock and how long we could go before we’d start having problems on the assembly line. I discovered that the more honest I was with them, the more they relied on me. They had their own scheduling problems, and they were desperate for information they could count on. As a result, they protected me. I was their source, and they made sure they never let me down.

The same thing happened when I began dealing with the shop floor. There we had a situation where nobody believed the schedules they were given because, once again, everybody was covering their asses. Let’s say the schedule called for the assembly line to make fifty Model X engines and fifty Model Y engines on a given day, but the people on the line have enough parts to fill the quota for the Model X’s. Instead they’d do two days’ production of Model Y. That tay they kept the line up and running, which meant their asses were covered, but they totally discombobulated everybody else, who now didn’t know what the line needed or when. So I went to the guys in assembly, and I said, “Look. From now on we are going to live by the schedule we put out, and we’re going to schedule from the assembly line all the way back. If a part isn’t here when it’s needed, we’re not going to make do with the parts we have. We’re going to shut down the line.”

Everybody was shocked. They said, “You can’t do that. The assembly line is god. You can’t shut it down.” I said, “Oh, yeah? Just watch me.” As it turned out, I only had to shut it down once. After that, people got in sync real fast. They decided that if I was willing to shut down the line to give them a schedule they could count on, they’d make sure they got parts there on time. As for me, I made sure they had everything they needed fto meet the schedule. If one department got in trouble, we’d send other people in to help out. Sure enough, our production began to go up. When I started the job, we were doing about 100 engines a day. By the time I left a year late, we were up to 300 engines a day.

Jack Stack Page25

[Ref. source:  The Great Game of Business, by Jack Stack]

Whew! Thank God for myth busters and the Great Game of Business,
I’m Qui
about my the future, I’m on my honest REEL’ness.