Adapting to Change: Beyond Meeting Specifications

Are your specification limits holding you back from improving your products and services? Should you throw out specifications? What does Stephen Hawking have to do with it? In this episode, Bill Bellows and host Andrew Stotz discuss specifications and variation.

TRANSCRIPT

0:00:02.5 Andrew Stotz: My name is Andrew Stotz, and I'll be your host as we dive deeper into the teachings of Dr. W Edwards Deming. Today, I'm continuing my discussion with Bill Bellows, who has spent 31 years helping people apply Dr. Deming's ideas to become aware of how their thinking is holding them back from their biggest opportunities. Today is episode 12, and the title is Do Specification Limits Limit Improvement. Bill, take it away.

 

0:00:31.4 Bill Bellows: Hey, Andrew. How's it going? All right.

 

0:00:33.8 Andrew Stotz: Great. Great to have you back and great to see you. For those that are just listening, you can watch the video on DemingNEXT. But for those listening, Bill looks handsome, full of energy, ready to go, and it's my 8:30 in the morning in Bangkok, Thailand. So let's rock Bill.

 

0:00:56.3 Bill Bellows: So. I spoke recently to one of the folks I'd met on LinkedIn that have listened to our podcast and took the offer to reach out and we now talk regularly. And I just wanna say I've gotta, before we get to some, the story behind the title, I wanted to share, a heads up. And if anyone would like a copy of this article that I wanna, take some excerpts from, then just reach out to me on LinkedIn and ask for a copy of the article. The article's entitled 'A Brief History of Quality,' and there's three parts. So it's about 10 pages overall, and it was published in 2015 in the Lean Management Journal, which I don't believe still exists. I was writing articles at the end once a month for this journal, I think based out of the UK.

 

0:02:04.3 Bill Bellows: I think there was a manufacturing magazine that still exists and had this as a special topic and my interest was bringing Dr. Deming's ideas, to the Lean community, which is why it was a Lean Management Journal, so the article was entitled 'Brief History Equality.' And so I wanna get to those topics, but when I was reading the article, reminding myself of it, I thought, oh, I'll just share this story online with Andrew and our audience. And so here I'm just gonna read the opening paragraph. It says, "several years ago, I had the opportunity to attend an hour-long lecture by Stephen Hawking," right? So the article was written in 2015. So the presentation by Hawking would've been maybe 2012, 2013. And back to the article, it says, "he, Hawking, returns to Pasadena every summer for a one-month retreat, a ritual he started in the 1970s, several thousand attendees sitting in both a lecture hall and outdoors on a lawn area complete with a giant screen were treated to an evening of reflection of the legendary Cambridge physicist."

 

0:03:14.3 Bill Bellows: And I'll just pause. I have friends who work at JPL and they got me seats, and they got me an inside seat in the balcony, front row of the balcony, but they had big screens outside. I mean, it was like a rock concert for Stephen Hawking, right?

 

0:03:34.3 Andrew Stotz: That's amazing.

 

0:03:34.9 Bill Bellows: Oh, it was so cool. Oh, it was so cool. So anyway, "his focus was my brief history offering us a glimpse of his life through a twist on his treatise, A Brief History of Time. His introspective presentation revealed his genius, his humility, his search for black holes, his passion for life, not to mention his dry sense of humor. It ended with questions from three Caltech students, the last of which came from a postdoc student, an inquiry Hawking had likely tackled many times before."

 

0:04:06.6 Bill Bellows: So realize he's answering the questions through a voice activated thing. And it appeared that the questions were, his answers were prerecorded, but they're still coming through a device that is a synthesized voice. But I get the impression that he knew the questions were coming, so we in the audience were hearing the questions for the first time. But he had already answered the questions. So anyway, it ended with questions. There was an undergraduate student, a graduate student, then a postdoc, and I said, "the last of which came from a postdoc student, an inquiry Hawking had likely tackled many times before. And the student relayed the story of an unnamed physicist who once compared himself to both Isaac Newton and Albert Einstein." So this unnamed physicist compared himself to Einstein and Newton each placed on a scale of 1 lowest to 10 highest. "With this context, Hawking was asked where he would rank himself."

 

0:05:22.0 Bill Bellows: So this physicist said, oh, you know, Andrew, I see myself as this. And so the guy relays the story, and he says to Hawking, so given this other physicist said this, where would you rank yourself? "Well, I do not recall the relative rankings posed in the query. I'll never forget Hawking's abrupt reply. He says, “anyone who compares themselves to others is a loser." And I found online that he was, that commentary, this was not the first time he said that.

 

0:06:04.9 Andrew Stotz: Right.

 

0:06:06.5 Bill Bellows: And I just thought, oh, anyone who compares himself to others is a loser. And then the end of the paragraph is "in reference to Dr. Deming," Andrew, "variation, there will always be. So can't we just get used to variation?" So the title, are you in favor? No, no, no, no. That was last time. Are you in favor of improving the quality was number 10. Number 11 was to improve quality, don't measure quality. For 12, the specification limits limit improvement.

 

0:06:46.9 Andrew Stotz: Now, if that was true, first of all, that would be a little scary, 'cause we spend a lot of time working on specification limits. There's a lot of people working on that.

 

0:06:55.4 Bill Bellows: But here's what's behind the title. In 1995, I was invited to speak, not for the first time, but for the first time I ever spoke to an audience of the American Society of Quality. It was a San Fernando Valley chapter. I forget the number. I've spoken there many, many times over the years, but this is the first time I ever spoke to quality professionals as opposed to project managers or Society of Manufacturing Engineers. I was there with my wife. There's dinner, then after dinner in the next room, and the chairs were set up, theater style, that'd be 70, 80 people. And I was talking about what I would, I mean, things I still talk about, I talk about new things, to have new things done. But the big thing I was trying to get across the audience is, the difference between meeting requirements, which in this series, we call it acceptability versus desirability, which is, I want this value, I want this professor, I want to date this person. And so I was relaying that concept to that audience. And the question I asked that night was do specification limits limit improvement?

 

0:08:31.0 Bill Bellows: And there was a guy about seven rows back, and I built up to that. That wasn't the opening thing, but what I was really pushing on was a focus on Phil Crosby's goal of striving for zero defects. And, then what? Once you achieve that, then what? And we've talked about the doorway and that's like the door is closed, we get up to the doorway and we've achieved zero defects. And, what we've talked about is going through the doorway and the attitude is, well, why open the door? I mean, don't open the door, Andrew. There's a wall on the other side of that door, Andrew. So it might be a door, but everybody knows there's a wall behind it, and I was poking at that with this audience, and prepared to show them the value proposition of going through that.

 

0:09:34.0 Bill Bellows: So anyway, I remember I got to the point of asking, do specification limits limit thinking about improvement or something like that. And a more senior gentleman, about seven or eight rows back, and fortunately, he was seven or eight rows back, fortunately, because he stood up and he says, "Are you saying we don't need specification limits?" There's a lot more anger in his voice. And I said, "No," I said, "I'm saying I think they limit our thinking about improvement." And, but he was really upset with me, and I was deliberately provoking because again, you and I have talked about, how can we inspire through this podcast and other podcasts that you do with the others, to get people to think about the possibilities that Dr. Deming shared with us. And it's not believing that there's a door that you can't walk through. You open the door and there's an opening and you can go through. There's a lot more going on there. So anyway, so I had prepared them. The whole reason for being there was to share what we were doing at Rocketdyne, and not just talk about the possibilities, but show them the possibilities. But he got very upset with me. But if he was in the front row, he might've hit me.

 

0:11:08.9 Andrew Stotz: May have thrown a book at you.

 

0:11:11.5 Bill Bellows: Oh, he...

 

0:11:12.2 Andrew Stotz: May have thrown a Specification Limit at you.

 

0:11:17.0 Bill Bellows: Twice I've had people get, well, I've gotten a number of people upset with me over the years, but that night was, I'll never forget, and I'll never forget, because my wife was sitting in the front row and she asked me never to be that provocative again. It might be dangerous to my health. But I was doing another class, also for the American Society of Quality, I was a member of the local chapter, and there was a big movement within Rocketdyne that all Quality Engineers within Rocketdyne be Certified Quality Engineers. And so two or three of us from Rocketdyne got involved in helping the local chapter train people to prepare to take this one day exam. Very, very, very rigorous. And it's a valuable credential for quality professionals.

 

0:12:20.1 Bill Bellows: And so the company was pushing that every single quality engineer was certified. So we did the classes on site. So instead of going to the nearby Cal State Northridge and doing it over there, we wanted to do it onsite, make it easy for our employees to attend. And so I would do one and a half sessions. So a given session was three hours long, and then there'd be a half session. And my topics were Design of Experiments and Dr. Taguchi's work. And so as I got this group this one night for the very first time, I was the second half of that three-hour session, and there's 30 some people in the room at Rocketdyne. And the question I wanted to raise is, why run experiments? What would provoke you to run an experiments either, planned experimentation, Design of Experiments or Dr. Taguchi's approach to it.

 

0:13:15.1 Bill Bellows: So I was throwing that out and I said, in my experience, we're either applying it to make something better - that's improvement, Andrew, - or we're applying it to find out why something doesn't work, which is rearward looking. And I was saying that in my experience, I spend like a whole lot of time running experiments to solve a problem, to fix something that was broken, to get it back to where it was before the fire alarm, not as much time focusing on good to make it better. And so I was just playing in that space of, you know, I guess I was asking the audience are we running experiments to go from bad to good and stop, or from good to better? And I was playing with that 30 people in the room, and all of a sudden, four or five feet in front of me, this guy stands up, says this is BS, but he didn't use the initials, he actually said the word and walked out of the room. And all of us are looking at him like, and there was no provocation. Now, I admit for the ASQ meeting, I was poking to make sure they were paying attention. Here, I was just plain just, why do we run experiments? So, he stands up, he lets out that word, pretty high volume, storms out of the room.

 

0:14:42.1 Bill Bellows: Well, at Rocketdyne, you can't... You need a... You have to walk around with someone who works there. You just can't go walk around the place, so I had to quickly get one of my coworkers who was in the room to go escort him to the lobby or else, we're all gonna get fired for having somebody unescorted. So the specification limits limit thinking about improvement, I think they do. I am constantly working with university courses or in my consulting work and acceptability in terms of the quality goal, that this is acceptable, it meets requirements is alive and well and thriving, thriving. And, I think what goes on in organizations, I think there's such a focus on getting things done, that to be done is to be good and is to stop that I could pass my work on to you.

 

0:15:45.2 Bill Bellows: And, the challenge becomes, even if you're aware that you can walk through the doorway and move from acceptability to desirability, how do you sell that to an organization, which you, what I see in organizations, there's a lot of kicking the can down the road. There's a lot of, and even worse than that, there's a lot of toast scraping going on because there's not a lot of understanding that the person toasting it is over toasting it because all they do is put the toast into the oven. Somebody else takes it out, somebody else scrapes it, somebody else sends it back to a different toaster. And I see a lack of understanding of this because the heads are down. That's part of what I see. What I also see in organizations is, with students is this is their first drop.

 

0:16:51.0 Bill Bellows: Wherever they are, engineering, manufacturing, quality, they're new, they're excited, they're excited to be on their own, to have an income. And they're taking what they learned in universities, and now, they get to apply it. And I remember what that was like. I worked the summer after getting my bachelor's degree, my last semester, I took a class at heat transfer, the prior semester, took a class in jet engines, and I just fell in love with heat transfer and I fell in love with jet engines. And that summer, I was coming back in the fall to go to graduate school for my master's degree. That summer, I worked for a jet engine company as a heat transfer engineer, I was in heaven.

 

0:17:37.6 Andrew Stotz: Yeah. That's gotta be the coolest thing.

 

0:17:40.1 Bill Bellows: Just incredible. So I can imagine people coming out of college, going to work, and you get to apply what you learned. You get to use computers, you get to work with some really cool people, and you're doing what you're doing, and it's a blast. And I think it takes a few years before you start to listen to what the veterans are talking about. And you might hear that they're challenging how decisions are made, they're challenging how the company is run. I think prior to that, your heads are down and you're just the subject matter expert. It could be, you know, engineering and manufacturing, finance, and you're doing what you're doing. Their head is down, you're receiving, you're delivering. I still remember when I went to work with my Ph.D. at the same jet engine company, they hired me back. And, I remember walking down the hallway with a colleague and somebody says, that's the VP of Engineering.

 

0:18:42.7 Bill Bellows: And I thought, we have a VP of Engineering? I mean, I know we have a Vice President of the United States, but I didn't know anything about titles like that. And I think... And I don't think I'm the only one. I've shared those with some younger folks recently, and they agree, you come in, it's heads down, we don't know management, all I get to work on this great stuff. I go and I, and so what we're, but I think what happens is, I think at some point of time you start to look up and you're hearing what the more senior people that are there are saying you've had some experience. And, I know when people join Rocketdyne, and they would come to my class and I would share these stories that had some things that were, if your experience would be questionable, some other things that are pretty cool.

 

0:19:34.6 Bill Bellows: And, I just had the feeling and I found out people would walk outta there thinking what you mean that, I mean the things, the use of incentives, like why do we need incentives? But, and what I found was it took a couple of years and I would bump into these same people and they'd say, now I'm beginning to understand what you were talking about and what Dr. Deming was talking about. So I throw that out. For those listeners that are trying to, that are at that phase where you're starting to wonder how are decisions being made? You're wondering what you wanna do in your profession. You're wondering what this Deming stuff is about. A whole lot of this entire series has been targeted at people that are new to Deming's ideas. Or maybe they have some experience, they're getting some exposure through these podcasts either with me and the ones you're doing with John and the others. And so, but the other thing I wanna get into today is this quality thing. I go back to this article. And then I was thinking about this article, things I didn't know when I started researching this article is, this term quality, where does that come from? And the term quality comes from, I got to pull it, I have to scroll through the article. Let me get it, let me get it.

 

0:21:06.4 Bill Bellows: All right. Here we go. "The word quality," Andrew "has Latin roots, beginning with qualitas coined by Roman philosopher and statesman, Marcus Tullius Cicero, who later became an adversary of Mark Antony." You know, what happened to Cicero? Wasn't pretty.

 

0:21:32.8 Andrew Stotz: Yeah.

 

0:21:33.9 Bill Bellows: "Feared by Antony," I wrote, "his power of speech led to his eventual beheading. But long after he introduces fellow Romans to the vocabulary of qualitas, that's quality; quantitas, that's quantity; humanitas, that's humanity; and essentia, which is essential. He's also credited with an extensive list of expressions that translate into English, including difference, infinity, science, and morale. When Plato invented the phrase poiotes for use by his peers." So Plato would've been Greek, "Cicero spoke of qualitas with his peers when focusing on the property of an object, not its quantity." And, what I had in mind there is counting how many things we have, so you come in and you want five apples, five suits, whatever it is, there's the quantity thing. And then what Cicero was trying to do is say, quality is not the number, but quality is a differentiation of not just any suit, not just any...

 

0:22:53.1 Bill Bellows: And I think that becomes the challenge is, is that still important? So when Dr. Deming came on board in 1980, at the age of 79, when the NBC white paper was written, and people got excited by quality because quality was something that people identified with Japanese products, not with American products.

 

0:23:19.9 Andrew Stotz: Well, not in 1980.

 

0:23:21.1 Bill Bellows: Not in 1980...

 

[laughter]

 

0:23:22.2 Bill Bellows: I mean, at that time, the auto companies were making a lot of money in repair businesses. And Toyota comes along and says, and the words on the street, our products don't require all that repair. And I thought, yeah. And what was neat about that is when I thought, when you think about differentiation and like how do you sell quality? Because, again, I find it, for the longest time, beginning in 1980, quality was hot. Quality improvement. I mean, the American Society of Quality membership skyrocketed. Their membership has dropped like a rock since then because they don't have this Deming guy around that got them going.

 

0:24:12.1 Bill Bellows: Now, they're still big in the Six Sigma, but I don't believe their membership is anything like it was, but what I was thinking and getting ready for tonight is the economics of quality is from a consumer, what, at least, when my wife and I buy Toyota, it's a value proposition. It's the idea that if we buy Toyota, in our experience, we're getting a car that doesn't break down as often, is far more reliable. That becomes the differentiation. Also in the first... In the second series, second podcast of this series, we talked about the eight dimensions of quality and David Garvin's work.

 

0:25:03.2 Bill Bellows: And one of them was features, that a car with cup holders is quality 'cause... And there was a time, and the more cup holders, the better. And that was... And Garvin was saying lots of features is quality. He said, reliability could perceived it as a dimension of quality. Conformance was one of the dimensions, and he attributed that to the traditional thinking of Crosby. Reliability is a thing. And so when it comes to, how do you sell quality today? How do you get people within your organizations to go beyond, 'cause what I see right now is it's almost as if quality has gone back to quantity, that it's gone, that it's lost its appeal. Now, quantity doesn't lose its appeal 'cause we're selling, five of them, 20 of them, 30 of them.

 

0:26:09.2 Bill Bellows: But I don't get the impression from students and others that I interact with, that quality has big appeal. But, if we convert quality to the ability to do more with less, I mean the, when I'm delivering a higher quality item to you within the organization, that it's easier for you to integrate, to do something with, that's money, that's savings of time. And the question is, well, I guess how can we help make people more aware that when you go through the door of good and go beyond looking good and start to think about opportunities for desirable? And again, what we've said in the past is there's nothing wrong with tools, nothing wrong with the techniques to use them, there's nothing wrong with acceptability, but desirability is a differentiator.

 

0:27:15.2 Bill Bellows: And then the challenge becomes, if everyone's focused on acceptability, where it makes sense, then within your organization going beyond that, as we've explained, and this is where Dr. Taguchi's work is very critical. Dr. Deming learned about desirability from Dr. Taguchi in 1960. And that's what I think is, for all this interest in Toyota, I guess my question is, why is everybody excited by Toyota? Is it because they do single-minute exchange of dies? I don't think so. Is it because they do mixed model production? They can have, in one production line have a red car followed by a blue car, followed by a green car as opposed to mass production? Or is it because of the incredible reliability of the product? That's my answer, and I'm sticking to it. So...

 

0:28:14.3 Andrew Stotz: Yeah.

 

0:28:14.7 Bill Bellows: So what do you think Andrew?

 

0:28:17.2 Andrew Stotz: Yeah. There's two things that I was thinking about. One of the things I was thinking about is the idea if we're doing good with quality, and maybe we're satisfied with good, I was thinking about the book 'Good to Great,' and like how do you make this breakthrough? And then I was maybe it's good to groundbreaking or good to amazing or whatever. But like, when you really go beyond specification limits and take it to the next level, it's like you're moving from good to great. And one of the things that I see a lot is that, and I talk a lot in my corporate strategy courses with my clients and with my students is this idea that Deming really hit home about, about focusing on your customer, not your competitor.

 

0:29:06.6 Andrew Stotz: And I just feel like humans have a need to classify everything, to name everything, to label everything. And once they've got that label, that's the specification. That's what we want, they will fixate on that. And whether, I think, you think about all the kids that come out of the out of some meeting with a doctor and say, oh, I'm ADHD. Okay, we got a label now that's good and bad. And so that's where I think it, when I thought about the specification limits limit improvement, I think that, specification to me, when I think about quality, I think about setting a standard, moving to a, a new standard, and then maintaining that standard. And I can see the purpose of limits and controls and trying to understand how do we maintain that. But if we only stay on maintaining that and never move beyond that, then are we really, are we really in pursuit of quality?

 

0:30:12.0 Andrew Stotz: Now, on the other hand, when I think about the customers of my coffee factory, CoffeeWORKS and they want the exact same experience every single morning. Now, if we can make tests and do PDSAs to improve how we're doing that, less resources, better inputs and all that, great, but they do not want a difference. And I was just thinking about it also in relation to my evaluation masterclass bootcamp, where I still have a lot of variation coming out at the end of the bootcamp. Now, in the beginning, this is bootcamp number 19. So I've done this a lot. In the beginning, man, I would have, someone really terrible and someone really great, and I wasn't satisfied. So I kept trying to improve the content, the process, the feedback to make sure that by the time they get to the end, but I was just frustrated yesterday thinking there's still a lot of variation that, and I'm not talking about, the variation of a personality or something.

 

0:31:15.2 Andrew Stotz: I'm just talking about the variation of understanding and implementing what they're learning. And then I was thinking as I was at the park running this morning, I was thinking like, what makes Toyota so great is that there is very little variation of the 10 million cars that they've produced last year. And how impressive that is when all I'm trying to do is do it in a small little course. So I don't know, those are some things that were coming into my head when I thought about what you're talking about.

 

0:31:44.6 Bill Bellows: But no, you're right, in terms of the coffee, and I think you brought up a couple of good points. One is when the customer wants that flavor, whatever that level is, now, but that, I don't know how, anything about measuring taste, but there could be, within the range, within that, when they say they want that flavor, I mean, that could still have, could be a pretty broad spectrum. So maybe there's the ability to make it more consistent within that, if that's possible.

 

0:32:27.8 Andrew Stotz: Yeah, I think that, I think, like we have a blend we call Hunter's Brew, and I drink that every single morning and I can say, yeah, there's a variation, but it's a small enough variation that it doesn't bother me at all. And I think it doesn't bother our customer. Could we get more conformity to that? Yes, I think we could reduce that. Is it worth it? That's another question. We're looking at some automated equipment, some automated roasting equipment that would bring automation that would allow us to reduce that variation a bit. Will the customer notice that or not? Maybe. But the customer will definitely notice if we're outside of specification limits or if it's burnt...

 

0:33:12.7 Bill Bellows: Yes.

 

0:33:13.5 Andrew Stotz: As an example, and we're still shipping it, you know, they'll definitely notice that. And we have our mechanisms to try to measure that so that we are within those limits. So I do see, I see that the function of that to me is like, okay, in fact, in any business, you're constantly chasing and putting out fires. I mean, there's always things going on in every business owner's situation.

 

0:33:38.6 Bill Bellows: Right.

 

0:33:39.9 Andrew Stotz: And so there's at points where it's like, okay, can you just keep that in specification limit for right now while I get over to here and fix how we're gonna make sure that this is at another level where that is, I would consider it kind of an improvement versus maintaining. But I don't know, I'm just, I'm riffing here, but those are some things in my head.

 

0:34:00.0 Bill Bellows: No, what I hear you talking about is if we shift from quality management to, I mean, what desirability is about is looking at things as a system. Acceptability is about looking at things in isolation and saying, this is good, this is good, this is good, this is good. Not necessarily with a lot of focus of how is that used. So if we move away from quality and really what we're talking about is a better way to run an organization with a sense of connectedness that we're, we can talk about working together. Well, it's hard to work together if the fundamental mindset is: here, Andrew, my part is good and I wash my hands of it. When you come back and say, well, Bill, I'm having trouble integrating it, that's more like working separately.

 

0:35:07.2 Bill Bellows: So if we shift the focus from quality, which could be really narrow, it could be an entry point, but I think if we step back, I mean the title of Dr. Deming's last book was 'The New Economics,' the idea which has to be, which to me, which is about a resource. The better we manage the organization as a system, the more we can do with less. And relative to the quality of the taste and yeah, the customers want this and maybe we can make that even more consistent simultaneously. Can we use control charts to see special causes before they get too far downstream that allows us to maintain that consistency? That'd be nice. Then can we figure out ways to expand our capacity as we gain more? So there's a whole lot to do. So the organization is not static. And simultaneously the challenge becomes how do we stay ahead of others who might be trying to do the same thing? Dr. Deming would say, be thankful for a good competitor. Are we just gonna sit there and say, oh, we're the only coffee... We're the only ones in house that know how to do this. What is our differentiator? And I think having a workforce that thinks in terms of how the activities are connected, that are constantly involved in improvement activities.

 

0:36:45.1 Bill Bellows: Short of that, what you're hoping is that no one comes along in... Remember the book, it was required reading within Boeing, sadly, 'Who Moved My Cheese?'

 

0:36:58.2 Andrew Stotz: It was required reading at Pepsi when I was there, and I hated that book. We had another one called 'The Game of Work,' which I just was so annoyed with, but that 'Who Moved My Cheese?' I never, never really enjoyed that at all.

 

0:37:07.0 Bill Bellows: We used to laugh about, within Rocketdyne 'cause, and for those who aren't aware of the book, the storyline is that there's a bunch of mice and they're living in their little cubby holes and every day they go through the mouse hole, try to avoid the cat, find the cheese, bring the cheese back into their cubby hole, and that life is good. And then one day, somebody steals the cheese, moves the cheese and one's kind of frantic and the other's like, oh, not to worry, Andrew, I'm sure it was taken by a nice person and I'm sure they'll return it. So I wouldn't lose sleep over that. That's okay. That's okay. And then kind of the moral was another company is stealing your cheese and you're sitting there thinking everything's okay, and next thing you know, you're outta business because you weren't paying attention. And so the, and it was, this is written for adults with cartoons of cheese. That's how you appeal... That's how...

 

0:38:15.9 Andrew Stotz: Yeah. So that's what got me annoyed about it because it felt like, just tell me what you're trying to tell me, okay. Instead of telling me this story. But yeah, it was a used to create the burning platform concept that was used... I know at Pepsi when I was there, they talked about the burning platform, the level of urgency, we're gonna get, and, and there's, I kind of understand where they were coming from with it, but yeah.

 

0:38:44.7 Bill Bellows: But what is interesting is nowhere in the book was a strategy to be the ones moving the cheese. What it was more like is don't be in an environment where somebody else moves the cheese. Don't be that company. And I thought, no, you wanna be the company that's moving the cheese. But that was, maybe that's an advanced book that hasn't come out yet.

 

[laughter]

 

0:39:08.6 Bill Bellows: But really...

 

0:39:10.5 Andrew Stotz: There's some work for you, Bill.

 

0:39:12.6 Bill Bellows: But, but that's what... I mean what Dr. Deming is talking about is having an environment where you have that capacity on an ongoing basis. First of all, you're not sitting back stopping at good, thinking that what you're doing is always acceptable. It's trying to do more with that. Anyway, that's what I wanted to explore today. Again, there's nothing wrong with specification limits. I told the gentleman that night, specification limits are provided to allow for variation, to allow for commerce, to allow for suppliers to provide things that meet requirements. Then the question becomes, is there value in doing something with a variation within the specification limits? Is there value in moving that variation around? And that's the desirability focus. That is what Ford realized Toyota was doing a lot, is that then improves the functionality of the resulting product, it improves its reliability. All of that is the possibility of going beyond meeting requirements. So it's not that we shouldn't have, we need specifications. Why? Because there's variation. And if we didn't allow for variation, we couldn't have commerce because we can't deliver exactly anything. So I just want, just for some...

 

0:40:34.9 Andrew Stotz: Okay, all right. That's a good one.

 

0:40:37.4 Bill Bellows: All right.

 

0:40:38.2 Andrew Stotz: And I'll wrap it up with a little humor.

 

0:40:40.4 Bill Bellows: Go ahead.

 

0:40:40.5 Andrew Stotz: There were some parody books that came out, in relation to 'Who Moved My Cheese.' In 2002, the book 'Who Cut the Cheese' by Stilton Jarlsberg, which was good. And in 2011 was, 'I Moved Your Cheese' by Deepak Malhotra. So there you go. A little humor for the day. Bill, on behalf of everybody at The Deming Institute, I want to thank you again for this discussion. And for listeners, remember to go to deming.org to continue your journey. And if you want to keep in touch with Bill, just find him on LinkedIn. He responds. This is your host, Andrew Stotz, and I'll leave you with one of my favorite quotes from Dr. Deming. I just love this quote. I think about it all the time. "People are entitled to joy in work."