To Read or Refresh

Lean Thinking - Womack & Jones
the cluetrain manifesto - Levine, Locke, Searls and Weinberger
Toyota Production System - Ohno
Against the Gods - The Remarkable Story of Risk - Bernstein
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April 8th, 2007
Using this very simple method to create a Cusum (A “Brief” Cusum Example), you can begin increasing your DV right away.
Here’s how you create it.
1. Select your target (e.g. Output in Units per Hour, let’s say 100)
2. Measure actual Output per Hour
3. Subtract your target (100) from each individual measurement (call this the difference)
4. Do a running sum of the differences and plot that running sum
IF the plot trend is horizontal, the process or whatever you’re measuring is closely matching the target.
IF the plot trend declines, the process is providing results generally below your target.
IF the plot trend increases, the process is exceeding the target regularly.
This tool is much more sensitive to changes than just plotting the raw data over time. Check it out sometime for yourself.
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April 8th, 2007