Newsletter – April, 2017

On My Mind
Multivariate Data Analysis (MDA) consists of a set of analytical techniques used to gain unique insights and extract as much knowledge as possible from medium and big-sized “row by column” datasets. Some of the MDA techniques include Discriminant Analysis, Factor Analysis, Multiple Regression Analysis, MANOVA, and Cluster Analysis. I use a seven step process when analyzing a row-by-column dataset using MDA techniques: (1) Discuss Zero Data (Mission, Vision, Values, Strategic Objectives, etc.), (2) Characterize the Dataset (using a Shichi Box), (3) Select the MDA Technique (e.g., Factor Analysis), (4) Apply the Technique, (5) Capture the Insights (decide to apply another MDA technique or not), (6) Summarize the Findings (when done), and (7) Communicate the Findings. You can contact me if you would like a list of MDA reference books.

Interesting Stories
Superior service can stand out in the crowd. I had a client meeting the other day in the area of Target Field which is the home of the Minnesota Twins Major League Baseball Club. There is a Twins store connected to the stadium and I wanted to buy a Twins media guide, but the store doors to the outside were locked – you had to enter the stadium to visit the store. A woman working for the Twins was standing outside the stadium and she noticed my situation. She asked me if I worked for the media or for the Twins. I told her that I’m a baseball fan and that I just wanted to buy a media guide, but that I couldn’t enter the Twins store. She said “follow me” and she speedily took me through the ticket gates to a vendor stand where I bought the media guide. She then led me out of the stadium. I regret that I didn’t get her name because I would have written a letter to the Twins Front Office detailing her act of kindness. It was first class, superior service in my book.

Company News
A one day Customer Analysis workshop will be held April 12 at the Oak Ridge Hotel & Conference Center in Chaska, MN and a two day Introduction to Multivariate Data Analysis course will be held May 8-9 at the Crowne Plaza in Plymouth, MN. A one day public Continuous Improvement for Leaders course will be held June 6 at the Crowne Plaza in Plymouth, MN. The next public Continuous Improvement Green Belt course starts July 17. All brochures will be available on the PUBLIC SEMINARS page of this website by April 18.

Intriguing Reads
I typically use Minitab (software package) to conduct a Multivariate Data Analysis (MDA), but an alternative is R. R is a free software package that can be used to apply MDA techniques (http://cran.r-project.org/). There is a great book on MDA using R titled, “Using R With Multivariate Statistics” by Randall E. Schumacker. This book features some of the common MDA techniques; some of the relevant history of the MDA techniques; and how to use R to apply the MDA techniques. If you don’t want to spend a lot of money on a statistical software package to apply MDA techniques, then you might consider using R.

Newsletter – March, 2017

On My Mind
It has become common to conduct both formal Lean and Six Sigma activities in organizations, but sometimes they are led by different people and not integrated. How can you start to integrate Lean and Six Sigma activities to create a Lean Six Sigma improvement system? Here are three things that can be done to start to integrate Lean and Six Sigma activities: (1) combine the project portfolios to create a single Lean Six Sigma project portfolio; (2) conduct joint base-level training on the common concepts, tools, and techniques such as measuring baseline performance, mapping processes and work flows, and conducting a root cause analysis; and (3) use the same improvement method for both Lean and Six Sigma activities such as the QC Story, the PDCA/PDSA cycle, or DMAIC. You won’t have a fully-integrated Lean Six Sigma improvement system by doing these three things, but you should be off to a great start.

Interesting Stories
You might not know how useful something is until it isn’t there anymore! The clock on our kitchen wall started to “act up” and so we took it off the wall. I now catch myself looking at where the clock used to be hanging at least 20 times a day and each time I resolve to STOP looking. However, the behavior is so ingrained in me at a subconscious level that I keeping looking – again and again. It makes me wonder what useful things are typically taken for granted in organizations that would be dearly missed if they disappeared. We probably wouldn’t know until they were gone. I’m now trying to be more aware of these taken for granted things in my life and business.

Company News
I made a presentation to the DECA classes at Chanhassen High School and Chaska High School on “Thoughts on International Business.” The students were very attentive and asked great questions. It brought back memories of when I took DECA as a senior in high school. The next public Continuous Improvement Green Belt course starts March 14. A one day Customer Analysis workshop will be held April 12 at the Oak Ridge Hotel & Conference Center in Chaska, MN and a two day Introduction to Multivariate Data Analysis course will be held May 8-9 at the Crowne Plaza in Plymouth, MN. The brochures are available on the PUBLIC SEMINARS page of this website.

Intriguing Reads
Multivariate Data Analysis consists of a set of analytical techniques used to gain unique insights and extract as much knowledge as possible from medium and big-sized “row by column” datasets. These techniques are useful for improving organizational performance and helping an organization gain an analytics advantage and/or develop a new organizational competence. One of the better classroom texts on the subjective is Multivariate Data Analysis (7th Ed.) by Hair, Black, Babin, & Anderson. I especially liked the detailed “how to” process maps and the practical nature of the book.

Newsletter – February, 2017

On My Mind
You might be receiving a compliment if someone refers to you as The GOAT! I only recently heard that expression for the first time in reference to the New England Patriots – the winners of the 51st Super Bowl. GOAT stands for Greatest of All Time and a strong argument can be made that the New England Patriot organization is the Greatest Pro Football Franchise of All Time with five Super Bowl victories. I’ve grown to like the use of Mount Rushmore to identify the four best of something. For example, my Mount Rushmore of professional baseball players would probably include Hank Aaron, Ted Williams, Nolan Ryan, and Ichiro Suzuki. I don’t think we necessarily need to strive to be The GOAT, but we can all strive to be better. Who knows, maybe someday you will appear on a Mount Rushmore.

Interesting Stories
How long is a British yard? Back in the day you could travel to a district of London called Greenwich and see for yourself. A sign located near the Public Standards of Length in the picture states: “These British Imperial Standards were first mounted outside the Observatory main gates some time before 1866, to enable the public to check measures of length. The stated length is the distance between the inner faces of the two D-shaped studs.” Nearby you can also stand on the Prime Meridian which is the official “standard dividing line” between “East” and “West” in terms of longitude. You can learn more about standards and standardization by reading the paper “Applying the Four Student Model to the SDCA Cycle.” The paper is available for free on the RESEARCH page of the www.strategicimprovementsystems.com website.

Company News
The next public Continuous Improvement Green Belt course starts March 14. A one day Customer Analysis workshop will be held April 12 and a two day Applied Multivariate Data Analysis course will be held May 8-9. You can contact me at charles@sisliedtke.com for details.

Intriguing Reads
The book “Lean Lexicon: A Graphical Glossary for Lean Thinkers” by the Lean Enterprise Institute is still my favorite introductory book on Lean. The book contains clear descriptions, diagrams, and illustrations of the major Lean concepts, tools, and techniques. It is a great resource for anyone starting to learn about Lean and for those who want a thorough refresher.

Newsletter – January, 2017

On My Mind
There is nothing like a trip to another country to stimulate the mind and to gain an appreciation for a different culture. I was reminded again of the value of travel during my recent trip with my family to the U.K., France, Germany, and Italy. In addition to spending quality time with my family, here are a few highlights: (1) having my picture taken with MI6 in the background in London, (2) talking chess with one of the bouquinistes (booksellers) along the Seine River in Paris, (3) imagining some of my ancestral roots during a visit to the Hofbrauhaus in Munich, and (4) enjoying the Gallery of Maps room in The Vatican Museums in Rome. The trip led me to add some additional 2017 resolutions such as learn another language, study more history, spend more time in art museums, spend more time studying other cultures, and take more family vacations outside the U.S. I truly believe the benefits of international travel far outweigh the costs.

Interesting Stories
I recently had only 50 minutes between flights while connecting through Amsterdam’s Schiphol Airport and I knew there would be multiple security checks to go through because of a previous trip through the Schiphol Airport two months ago. Needless to say, I wasn’t optimistic about my chances of making my connecting flight. A KLM Flight Attendant came to my rescue without my even asking for help. She talked to me several times during the flight—without prompting—about our arrival gate, my new departure gate, the checkpoints I could expect, and some tips for locating and accessing “Express Lanes” at the checkpoints. She was simply fantastic and out of the ordinary. It got me thinking about why I was surprised. Shouldn’t this be a routine service Flight Attendants provide? Has airline service deteriorated so much that “basic good service” now stands out like a sore thumb? I fly again soon and so now my expectations are higher because of Flight Attendant X from KLM.

Company News
The next public courses offered by Strategic Improvement Systems, LLC include a ten day Strategic Improvement Black Belt course starting January 17 and an eight day Continuous Improvement Green Belt course starting March 14. In the works are a new one day Basic Analytics course (using Excel) and a new two day Multivariate Analysis course (using Minitab). The dates and brochures for those two new courses will be available the end of January.

Intriguing Reads
Every year for the past few years I have re-read the slim book Understanding Digital Technology by F. A. Wilson. Wilson explains in a relatively non-technical way the basic “blocking and tackling” of digital technology. Although it was first published in 1995, the book is still relevant because the foundational technologies have not changed. I especially liked the chapters on Digital Arithmetic and Electronic Logic. If you want to quickly learn some of the basic technical aspects of digital technology, then give this book a try.

Newsletter – December, 2016

On My Mind
I visited two UNESCO World Heritage sites during my recent trip to Bhopal, India: the Great Stupa (dome-shaped Buddhist shrine) at Sanchi and the Bhimbetka Rock Shelter. The rock sculptures and inscriptions imbedded in the Great Stupa and the pre-historic cave paintings in the rock shelters made me think about messages that endure. I imagine the people who created those “messages” possessed deeply held beliefs which they wanted to endure for a very long time. It seems the opposite of the feelings I have today related to “things that are trending” on the internet and social media platforms where messages are meant to disappear. I’m now thinking about what messages related to Strategic Improvement I would “inscribe in rock” or “paint on a cave wall” meant to last forever. One of my goals in 2017 is to create more enduring messages instead of messages that are likely to rapidly disappear in all the noise of the now.

Interesting Stories
Magnus Carlsen (age 26) successfully defended his World Chess Champion title recently in New York against Sergey Karjakin (also 26). It took extra (“tie breaker”) games for Carlsen to successfully defend his title – Karjakin proved to be a formidable opponent. Carlsen let his emotions get the best of him after he was defeated in Game 8 leading to him storming out of the post-game press conference. However, he bounced back with a draw in Game 9, a dramatic victory in Game 10, and draws in Games 11-12 to force the “tie breaker” games where he won three games to one. It will be interesting to see whether Carlsen learns to control his emotions as he matures past his youthful age of 26. He will next defend his title in 2018.

Company News
My group visited three outstanding organizations in India: a TAFE Eicher Tractor Plant near Bhopal; the Mahindra Finance Office in Bhopal; and the medical clinic in Bhopal who treats those affected by the 1984 chemical disaster. Each of those visits will be remembered for the wonderful hospitality we were shown and the excellent ways in which those organizations are managed and improved. I also presented on Quality, Analytics, and Big Data at the Global Quality Futures Workshop Conference.

Intriguing Reads
There are several good options available for a “foundation” book on business analytics. If you want a basic textbook, then I recommend the book by Albright and Winston titled, Business Analytics: Data Analysis and Decision Making (5th ed.). The book is based on Microsoft Excel and contains the best of what used to be called business statistics with excellent enhancements to reflect the current rapidly evolving topic of big data analytics.

Newsletter – November, 2016

On My Mind
The analytics movement is here to stay and seems to be gaining momentum. I’ll define analytics as the collection and analysis of qualitative and quantitative data for decision making. Simply having analytics capabilities will not be a differentiator in some industries because so many organizations are getting into analytics. What will matter most is how efficient and effective your analytics system performs. For example, I hazard to guess that every Major League Baseball team has developed analytics capabilities and yet every year there are some teams who make questionable decisions and perform poorly. How should an organization structure for analytics? There is no “right” answer to this question. I suggest a diverse cross-organizational Analytics Team (A Team) at the start of an analytics journey. This team would have representatives from the major organizational units in the organization. The Top Management Team of an organization might consider creating an Office of Strategic Improvement in the longer term which could be responsible for Strategy, Quality, Analytics, Improvement, and Innovation. In this way analytics would stand a better chance of being integrated with things that matter instead of being potentially isolated in one of the organizational units. You can learn more about analytics and structuring for analytics by reading the research report on Quality, Analytics, and Big Data which is located on the RESARCH page of this website.

Interesting Stories
Chess is recognized as one of the best games to develop your analytical skills. Magnus Carlsen of Norway defends his World Chess Champion title in New York from November 11-30 against Sergey Karjakin of Russia (born in Ukraine). Carlsen is favored to successfully defend his title, but Karjakin should prove to be a formidable challenger.

Company News
The two final 2016 Strategic Improvement Systems, LLC public events have been scheduled. The Continuous Improvement Deployment Planning Workshop will be held November 30, 2016 at the Crowne Plaza in Plymouth, MN. The workshop on How to Lead a Successful Kaizen Event will be held December 6, 2016 also at the Crowne Plaza in Plymouth, MN. You can e-mail me at charles@sisliedtke.com to register or if you have questions.

Intriguing Reads
Hoshin Kanri (Policy Deployment) is recognized as a global best practice for developing, deploying, and achieving strategic objectives. I recently came across a useful “how to” book by Darrell Casey titled, “X Matrix: Strategy Deployment and Execution Process for Breakthrough Business Performance.” This book is a good practical guide for those just starting to implement Hoshin Kanri. You can learn more about the state of the art of Hoshin Kanri by reading the research report “The Application of Policy Deployment in Indian Companies” which is located on the RESEARCH page of this website.

Newsletter – October, 2016

On My Mind
A new improvement or innovation idea from an employee is a precious thing, but sometimes it “doesn’t fit” with the organization’s strategy or culture. There is a new idea dissonance in this situation. If you want more ideas from employees, then don’t summarily dismiss and discard these kinds of ideas. A better approach is to either (1) Place the idea in a Parking Lot (database) that is periodically reviewed or (2) Launch a Discovery Team to further explore the idea. Sometimes a “misfit idea” is necessary for a radical breakthrough in performance or an organization’s survival and so you must be careful not to encourage only “in the box” thinking. In other words, don’t be afraid of new idea dissonance.

Interesting Stories
The Eighth Annual Advanced Strategic Improvement Practices Conference was held October 6, 2016 at the Minnesota Landscape Arboretum in Chaska, MN. There were twelve presentations each related to one of four themes: Strategy, Analytics, Innovation, and Lean Six Sigma. Here was the line-up of presenters: Linda Nelson and Rebecca Budimlija from the MN Department of Human Services presented on CI Portfolio Planning; Jeff Swanson of the MN Department of Human Services presented on Rapid Response Deliverable; Dr. William C. Rupp formerly of the Mayo Clinic presented on Leading Strategic Improvement; Scott Martens from the Carlson School of Management presented on Innovation Roadmaps; Kelly Buckentine from The Opus Group presented on The Culture of Innovation at The Opus Group; Michael Venker from the Executive Solutions Center presented on Hardwiring Business Process Management in the Organization; Karen Kingsland from the Manitoba Liquor & Lotteries presented on Lean Innovation at the Manitoba Liquor & Lotteries; Dale Godbout from Hormel Foods presented on Lean at Hormel Foods; David Badger from Loram Maintenance of Way presented on The Lean Six Sigma Journey at Loram; Sheila Reger from the University of Minnesota Office of Human Resources presented on Kaizen Blitzing in HR; Charles A. Liedtke, Ph.D. from Strategic Improvement Systems, LLC presented on Quality, Analytics, and Big Data; and Eric Gamble from IBM presented on The Cognitive Era & Analytics.

Company News
The two final 2016 Strategic Improvement Systems, LLC public events have been scheduled. The Continuous Improvement Deployment Planning workshop will be held November 30, 2016 at the Crowne Plaza in Plymouth, MN. The workshop on How to Lead a Successful Kaizen Event will be held December 6, 2016 also at the Crowne Plaza in Plymouth, MN. You can email Charles at charles@sisliedtke.com to register or if you have any questions.

Intriguing Reads
It has been eight months since my research report on Quality, Analytics, & Big Data was published and the response has been almost overwhelming and gratifying. The analytics movement is here to stay and sometimes beautiful things happen when you integrate as was the case when I integrated Quality, Analytics, and Big Data. If you haven’t read the report yet, then please give it a try. It is available for free on the RESEARCH page of this website.

Newsletter – September, 2016

On My Mind
One mechanism for integrating Analytics and Strategy activities is to conduct an Analytics JAM Session early in the strategic planning process. This can be an effective action-packed, fun-filled event where insights are created and breakthrough ideation occurs. Here are some keys to success: (1) Invite an extremely diverse group of up to 30 people (use the max-mix strategy); (2) Have everyone thoroughly prepare for the event; (3) Have everyone bring data; (4) Have a wide variety of multi-media capabilities to accommodate all the different types of data such as standard databases, videos, blogs, pictures, and audio; (5) Have several dynamic facilitators; (6) Allow as many as 50 five-minute presentations; (7) Thoroughly document the discussions; and (8) Save at least one hour at the end of the day for a summary discussion. The insights and ideas from the session are then used throughout the strategic planning process. You can learn more about Analytics and Strategy at the Advanced Strategic Improvement Practices Conference on October 6, 2016. The brochure is available on the ANNUAL CONFERENCE page of this website.

Interesting Stories
What should you do if you break your baseball bat during a baseball game because you are frustrated with your performance? If you are Ichiro Suzuki, then you write a letter of apology to the person who made the bat by hand. Such is the respect Ichiro has for the game and his bats. This actually happened in 1999 when Ichiro was playing professional baseball in Japan. He recently became only the fourth non-U.S. born Major League Baseball player to accumulate 3,000 career hits. Ichiro had an outstanding career in Japan before coming to the U.S. to play. He is known for his hard work ethic, intense focus, discipline, consistency, and reverence for the game. He will surely be voted into the Major League Baseball Hall of Fame as soon as he is eligible. If you want to see someone who has mastered their craft, then catch a Florida Marlins game before the end of the season.

Company News
The Eighth Annual Advanced Strategic Improvement Practices Conference will be held October 6, 2016 at the beautiful Minnesota Landscape Arboretum in Chaska, MN. The purpose of the conference is to assemble experts from various types of organizations in a beautiful setting to learn with each other how to improve organizations from a strategic perspective. There will be twelve presentations each related to one of four themes: Strategy, Analytics, Innovation, and Lean Six Sigma. The brochure is available on this website. There will be two public seminars offered yet this year: Multivariate Analysis for Understanding the Voice of the Customer and How to Lead a Successful Kaizen Event. Brochures will be available late September.

Intriguing Reads
Chess is considered one of the best games for developing a person’s strategic thinking capabilities. The 42nd World Chess Olympiad is in progress in Baku, Azerbaijan. Teams from 175 countries are competing for the Gold Medal. The winner will be determined at the end of an eleven round Swiss System tournament. India is currently in the lead with the United States in second. They battle head-to-head in Round 7. One of the more interesting matches occurred early in the tournament where Ukraine defeated Russia. You can follow the tournament online by searching for “Baku Chess Olympiad.”

Newsletter – August, 2016

On My Mind
Analytics and big data techniques can help an organization identify and eliminate waste. For example, using sensors to monitor equipment efficiency; developing algorithms to predict equipment failures; and developing models to optimize processes, work flows, and networks. Alternatively, Lean techniques can help reduce waste associated with analytics and big data initiatives. Here are just a few examples of waste associated with information (data): collecting unnecessary information; entering information incorrectly; entering information into multiple systems; sending unnecessary messages; sending reports to people who don’t need them; making coding errors; writing inefficient code; storing information in hard-to-find locations; storing information in multiple systems; and waiting for the information system to respond due to system clutter. Lean projects can be launched to identify and eliminate information-related waste. Tools such as the value stream map and spaghetti diagram can be used to understand the current situation with respect to information flows. An organization can also apply inventory control practices to bits and bytes where it made sense. You can learn more about this topic by reading the research report on Quality, Analytics, and Big Data which is available on the RESEARCH page of this website. Best wishes using Lean to make your analytics and big data initiatives more efficient and effective.

Interesting Stories
“Don’t blink or you’ll miss him!” Usain Bolt—from Jamaica—will soon be competing in the 100 and 200 meter dashes in the Olympics held in Brazil. He is the current world record holder in both events and could become the first person to win both events at three consecutive Olympics. If you are interested in watching one of the greatest athletes in the world, then watch Ashton Eaton of the U.S.A. compete in the decathlon (ten track and field events) at the Olympics. He is the current world record holder and could very well break his own record.

Company News
The Eighth Annual Advanced Strategic Improvement Practices Conference will be held October 6, 2016 at the beautiful Minnesota Landscape Arboretum in Chaska, MN. The purpose of the conference is to assemble experts from various types of organizations in a beautiful setting to learn with each other how to improve organizations from a strategic perspective. There will be twelve presentations each related to one of four themes: Strategy, Analytics, Innovation, and Lean Six Sigma. The brochure is available on this website.

Intriguing Reads
Who are some of the leading companies applying big data analytics and what have been the results? A new book by Bernard Marr titled, “Big Data in Practice: How 45 Successful Companies Used Big Data Analytics to Deliver Extraordinary Results” helps answer this question. The author uses a common format to compare the big data analytics journeys of such companies as Google, Palantir, Walmart, IBM, Airbnb, Apple, and many others. This book provides a timely glimpse into the approaches, techniques, challenges, and results of those companies who are on the leading-edge of big data analytics.

Newsletter – July, 2016

On My Mind
A Kaizen Blitz is typically a small-scoped project activity for incrementally improving a value stream, process, or work area. What if you need breakthrough improvement—an innovation—instead of incremental improvement? Then you should consider conducting a Kaikaku Blitz. The word Kaikaku is associated with making fundamental and radical changes. Here are some keys to success when conducting a Kaikaku Blitz: (1) Start with a clearly articulated innovation challenge, (2) Be guided by an experienced innovation leader, (3) Have people with diverse perspectives on the team, (4) Select a room with plenty of wall space, (5) Prepare thoroughly, (6) Try multiple creativity techniques (e.g., the DFSS toolbox), (7) Conduct several rapid tests of change (e.g., 3D printing, simulations, mock-ups, ad hoc focus groups, etc.), and (8) Use analytics before, during, and after the event. Best wishes innovating with your Kaikaku Blitz.

Interesting Stories
No credit history? No problem—if you are a customer of InVenture. According to the Delta Sky magazine, the company InVenture, which has made more than 250,000 loans in Africa and Southeast Asia, has developed leading-edge loan disbursement capabilities according to its CEO Shivani Siroya: “We’ve developed an Android app that allows us, within a short period, to be able to understand someone’s identity and verify that identity. From the [mobile] device, we pull in about 10,000 different data points on the individual in about 20 seconds. We score them and then we disburse loans directly to them, anywhere from $10 all the way up to $1,000, right into their digital wallets. The entire process takes us under one minute.” We will continue to hear stories like this as companies push the envelope on information technology and analytics.

Company News
The Eighth Annual Advanced Strategic Improvement Practices Conference will be held October 6, 2016 at the beautiful Minnesota Landscape Arboretum in Chanhassen, MN. There will be twelve presentations within four themes: Strategy, Analytics, Innovation, and Lean Six Sigma. The full brochure will be available on this website around mid-July.

Intriguing Reads
Does it ever feel like your business communications are getting lost in all the noise? How can we be more effective at getting our messages across? The 2015 book titled, “Marketing Above the Noise: Achieve Strategic Advantage with Marketing That Matters” by Linda Popky can help us improve our communications. The author’s Dynamic Market Leverage Model provides a useful framework for structuring marketing activities. The model has eight components: Strategy, Products, Customers, Brand, Communication, Operations, Sales Channels, and Market Analysis. If you want to be more effective at marketing above the noise, then give this book a try.