Does Innovation = Complexity???

With the advent of complex business systems, 3 D CAD modeling, virtual prototyping, the emergence of big data and all of the things we can measure and keep track of, is there a point where innovation leads us off the path of simplicity and efficiency?

I was in a presentation where I heard a story about a large passenger aircraft manufacturer whose release of their latest model was heralded as the best aircraft ever made ……when it was in the air. Problem as I understand it was that the manufacturer was monitoring performance of all kinds of sub systems in ways that they have never been measured before and errors and fault codes in these systems kept the aircraft on the ground when the data was outside of the parameters that were set. 

Where some of these faults that kept planes from flying due to the attempt to collect massive amount of data on the planes function? Could the plane have flown safely with the some of the data being out of parameter? I don’t know, but it does bring up an interesting question about data collection.

When I think of some businesses, they time track processes to the nearest second but in some cases they never use the data except when finance has to calculate cost of sales. What does it cost in time and overhead to track and report on this data? Just because there is whiz bang technology available out there to collect it; will this information transform the business in a way that there is a nice multiple of ROI on the costs of collection or will it add to the noise?

Step back for a second. At what point does the data from all of the systems that we use within our businesses from spreadsheets to MRP and ERP systems over run us with data. You really have to ask three questions:

    1) are we really measuring what matters, 

    2) are we really using what we measure, 

    3) is this information helpful in measuring improvement in our business in the short and long term?

“Run Simple”

An interesting phrase I heard a very large US corporation use as their mantra is “Run Simple”. On the surface this sounds really easy, but when you sit back and really think this through the road to run simple is quite complex. You really have to get back to the question why do we do what we do, what basic metrics are needed to determine success and efficiency at a higher level, measure them, and use the data to effect and measure change. In a sense replace the noise with a simple dashboard that gives enough data but doesn’t cost operational efficiency to collect.

I really think the idea of run simple can have an amazing impact on business. Adopting technology to assist us in “running simple” is a whole different cost justification than engaging technology to measure things just because they can be measured.

This article was written and presented by Ron Vanderwees, VP Recovery Services, Western Region, Business Improvement Group

210-1600 Kenaston Blvd Ste 347, Winnipeg, MB  R3P 0Y4

680 Centennial St, Winkler, MB  R6W 1J4

Fairmont Place Building, 5799-3 Street S.E, Calgary, AB  T2H 1K1

D: 204.362.1678 | T: 1.877.541.5551 X6017 |F:  1.866.624.1115

Head Office: 4-130 Research Lane, Guelph, ON, N1G 5G3