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> In 1981, Ford's sales were falling. Between 1979 and 1982, Ford had incurred $3 billion in losses. Ford's newly appointed Division Quality Manager, John A. Ma
by tieTYT 13y ago
> In 1981, Ford's sales were falling. Between 1979 and 1982, Ford had incurred $3 billion in losses. Ford's newly appointed Division Quality Manager, John A. Manoogian, was charged with recruiting Deming to help jump-start a quality movement at Ford.[19] Deming questioned the company's culture and the way its managers operated. To Ford's surprise, Deming talked not about quality but about management. He told Ford that management actions were responsible for 85% of all problems in developing better cars. In 1986, Ford came out with a profitable line of cars, the Taurus-Sable line. In a letter to Autoweek Magazine, Donald Petersen, then Ford chairman, said, "We are moving toward building a quality culture at Ford and the many changes that have been taking place here have their roots directly in Deming's teachings."[20] By 1986, Ford had become the most profitable American auto company. For the first time since the 1920s, its earnings had exceeded those of arch rival General Motors (GM). Ford had come to lead the American automobile industry in improvements. Ford's following years' earnings confirmed that its success was not a fluke, for its earnings continued to exceed GM and Chrysler's.
source: http://en.wikipedia.org/wiki/W._Edwards_Deming http://en.wikipedia.org/wiki/W._Edwards_Deming
- mathattack 13y agoI'm trying to tie this to the original article. Is the idea that performance reviews are inconsistent to systemic management improvements ala Deming? My understanding is he was against the annual review.
- tieTYT 13y agoI think it's relevant for many reasons. But I was reminded of the information when I noticed that Yahoo seems to be blaming the 15%.
- bmm6o 13y ago... which is why you italicized the 85% bit? But one is a percentage of people, and the other a percentage of problems. If I'm misunderstanding, it would be helpful if you explained further.
- tieTYT 13y agoSorry, it's difficult to take that wikipedia article and make a soundbite out of it. Elsewhere in the source you'll see this: > Placing blame on workforces who are only responsible for 15% of mistakes where the system designed by management is responsible for 85% of the unintended consequences I didn't use that, because it doesn't have any context with it.