{"id":11062,"date":"2018-01-10T11:00:09","date_gmt":"2018-01-10T19:00:09","guid":{"rendered":"http:\/\/www.palada.net\/index.php\/2018\/01\/10\/news-4833\/"},"modified":"2018-01-10T11:00:09","modified_gmt":"2018-01-10T19:00:09","slug":"news-4833","status":"publish","type":"post","link":"http:\/\/www.palada.net\/index.php\/2018\/01\/10\/news-4833\/","title":{"rendered":"Digital Transformation or Operations Transformation?"},"content":{"rendered":"

Credit to Author: Greg Johnson| Date: Tue, 09 Jan 2018 20:35:42 +0000<\/strong><\/p>\n

In 2008 I was the product marketing manager for a mining-industry MES package called Ampla<\/a> (still going strong today). In those days, we would focus on the relationship between people, technology and management systems as the \u201cmagic\u201d that would lead to production improvement.<\/p>\n

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I also use to particularly like the work of Ralph Rio from the industry analysts ARC, his\u00a0\u201cIntersection of Lean and MES Best Practices\u201d <\/a>is still online. Ralph pointed out that a key issue with lean manufacturing implementations was \u201cbacksliding\u201d.\u00a0 This is illustrated by his chart below…<\/p>\n

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The basic idea is that while you can do a lot with just the 2 \u201cingredients\u201d of people and management systems (blue line), technology provides the mechanism that continues to drive improvement over time (green line). \u00a0With no technology to lock in the gains, improvements will inevitably deteriorate over time (red line). Everyone in the production game has seen this I\u2019m sure.<\/p>\n

I was reminded of Ralph\u2019s elegant chart when discussing digital transformation with several different customers in the last few weeks. \u00a0The \u201ctechnology\u201d piece is here today and available off the shelf, in the cloud, and as a service. We can start using it right now in alignment with the right people and management strategies.<\/p>\n

Both BCG<\/a> and McKinsey<\/a> have recently written excellent articles on the alignment of technology with management systems and people:<\/p>\n