#8020-rule

#8020-rule

Operational Excellence practices alone don't guarantee success; implementation quality, organizational culture, leadership commitment, and strategic alignment determine competitive outcomes. Banks implementing identical operational improvement methodologies like Lean and Six Sigma achieve vastly different results due to factors beyond the practices themselves. Success depends on how thoroughly organizations embed these approaches into their culture, the quality of implementation execution, leadership commitment to continuous improvement, and alignment with overall business strategy.

In 1966, BCG found that a company's unit production costs would fall by typically 20 to 30 percent in real terms for each doubling of 'experience,' or accumulated production volume.

We're investing a lot in AI - we're doing a lot, but we're stopping at individual productivity. We're not taking the next step. You can't just screw AI on everything - it only makes you faster. It means you need to think about, 'how are our teams collaborating? How are people collaborating?' You probably need to change the way you work.

Markup is how much you add to your cost to get your selling price. If something costs $10 and you sell it for $15 , you added $5. That's a 50 percent markup on your cost. Where people get confused is that markup isn't the same as margin, even though the terms get used interchangeably all the time. Margin measures profit as a percentage of the selling price, and markup measures it based on your costs. Same dollar, different percentages.

At the height of my success as a realtor in Washington, there was a moment when I was being offered incredibly high-valued listings. People were calling me and offering me opportunities that I had worked so hard to get, and in that moment where one might expect me to feel victorious or excited, I felt nothing. I received a call and was offered an amazing listing, in one of the best locations in Washington and my first thought was, no.

Why does everyone feel overwhelmed by information? Why does it feel impossible to trust what passes through our streams? We tend to blame individual publications, specific platforms, or bad actors. The real answer has less to do with any single media entity and more with structural changes in the information ecosystem. I started my "information" life typing copy on an ill-tempered Remington.

The union is great, don't get me wrong, but one side effect of having it is that there are massive, sometimes arbitrary and annoyingly vague, lines around what I can and cannot do in my role. This wouldn't necessarily be a problem, if most of the time the things I'm not allowed to do are required to be done by managers. Managers who are overworked, undertrained, and underpaid, and so don't have the time or brain space to address things I bring to them.

Your AI pilot showed 94% accuracy improvements. The LLM is yielding solid results. You're getting defunded anyway. The reason? You solved a problem AI can solve. Your budget-holder needed you to solve theirs. Companies launch AI pilots that produce results, then stall at scale. The team's diagnosis: "They don't get it." What's really going on: These projects never earned budget-holder buy-in.

They may be spending a lot of combined time at the office and commuting, or just putting in a lot of hours both at work and at home. Fixing that problem can't be done abstractly, though. If you're going to address the balance of work and life activities, you have to start getting specific about where your time is going and where you really want it to go.