Sunday, July 08, 2018

Theory of Constraints game

Eliyahu Goldratt first proposed Theory of Constraints as an effective LEAN production management philosophy. 

At Alliance University Bangalore in the Operations stream we play the TOC game that tells us how the constraint which limits the output from the system changes with each cycle, how the constraint workstation may become the unconstrained workstation in the following cycle and do on ..


Thursday, July 05, 2018

The six day Arab Israel war ..

The six day Arab Israel war is considered to be one of the greatest defeats suffered by any country in modern day history. 
Defeated and humiliated .. Abdel Nassar of Egypt

Taking one through those historical events, of the four great enemy countries of the small state of Israel, Egypt, Syria, Jordan and Iraq, by now two have been totally decimated, Syria has even been totally wiped out !! 

Good that Arabia misappropriated and ruled by the Saud family did not take part in the famous 1967 six day war against Israel, else they too would have been part of the rich history of that region ... 

20,000 casualties were inflicted on the enemy by Israel compared to 1000 Israeli casualties. A total of 68,000  sq km of land was captured from the enemies, Sinai Peninsula (60,000 and Gaza Strip (365 from Egypt, Golan heights, (1,800 from Syria and West Bank from Jordan, (5,640 In contrast, Israel as a whole is just 20,770 in area.  

It was the greening of the desert area by Israel that initially raised Arab envy. Israel is scantily populated with a population of just 9 million. For comparison, Israel is 5x state of Kerala in area with just a quarter of Kerala's population of 3.5 crores.

This six-day Arab Israel war saw the defeat of Arab nationalism and resignation of Abdel Nasser, President of Egypt. Arabs have ever since remained totally subjugated to Israel and scary of Israeli advances. Under UN intervention, the occupied Sinai peninsula of 60.000 was returned to Egypt, but the Gaza Strip, Golan heights and the West Bank, totally 7800 area, have been retained by Israel. 

This continues to be the bone of contention between Israel and Arabs to this day !!

Click here for the video of the war reporting ..

George ..

Friday, June 29, 2018

Reliance Jio - bigger Tsunami coming ??

Jio, what are they upto ?

Reliance Jio - A Tsunami or Disruptive Innovation ?
This morning we had a good discussion in the BBA class and also in the MBA class on the Jio case, whether it was a Tsunami or a disruptive Innovation ? The introduction was looked with much trepidation and fear by telecom MNCs operating in the country. In fact some of the lesser known incompetent global players got wiped out in the tsunami like Telenor, Sprint etc. Vodafone just managed to retain its businesses after being taken over by an Indian giant Birla group.

India is the only country in the world which as of now offers free voice calling on any telecom network within the country.
Let us look at how India has reached this very envious stage in global telecom expertise and management.

Prior to 2017 Sept, the mobile telecom  bill + data bill for my four member family used to be around INR 1600/- to INR 2000/-. (Excluding landline). After the arrival of Jio it is about INR 700/- (unlimited calling with approx. 9 GB data daily ..).
This is the situation in almost all of the middle class families in India who account for almost 25% of the Indian population. Is this disruption set to penetrate to the other sections of the Indian population ?

Is this disruptive innovation, customer-centric business or killing Indian telecom sector ?

With loss of 75,000 jobs, loss to telecom sector of almost $700 billion, loans of telecom companies of about $114 billion to be serviced, Jio's impact on Indian economy has been phenomenal !! Jio redefined the concept of telephone communication making it totally FREE, charging only for DATA, forcing other players to fall in line ! All incumbents in the telecom field suffered heavy losses and 7 out of 11 got wiped out ..
Technology not only disrupts. It causes massive destruction and devastation !! 4G technology where even voice and data are sent as packets through huge pipes of Internet bandwidth has changed the whole field of telecommunications.
Moreover Jio has the world's largest ever investment in telecom sector of $ 33 billion in the Indian market setting up fibre optic cabling across the country. Is it indicative of the confidence of Reliance in the telecom and data sector in the modern world ? Jio also got other major private Indian telecom players who were exploiting the customer to fall in line.
India has mobile telecom penetration of 70% and Internet penetration of 35%. There is a huge market yet to be tapped. Jio has an Average Revenue Per User (ARPU) of about INR 155 while all other operators are in the red at about INR 115 or so.

As of March 2018, there were 1035 million mobile phone subscribers in India. Airtel  tops with 305m subscribers, Vodafone is second with 223m, Ideal Cellular comes third with 211m, followed by Reliance Jio 187m and BSNL at 100m.

George ..

Reference -
1. COAI website,
2. ET May '18.

Monday, June 25, 2018

Fourth Industrial Revolution ..

We are all used to the term Industrial Revolution that triggered the concept of growth of technology and development of mankind.

First Industrial revolution is the development of the steam engine

Second Industrial revolution is the invention of electricity 

Third industrial revolution is the development of the digital age, that of computers and communication technologies including the Internet

The fourth Industrial revolution is going to the age of Big Data, Artificial Intelligence, Internet of Things, 3D printing, precision medicine and other technologies that are going to change the way we humans interact with each other and work. 

Click on this link for the Forbes article which says Japan could be the global leader leading the world in the 4 th IR.

Lets be prepared and see what changes happen to the planet earth and its inhabitants in the coming days and months.


Wednesday, June 20, 2018

Learning to live if you are 50+

*Dr Aloysius LOH:*
*An interesting article.*

Life can begin at 60, it is all in your hands! Many people feel unhappy, health-wise and security-wise, after 60 years of age, owing to the diminishing importance given to them and their opinions. But, it need not be so, if only we understand the basic principles of life and follow them scrupulously. Here are ten mantras to age gracefully and make life after retirement pleasant.

*1. Never say I am aged' :*
There are three ages, chronological, biological, and psychological. The first is calculated based on our date of birth; the second is determined by the health conditions; the third is how old we feel we are. While we don't have control over the first, we can take care of our health with good diet, exercise and a cheerful attitude. A positive attitude and optimistic thinking can reverse the third age.

*2. Health is wealth:*
If you really love your kith and kin, taking care of your health should be your priority. Thus, you will not be a burden to them. Have an annual health check-up and take the prescribed medicines regularly. Do take health insurance coverage.

*3. Money is important:*
Money is essential for meeting the basic necessities of life, keeping good health and earning family respect and security. Don't spend beyond your means even for your children. You have lived for them all through and it is time you enjoyed a harmonious life with your spouse. If your children are grateful and they take care of you, you are blessed. But, never take it for granted.

*4. Relaxation and recreation:*
The most relaxing and recreating forces are a healthy religious attitude, good sleep, music and laughter. Have faith in God, learn to sleep well, love good music and see the funny side of life.

*5. Time is precious:*
It is almost like holding a horses' reins. When they are in your hands, you can control them. Imagine that everyday you are born again. Yesterday is a cancelled cheque. Tomorrow is a promissory note. Today is ready cash - use it profitably. Live this moment; live it fully, now, in the present time.

*6. Change is the only permanent thing:* We should accept change - it is inevitable. The only way to make sense out of change is to join in the dance. Change has brought about many pleasant things. We should be happy that our children are blessed.

*7. Enlightened selfishness:*
All of us are basically selfish. Whatever we do, we expect something in return. We should definitely be grateful to those who stood by us. But, our focus should be on the internal satisfaction and the happiness we derive by doing good for others, without expecting anything in return. Perform a random act of kindness daily.

*8. Forget and forgive:*
Don't be bothered too much about others' mistakes. We are not spiritual enough to show our other cheek when we are slapped in one. But for the sake of our own health and happiness, let us forgive and forget them. Otherwise, we will be only increasing our blood pressure.

*9. Everything has a purpose:*
Take life as it comes. Accept yourself as you are and also accept others for what they are. Everybody is unique and is right in his own way.

*10. Overcome the fear of death:*
We all know that one day we have to leave this world. Still we are afraid of death. We think that our spouse and children will be unable to withstand our loss. But the truth is no one is going to die for you; they may be depressed for some time. Time heals everything and they will go on

Sent from my iPhone

Tuesday, June 19, 2018

Kerala- the hub of green activities ??

Innovative, progressive and pioneering *Green / sustainability initiatives* from Kerala which are going to be models worth emulating for other states in India, if not for the whole world -

1. Kochi International Airport - World's first and only International Airport (India's third largest) running 100% on solar energy on a 27 MW solar power plant operating from Kerala, India

2. World's first and only Carbon-neutral village (all carbon-intense human activities are offset by suitable carbon reducing and low carbon footprint activities) is coming up at Meenangaadi village in Wayanad Kerala by 2020 with the active participation of the villagers and full support of the state government of Kerala

3. For the first time in the world, The newly introduced Kochi Metro Mass Rapid Transit System is turning to be truly green with 25% powered by solar energy having it's own Rainwater harvesting plant

4. To top it all and simultaneously working to reach the Prime Minister's goal of 100 GW solar energy generation by 2025 AD, floating solar panels and solar energy powered boats are also under experimentation.

5. And now India's first electric powered buses are being tested in the three major cities of Thiruvananthapuram, Kochi and Kozhikode with a noble intention of reducing the Carbon footprint of public transportation systems in the country, reducing CO2 emissions.

With the active support of the people and a caring political and administrative setup, in spite of it's many shortcomings, green energy initiatives are really progressive and has far-reaching positive consequences for an informed society.


Tuesday, June 05, 2018

Toyota Kirloskar gets ISO 21000 certification in Food Quality !!

Toyota Kirloskar Motors Ltd Bidadi near Bangalore India made great news by end of May 2018 when they announced that they had secured the ISO 21000 2005 certification for Food Quality and Safety Management System.

Naturally everyone would be interested in knowing what motivated Toyota to go for this challenging ISO certification in food processing ?

All of us know about the core competency theory as a harmonised combination of multiple resources and skills that distinguish a firm in the marketplace and becomes a foundation for establishing the company's competitiveness.(click here to know more). The core competency theory was proposed by late Prof C K Prahlad of the Ross School of Business, University of Michigan with Gary Hammel in 1990. For example, General Electric's core competence is in high technology electrical and mechanical parts, that of IBM is in the area of computation.

Core competency theory, Late Prof. C K Prahlad,
pic courtesy Bizztro ..
One of the propounders of the core competency theory, Prof. Coimbatore Krishnarao Prahlad studied Physics at Loyola Chennai ('60), went to IIM Ahmedabad for a Management degree and finished with a DBA from Harvard Business School in 1975. His initial stint of 4 years with Union Carbide in India was responsible for many of his path breaking thoughts in the Management field.

What we observe in Toyota is a deviation from the core competency of Toyota in automobile production. 

1. Toyota's core competence is in world-class automobile manufacturing. Why did they go for certifying their food preparation and safety management system which is a major deviation from their core competence area of automobile manufacturing ?

2.  Maintaining Food Quality and Safety Management system is a major task all by itself. Why did Toyota have to undertake this additional burden on itself when it is very clearly evident it is not going to give them any cost advantage or market advantage ?

As an answer to the above two questions, the only options available before us is to understand what constitutes lean in the first place.

1. Lean is all about improving value to the end customer, reducing wastes and in the end reducing costs to the manufacturer or service provider. Poor quality food reduces employee efficiency and working morale.

2. Lean is also very much concerned with having great concern for their employees, nurturing them, guiding, hand holding and enabling them to reach greater potential. Offering them great quality food is part of the game ..

3. There is great scope of learning for the rest of the world to from the much acclaimed Toyota Production System as to how they can reduce wastes in food processing from the procurement, preparation, processing to consumption stages. 

4. Toyota is very much concerned with continuous improvement or Kaizen, enabling better food processing systems in the future.

5. It will also be an eye opener for the rest of the major food processing companies of the world to learn how to manage food raw material suppliers and the raw materials supply chain. 

6. This is also likely to bring Toyota innovations and concepts like SMED, Poka yoke, Jidoka to the food manufacturing supply chain for the benefit of the global food processing industry.

There is thus great scope for the rest of the world to learn and benefit from the selfless Toyota experience of providing not only the best workplace and work environment for the employees, but also the best food preparation standards and environment as an additional bonus.
Naturally what we Indians are interested in knowing is  - whether ISO 21000 is special only to Toyota Kirloskar plant in Bidadi, Karnataka India or do all Toyota plants across the world have similar food quality certification standards as an extra step to perfection in Lean manufacturing and to show genuine concern for the employees of the organisation ?

Theory of Constraints game

Eliyahu Goldratt first proposed Theory of Constraints as an effective LEAN production management philosophy.  At Alliance University Bangalo...

My popular posts over the last month ..