Re: Hierarchy Wisdom...Data LO3893

Gordon Housworth (ghidra@mail.msen.com)
Mon, 27 Nov 1995 16:11:47 -0500

Replying to LO3867 --

Hank:

At 16:55 26/11/1995 -0500, you wrote:

>Why is this so shocking? Do they benefit directly from education/training
>taking a long time? Is the training allocated as an asset or an expense? When
>I had no gray hairs, I was taught that what is measured is what is
>controlled. We measure the costs of education, but not its benefits.

Your points are valid. Much of my distress had to be taken in context.
We were nearing the end of an afternoon's discussion of what we felt to be
some very seminal points affecting the entire firm and not just the
executive ranks -- and up to this point we had been propelled along by one
advisor after another who felt that our opinions needed to be heard.

The responses that I noted are characteristic of this organization at many
levels and we were hoping for greater breadth at the executive level.
This OEM is recognized, among other automotive OEMs and suppliers, as
having let its design costs slip out of control, and, in the face of being
unable to resolve the underlying systemic problems, had shifted the burden
of cost reduction to its employees and suppliers. It is a painful thing
to watch and we do what we can. And when we and others do get the
opportunity to create a thoughtful, effective program, there is an almost
instantaneous demand to "Make it take less time (with the presumption of
less cost). The remains are often a mere distortion of the original
intent. I repeat that it is a very difficult thing to watch.

As chance would have it, I had the opportunity to meet their counterpart
at another automotive OEM and the difference was night and day. I was
astonished at the scope and vision of the fellow, and even though he has
an Augean task before him, I believe that he will make more of an impact
on his organization.

I hope that this sufficiently conveys the context for my earlier remarks.

--
Best regards, Gordon Housworth
Intellectual Capital Group
ghidra@mail.msen.com