All entries for Sunday 01 May 2011

May 01, 2011

Decisions based on experience not “Knowledge”. . . .” Real example". . . .

Decisions based on experience not “Knowledge”. . . .” Real example. . . .

This blog was triggered by a comment that was written by an MBE student who stated that Knowledge come from experience. . . . Experience can bring Knowledge in the boundaries of a system . ...... Senge supports that everyone has “Learning Horizons”. These horizons are determined in place as well as time perspective. . . So how you can based your decision on that? I personally think you do not. . . Knowledge comes from outside the system and only with invitation. . . . . . And decisions require knowledge……. Thus thinking, by being an outside view (outside the system) is fundamental for taking a decision. Let me tell you a real example. . .

I know some people that from nothing build a small factory back in Greece. For thirty or more years they were expanding and they did really good job. Their passion is absolutely remarkable. They are waking up 4:00 in the morning to go to work and come back at the evening. . . . . . . When I went to work there two years ago I saw a lot of problems. I was familiar with Deming before MBE so you can understand what the kind of problems I was seeing. .. . .. J

When I told them that you have to change fundamentally your operations they answered:

“What we are doing has positive outcome so we keep on that, any reduce in the revenue is caused by the problems in Greek economy “We had some back then not as like now”. . . .

MY answer was:

“The Greek economy will become worse and your exports are zero. You have good outcomes because you are selling in a market which has no competitors but when this market will have no money you will find a problem”.

They based on their experience I was a small guy that came from a university and tried to implement some Demingism in their organization. . . . They decided by the illusion of their experience to do what they were doing with more effort. . . . However this led to zero results because they were not guided by theory. . . . . They didn¢t break their “Lerning Horizons” to see something outside the system. .. . Since then most of their decision were fundamentally wrong. And they turned to blame the people that do not work in Greece. . . .

Thus it is always important to guide our practice by theory... Long term thinking requires that. ...  . .

PS: MBE knowledge community will facilitate it. .. . . Vote for it. . .


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