2439 Insights from Obon: Time Discount Rate and Effortless Efficiency

 

As we enter the Obon holiday week in Japan—a time when we prepare for the festival of souls—it's a season that allows us to pause and reflect. Obon, traditionally celebrated in early August (and sometimes in late July), is when the souls of our ancestors are believed to return to our world. Amidst this reflective season, I found myself contemplating a powerful concept related to time management and efficiency, inspired by the book Move Fast and Fix Things by Frances Frei and Anne Morriss.

In one of the chapters, the authors present an interesting scenario that illustrates the importance of understanding the time discount rate and the concept of working effortlessly. Imagine you’re standing in line at Starbucks. There are three people ahead of you, and it takes the barista two minutes to process each order, including payment. If you calculate the wait time based on the number of people and the processing time per person, you end up with a total of eight minutes. Mathematically, it looks like this:

Total wait time = Number of ongoing tasks (WIP) × Processing time

Most of us instinctively try to reduce the processing time by pushing ourselves or our teams to work faster. However, as the book suggests, a more effective approach might be to reduce the number of ongoing tasks—essentially, to streamline our workload. This approach is often overlooked but can lead to significant improvements in efficiency.

The authors apply what's known as "Little’s Law" to demonstrate this. By reducing half of the ongoing tasks, the organization in the example was able to accelerate progress significantly. The key takeaway here is that instead of working harder, we should focus on working smarter by managing the workload more effectively.

For example, when trying to respond to emails more quickly, instead of just typing faster, it’s more effective to regularly clear out your inbox and reduce the number of pending tasks. This isn’t about working harder; it’s about working more efficiently.

This principle ties closely to the concept of the time discount rate—a measure of how people value time and tasks. I have a staff member who often loses productivity because he doesn’t manage his time effectively. He tends to focus on the wrong tasks, which leads to missed opportunities—a classic example of a reverse approach to the time discount rate. I plan to share this book with him, as hearing this perspective from a respected source might inspire a change in his approach.

During this Obon season, as we honor our ancestors and reflect on our lives, it's a perfect time to consider how we manage our tasks and time. By understanding and applying concepts like the time discount rate and streamlining our workload, we can achieve more with less effort, leading to greater success and satisfaction.

2438 Culture vs. Strategy: Lessons from the Trenches

Peter Drucker, the renowned management thinker, famously stated, "Culture eats strategy for breakfast." For those of us who have worked in traditional, large-scale industrial firms, this statement often rings all too true. But what does it mean for those trying to implement change within such entrenched organizations?

When a company has a long history of success, its culture becomes deeply ingrained. This can make introducing new strategies challenging, especially when these strategies require confronting uncomfortable truths—like inefficiencies related to cost and time. It's easy to feel disheartened when these barriers seem insurmountable, and when leadership appears to overlook the root causes or seek out alternative explanations instead.

In my own career, I’ve encountered these cultural barriers in every company I’ve worked for. The frustration and resulting sense of hopelessness were significant factors in my decisions to change jobs. I understand firsthand how difficult it can be to stay motivated when you feel like you’re up against an unmovable force. But I’ve also learned that these barriers, while formidable, can be overcome.

Through patience, persistence, and a bit of courage, you can navigate these challenges. It’s about fostering an environment where open dialogue is encouraged and where there’s a willingness to adapt, even if the culture has been resistant to change in the past. Cultural shifts are not easy, but they are possible. And they start with recognizing that the very culture that brought past successes doesn’t have to dictate the future.

For those who are feeling discouraged or losing motivation, I want to offer this reminder: you are not alone in facing these challenges. The path forward may be difficult, but it is not impossible. The cultural barriers you’re encountering can be overcome. By staying patient, remaining persistent, and summoning the courage to act, you can help steer your organization toward a future where culture and strategy work together in harmony.

In conclusion, while Drucker’s words remind us of the power of culture, they also offer a beacon of hope. Don’t let the weight of a company’s past successes diminish your motivation. Instead, use it as a foundation to build a future where both culture and strategy can thrive.

2437 The Lifelong Learning Journey: Why Reskilling is Crucial for Business Professionals

 

In 2021, I made the decision to pursue an MBA while concurrently working at Yokogawa. It was a challenging time, balancing work demands with the rigorous study schedule, not to mention the financial investment that came from my own pocket. However, the decision to embark on this journey was fueled by my desire to prepare for a startup business, particularly to enhance my accounting knowledge and to measure my skills against classmates who were highly motivated and deeply committed to their careers.

The MBA Experience: Beyond Knowledge and Techniques

When I initially enrolled in the MBA program, my primary goal was to gain practical knowledge and skills that I could directly apply to my entrepreneurial ambitions. However, what I found during and after the program was a wealth of unforeseen outcomes and skill sets that have had a profound impact on my career.

1. Soft Skills Development: The MBA provided me with not only technical knowledge but also a foundation in essential business attitudes and soft skills. I learned about leadership, communication, ethics, and modern organizational structures like the teal organization. These elements are crucial in shaping a well-rounded business professional.

2. A Broader Perspective: Before my MBA, I often found myself worried and inclined towards micro-management, albeit in a somewhat sloppy manner. However, the program taught me to be more composed and understanding of the complexities inherent in business situations. I realized that not every issue can be immediately grasped, and sometimes, what appears to be a problem is simply a result of information asymmetry—a topic I discussed in a recent blog post.

The Need for Recurrent Learning in Japan

Despite Japan's status as an industrialized nation, it ranks poorly in terms of learning after graduation. According to the OECD's Education at a Glance 2023 report, Japan lags behind other OECD countries in adult education and lifelong learning participation. This reflects a concerning trend where many Japanese workers do not engage in further education or reskilling, which is critical for adapting to the rapidly changing job market​ (Education GPS).

This low engagement in lifelong learning can be a significant barrier to maintaining competitiveness in a globalized economy, where continuous skill development is increasingly necessary. As I prepare to speak at the Cross Border Link event on September 2, my goal is to inspire my fellow delegates to embrace lifelong learning. Reskilling and upskilling are not just optional—they are critical for staying relevant and thriving in today’s business landscape.

Conclusion: Be a Lifelong Learner

The MBA was a turning point in my career, not just because of the knowledge I gained, but because of the personal growth it facilitated. I urge all professionals to consider recurrent learning opportunities, whether through formal education, workshops, or self-directed study. The investment in your education is an investment in your future.

2434 Modern Project Management: Centralizing and Localizing for Efficiency and Humanity

 

In today's rapidly evolving world, the landscape of project management is undergoing a significant transformation. This shift is characterized by a focus on centralizing certain project activities while localizing and emphasizing the human aspects of project management. By leveraging IT and AI, we can streamline routine tasks, allowing project managers to concentrate on what truly matters: stakeholder engagement and team building.

Centralization for Efficiency

I am currently centralizing various project routing activities within our back-office team. This centralization targets tasks that require hard skills, such as scheduling, resource allocation, and progress tracking. By doing so, we free up project managers to focus on the more nuanced aspects of their roles, such as fostering collaboration and building strong teams.

The Role of Technology

Modern project management tools, particularly those that are agile-oriented and browser-based, have revolutionized how we approach the ten principles of project management. These tools can effectively handle seven out of ten knowledge areas, including:

1. Scope Management
2. Time Management
3. Cost Management
4. Communications Management
5. Risk Management
6. Procurement Management
7. Human Resource Management

The three remaining areas—Integration Management, Stakeholder Management, and Quality Management—still require a significant human touch. However, even in these areas, technology can assist by providing valuable data and insights, enabling project managers to make more informed decisions.

From Human to IT

I am a strong advocate for transitioning from human-driven to IT-driven project management. This transformation not only enhances efficiency but also reduces the immense pressure on project managers who traditionally had to monitor and control every aspect of a project around the clock. With the aid of modern tools, these professionals can now focus on strategic and interpersonal tasks, ultimately leading to better project outcomes.

Challenges and Resistance

Despite the clear benefits, the journey towards this new model of project management is not without its challenges. Resistance to change, status quo bias, and fear of losing one's position are common obstacles. As someone who champions globalization and centralization, I understand the complexities of overcoming these barriers. However, I firmly believe that embracing these changes is crucial for the future of project management.

In conclusion, modern project management is about striking a balance between centralizing routine tasks and localizing human-centric activities. By harnessing the power of IT and AI, we can create a more efficient and humane approach to managing projects, ultimately leading to better results and more satisfied teams.