I'd like to come back to the book "The Goal" I mentioned in my last blog entry.
This book focuses on manufacturing environments but the interview at the end of the book mentions that the concepts of the theory of constraints (TOC) can be applied to other fields. Looking back in teh book, I found that they ask three basic questions about the impact of changes:
- Did you sell more?
- Did you reduce the number of people on the payroll?
- Did you reduce inventory?
We can easily see that this makes sense to a financial person in manufacturing. Let's see how we can look at it when our concern is running a database.
Did you sell more?
That could be a tough one because sometime it is difficult to tie what we do to the company sales. that reminds me of a need analysis I did early in my career. The drafting department wanted to get a CAD system. At the time, that represented an investment of around one million dollars. I asked: "What happens if the plans are late?". I got blank stares as a reply. I should have talked to their customers to find the answer. We shold always ask what happens if we take longer to do something or if we don't do it. Here's a great quote:
"The cheapest, fastest and most reliable components of a computer system are those that aren’t there"
Gordon Bell, Encore Computer Corporation
Did you reduce the number of people on the payroll?
That's a question we always try to avoid but the bottom line, this is a question that is considered. Don't forget that if we can sell more with the same number of people, that's the same as reducing the payroll.
I've met many customers that have a mixed environments where we see a 10-1 ratio of Informix personnel compared to the personnel for the competitor's platform. Why not bring that up to the appropriate people. I'm sure your local IBM representative will be happy to help.
Did you reduce inventory?
Dr. Goldratt (author of "The Goal") says that investment is the same as inventory. So, what investment is made to increase sales? What is the return on investment? This seems to be a great opportunity to talk to people that use other DB products: How much are you investing in people to run these systems? What could you save there? How much are you investing in hardware? Could that be reduced? How much in software? I've heard that people that add Informix to their environment can get significant discount from their other DB vendor. That represents a reduction in the investment.
I think these three questions are worth exploring no matter which environment you're in. That can be good for your company, for you, and for all the people that invest their efforts into the Informix products.[Read More]