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Library | Quality & Problem Solving

The New Economics

Explains the system of profound knowledge: systems, variation, knowledge and psychology.

Key takeaways

  1. Optimization requires a systems view
  2. Common-cause variation differs from special causes
  3. Management decisions need theories to test

How to apply it in your business

  1. Train managers on control chart interpretation
  2. Run predictions before process changes
  3. Audit contradictory departmental goals

About the author

Deming helped shape statistical quality management and systems thinking in organizations.

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