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Leave a CommentCategory: Operations
Palantir is one of the most fascinating companies in the Valley because the core purpose of the company is data-analysis based intelligence products and services — a setup so close to the nature of operations research. Palantir occupies a weird service space between Tool-kit Developers like Matlab and Mathematica, Consulting firms like ZS and Booz, and IT service companies like Wipro. Evidently, Palantir does a lot of data-analysis for the government agencies reportedly on terrorism, and hence is under constant scrutiny by journalists and civil liberties organizations, and it is famously opaque. So, it is always interesting when some light is shed on its business. The article in WSJ is informative in some ways. The authors are skeptical on Palantir:…
Leave a CommentHere is an interesting article from the Wall Street Journal about the struggles of scaling Automation at UPS. (An interesting tidbit: UPS says about half its packages are processed through automated facilities today. At FedEx, 96% of ground packages move through automated sites. ) The article seems to blame the problems of UPS on the lack of automation and having unionized employees. I think the main problem may be that the automation at UPS has grown organically in a slapdash fashion. In fact, the relevant quote is: As online-shopping volume grew, UPS relied on what a former UPS executive calls “a Band-Aid” approach to upgrading its network, patching it up by adding extra shifts or extending hours, or retrofitting parts of older…
Leave a CommentHappy Thanksgiving, dear readers! In the modern consumer mythology, Thanksgiving – a uniquely American celebration – is a day for Turkey and Football, usually starring the underwhelming Cowboys who coincide with the decline of the NFL. But, all traditions are fluid in America, as we always welcome and add new changes. Now, there is the dreaded Turkey Drop, where college freshers “drop” their high school sweethearts. There is the much-derided Tofurkey which has become a vegetarian thanksgiving tradition. Even the resistance is upended into tradition. Those naysayers who devotedly, every year, circulate Wednesday Addams videos, proclaiming their iconoclasm, only join and expand the tribes of people who celebrate Thanksgiving in their own way. Because Addams Family — a whimsical thanksgiving movie —…
Leave a CommentIt increasingly appears that Amazon has chosen to split its second headquarters between Long Island City, NY and Crystal City, Northern VA — essentially locating a large portion of their upper management closer to the political and cosmopolitan classes (DC and NYC respectively). My favorite internet and business raconteur Scott Galloway – the author of the excellent The Four — had opined that it would always be New York. How did I do with my prediction? Earlier this year, my own guess was Nova/DC/Maryland area (although I had also hedged it with North Carolina). Amazon’s next biggest challenge is in running their AI platform. The biggest challenge for all platforms is regulation, which makes locating in the DC area as the perfect…
Leave a CommentIn the last Tesla post on Musk fans and naysayers, I had expressed cautious optimism about Tesla’s Model 3 production growth. There are some legitimate concerns about the process management within the Tesla Fremont plant. Much of the production planning problems have become opaque and also a matter of academic and practice debate (kanban cards and micro-management), ever since Tesla’s move away from Toyota Production principle. In any case, it seems that Tesla’s gradual transition to the make-to-stock model of production continues unabated. Tesla’s Q3 Sales figures from 2018 (Source: Wired) in a snapshot view, look very good. They finally appear in the top-20 models sold in the US and rank fourth in the luxury car segment. In fact, the sales…
Leave a CommentSpectacles are back again. Earlier this year on this blog, I wrote about Snap’s disastrous over-commitment into Spectacles inventories, and subsequent difficulties in selling the items, as thousands of inventories piled up. I argued that their sales figures were in fact not terrible in comparison to the first generation iPods, but it was the capital expenditure on inventories that crippled Snap’s venture into hardware. So, after Snap is back again with Spectacles 2. I cannot really figure that if the new designs of Version 2 are any better, but Snap definitely seems to be making some better operations and retail decisions. Here is coverage from Verge: Both the Veronica and Nico styles are available starting today (ed: Sept 5,…
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