Saturday, November 20, 2010

What We are Taught

We are all problem solvers. Some of have been to school, and some of us have learned by being on the job for many years. All of us have learned something about the right way to make decisions. Unfortunately, like leadership or management techniques, we have also learned a lot about the wrong way to make decisions. It is the factors contributing to the wrong way to make decisions that we must always remember if we are to change our bad habits.

We have learned, for instance, that we must be team players or we must protect and defend our territory. These can be instinctual but they should not be automatic if we are attempting to ascertain the truth. Defending our program is natural and many times the right thing to do, however, if our program is detracting from the greater good of the larger enterprise the truth must be surfaced. Many times it can be heard in the back rooms of programs that have started to run thin, “If we only had the analysis to show our worth”, and then they go looking for something to save them.

Perhaps they will find what they are looking for, don’t let it be you. Those of us who have been professionally trained are not immune to the pleas of a program in need of assistance. If we aid a dying program in need, we fall into a category that will be explored in greater depth later. The contrary side of looking for analysis to defend a dying program is have analysis to support the elimination or divestiture of a dying program. Now, this might very well likely be the truth, but what we have learned is the folks that spread bad news like this are the ones who are not team players and when bad news is known, it tends to be swept under the table, and woe be to the individual who blows the whistle.

Still there is more to be learned in school. In a professional analysis educational program such as Operations Research many formal disciplines have been developed. We have been taught to apply the techniques to problems and we have been trained to look for problems that fit the mold of a given technique. We call this formulaic analysis. A good analyst will know exactly what problems can be solved with their particular application and what application cannot. And then they can apply their formula. Sometimes a particular application will be pushed on a problem for reasons that can only be described as self interest – these reasons and the persons behind them will be treated in later.

Hopefully the self respecting and quality analyst will not attempt to use an application where it is not intended, yet still mistakes are made and the wrong tool for the job is used. In most cases this can be attributed to a misunderstanding of a much greater problem. And this gets back to problem definition, the hardest part of analysis. There is only one solution to this dilemma and unfortunately there are not many courses being taught on the lost discipline of thinking and in particular, critical thinking. Yes we are talking about over used buzzwords such as thinking “out of the box”. That is about thinking and being creative in general. Critical thinking, on the other hand is about using discipline and things such as the Scientific Method to fully explore a certain domain. Then tightly constructed logical arguments can be made to make inferences, create testable hypothesis, and generally wander around in side of decision space. All of these things can and should be taught in a professional analysis curriculum. Some do and some don’t.

When interviewing analysts its important to understand if they were either formally instructed in critical thinking or they came to it via experience. Either way, those who have learned or established critical thinking behavior can be invaluable to an organization and should be identified. Others, who have mastered formulaic analysis do have their role, but one cannot assume that just based on the title of analyst alone, one carries the moniker of someone who can think critically as well. Yet, perhaps the worst thing we have learned is that because analysis was done, or because this decision was based on analysis, that we have discovered the truth.

Too many decisions have been based on bad analysis in the past, that perhaps too much trust has been lost. Unfortunately, bad analysis is understood all to well and leads directly to an assumed fix to the problem. If we do not trust a small team of analyst to do a good job, a large team is probably the answer. It is true that by getting a larger set of eyes on a problem will typically lead to the discovery of errors in a complex calculation. In no way do we suggest that more people can’t be brought in to review or look at a problem. What we have learned, however, is that collaboration must naturally lead to better answers. This, however, is practically never the case. Collaboration, in most cases, leads to extending the length of time it takes to get an answer and, unfortunately it leads to compromise. Too many cooks in the kitchen spoil the broth. If some people like salt and other people like hot sauce, you cannot compromise and put both into the soup and expect anyone to like it. Unfortunately, because collaboration has occurred, we have been taught that it must have lead to a better solution.

Less people may get in trouble if it was a group decision to do something stupid, but nothing has been gained. Allowing the analysis to occur in small teams should be the first consideration. The analysis can be brought forward for the review of other people, but never to influence or participate, only to review for errors, but we are now ahead in our discussion. Here we are merely reporting what we have learned to do. Soon we must break these habits. But first there are still a few more bad habits we have learned that should be fully understood before we suggest methods to help.

Thursday, November 4, 2010

The Ethics of Analysis

The profession of professional analysis does not, in and of itself, have a written code of ethics. It is not taught to us directly in graduate school as one in an MBA program might take the requisite class in business ethics. Additionally, our field is so wide open and can be applied to every aspect of human endeavor that most would feel the addition of ethics to our curriculum is unnecessary. Yet who are we to judge what is at it’s heart the simple application of a mathematical technique to a solve problem. It is not the applied math that is evil but rather it’s application with disregard for the dangers or with nefarious intent that creates the problem. Exactly. It is not the handgun that is evil; it is the human behind the handgun. The untrained hand that causes an accidental death, or perhaps lacking in the moral understanding of the sanctity of human life. The result is the same. A handgun is an extreme analogy.

A car would be a better analogy. Clearly a car cannot be evil in and of itself (discounting the massive negative impact it’s life-cycle has on the environment). A criminal, as a new example, needs a getaway car, the driver of which may or may not be a witting participant. The car itself is but a tool to make a hasty escape. It is an inanimate and completely neutral object. The driver however, can choose to drive, or can question the passengers who hastily jumped on board with bulging satchels and what appears to be members of law enforcement in hot pursuit. If we as analysts did our job correctly, we would have obtained a fast car, we would have checked the traffic reports, we would have a good map with a planned route. We also would have a GPS for backup, a spare tire, and jack onboard. Wouldn’t want to be the get away driver feeling foolish asking for help on the freeway if a tire goes flat. In fact, we could do the very best planning and have taken great pride in our efforts only to find that we are simply in the midst of a serious crime.

How do we avoid this? Most bank robbers (sorry for the sterotype) want employees who don’t ask questions – coincidentaly most organizations want employees who are loyal and salute smartly – we call them team players. But here we find ourselves in one of the few professions where, in order for us to do our job to the best of our ability, we must ask many probing questions – questions that the boss might rather not answer. If you want the fastest travel time between the building on 17th street and the expressway, I recommend we drive the route before or after rush hour. But the bank is not open during rush hour – what a stupid question. Oh, I didn’t know you were going to be at the bank, I was just working on the fastest travel time. How long will you be in the bank, is there parking on the street just out front? During rush hour, a lot of people take the bus, it’s really hell being down town during those hours, can you take the bus? No. How about the subway? No. Why not? Because we will be in a Hurry? Why such a hurry, do you have to catch a plane? I wasn’t planning to drive you to the airport – but if that’s the case, perhaps a helicopter would be a better vehicle? I could pick you up in the park adjacent to the bank and pop you straight over to the airport.

Well that option is too expensive. I can’t afford a helicopter. OK, how much can you afford? Taxi drivers know the best routes and are the best drivers in the city at that time? Well I hired you to drive so I don’t want to hire a taxi cab? But clearly a taxi would be your best choice and since I want only the best for you I would advise you to fire me and plan on grabbing a cab when you come out. Well I need a driver who will take me any where I want to go? Yes, most cab drivers will. But I need the driver to be discrete? Ok, that is a new requirement; I was unaware of the discrete nature of your transportation needs. I can be very discrete – but I suspect so can a few cab drivers. But since you will not have control of exactly which cabbie you might hire, I think we can agree that I should drive. Yes I have already decided that you should drive – and I have already picked out a car and picked out the route for you to travel.

Oh, you just want someone to drive the car, not to help solve the problem, I’m sorry you just want a mindless, faceless, driver who doesn’t think. You’ve offered me a lot of money to drive this car for you, I think you could save a lot of money and hire a dumb driver for a lot less. Well I don’t want some incompetent ape driving the car – that would be worse than hiring a cabbie. Well that’s why I was trying to help, because I do think about the problems and typically can make the journey more efficient. What is it that you really are trying to do? We, I am robbing a bank and I need a get-away car.

Oh, why are you robbing a bank? If you need money and want to obtain it illegally, why not rob a convenience store, the get away is much cleaner. Not enough money in it for the risk. Ok, how about a grocery store? They have a lot of cash on hand. Well, I’m a bank robber, I’ve never robbed a grocery store. I wouldn’t know how to do it. Oh, well I’ve never robbed one either but I can definitely drive the getaway car. It would be much easier for me if the getaway is really independent of your action. But how about Internet fraud. If you really want money that is supposed to be a good way to get some – and it doesn’t require a get away car. I told you I am a bank robber – I would have to go back to school to learn how to use a computer – and you can’t teach an old dog new tricks.

Ok, looks like the bank is your only option. Have you considered robbing the bank at night when the streets are clear. Yes, but that requires that I hire a safe cracker – and have you ever had to work with a safe cracker. They are some of the hardest people to work with. They think the whole job is about them. Without them there is no bank robbery. I vowed to stop working with them a long time ago. What about tunneling into the bank and blowing up the safe. You don’t need a safe cracker for that. No you are right. Tried that before too. I need a bigger team – and the payroll on this job is tight. Can’t get the big boss to give me a bigger budget. Have you demonstrated that the rate of return on a safe job will be much higher than that of the daylight teller pull? Yes, he knows that, but he is expecting a few lower paying less risky jobs than a high risk, capital-intensive job. We can use you and your car on a couple of jobs the same day. Oh, multiple get-aways on the same day, this is a traveling salesman problem. I studied this one in school. Now I think I understand the problem completely and will optimize our route through town to hit all of the banks and then escape through the tunnel. Let me get started.

OK, hopefully the point is made. Analysts must ask questions, they must understand the total problem, and they actually have to remove themselves from the problem in order to get to the truth, if there is something keeping them from that truth – like an illegal activity. Getting to the truth is like pulling teeth, particularly if the truth does not want to be revealed. Now, I have mentioned that this essay is not about the underlying ethics of the problem – it is about getting to the truth. To get to the truth, and our forth principal, the analyst must understand the entire problem, not just what was fed to them by someone who thought they understood the problem. Understanding the problem is the hardest part of the job, but the most important part. Truth can be discovered if the problem is understood. If the problem is never understood, how can there be a right answer? This does not, however, free them from the underlying ethics of the problem. If they are lost in the problem perhaps they can forget about the ethics until the problem is solved, but they cannot absolve themselves from the greater truth, if in the end, the solution is still illegal. Later I’ll devote an essay to helping you with principle number five. You cannot divorce the truth from it’s ethical meaning, no matter how good a solution you found.

For now, however, I would now like to concentrate on the profession of analysis itself – in pursuit of the truth, because although you might believe you are on path of the truth because you sought the right problem and asked the right questions, if you blew the analysis, the truth you hold in your hand might be a nicely written pack of lies.