Why every family in American needs a continuous improvement program

Today, I am going to take a little more serious tone in this post than usual.  Most Americans hear news stories everyday about inflation but the implications get lost between celebrity sound bites and junk news.  People don't realize that accumulating effects of inflation each year that eats away savings and family finances.  In addition, monetary policy of the central bank is punishing savers by paying little or no interest.  So, your costs go up and your net income goes down-it's a double whammy.  However, there is a counter punch that any family can use to fight this threat-Kaizen.

First, a graph from http://www.shadowstats.com/ that shows the rate of inflation from the 1980 formula that is more accurate than today's formula (that conveniently excludes energy and food):

At 10% annual inflation, what a dollar would buy today will require $1.61 to purchase in 2017.  Even if you use the official 2% inflation figure, your dollar will lose over 10% of its purchasing power in just five years.  What can citizens do?  While we can't control inflation, we can control our response to this threat and mobilize our family, our focus, and our creativity and start your own continuous improvement program at home.

So, here's what you can do:

1) Educate your family on the effects of inflation.

2) Start a kaizen program and get everyone involved.  Have every family member contribute ideas in the following areas:

• What are we paying for that we are not using?
• How can we eliminate debt faster?
• What resources are we wasting?
• What areas do we have resources that we should be using but aren't?
• How can we do things better?
• What skills can we develop that could help the family?
• What can we optimize that is not optimal today?
• What improvements can we make today to make life better?

3) Track your ideas and savings and share the results so everyone home can see it.  Make it fun and recognize the good work and good ideas that come out of this effort.

This blog was founded on the idea that Kaizen, change for the better, is a martial art form that can fight the inflation monster.  I urge all families to start now...it's never too late to start improving.

What have you improved today?

Dan Lafever, Kaizeneer

Use Kaizen to beat high gas, inflation

Everyday we hear the masses cry about the high cost of everything. Gas prices are scaling Mt. Everest as the politicians claim that if elected they can do something about it. Instead of empty promises, families are using kaizen, or make simple and small changes, to cut their expenses...they just don't realize it. When you are forced to make changes you can...but why wait until the gun is at your head?

Check out this NY times articles where people in Alaska "Kaizened" and dropped their electric bills:

http://www.nytimes.com/2008/05/14/us/14juneau.html?ei=5087&em=&en=22550e6f60b60a8c&ex=1210910400&adxnnl=1&adxnnlx=1210871779-c7jh+3Alwb/PE9tAvZ8hTw

Too bad their utility bills have jumped from $.11 to $.56!

Dan Lafever
Kaizeneer