Michael L. “Mike” George, Sr.
CEO, AI Technologies
In 2002 Mike George wrote the book “Lean Six Sigma”, which for the first time fully integrated Lean with Six Sigma. Lean Six Sigma (LSS) quickly became the most extensively used waste reduction process worldwide. The emergence of Artificial Intelligence (AI) now offers an even more powerful dimension in waste reduction which builds on a foundation of LSS.
In 2012, AI became a practical tool for profit improvement of Manufacturing processes. This was due to the convergent development of Deep Learning Neural Networks and Cloud Computing. These developments enabled the analysis of total factory waste using all the “Big Data” on the ERP system, regardless of size and product complexity. In one company’s factory it was discovered that 73% of setup waste was driven by 35% of revenue.
When this waste was reduced using AI tools, and redeployed as productive labor, the company achieved the following results:
• An EBITDA increase of 25%.
• Production capacity was increased 20% with no additional personnel or capital equipment.
• On-time delivery-to-promise date increased from 52% to 95% with no increase in inventory
• Revenue is increasing 20% per year versus market growth of 8% per year
The methods used to achieve these remarkable results are described in our new book “Lean Six Sigma in the Age of Artificial Intelligence”.
We are not alone in our appreciation of the importance of AI in Manufacturing. Dr. Kai-Fu Lee, AI expert, $2B venture capitalist, former President of Google China and author of the 2018 book “AI Superpowers” has written: “AI will translate into productivity gains on a scale not seen since the Industrial Revolution” AI is at the forefront of the “Made in China 2025” initiative by which China aims to dominate worldwide Manufacturing. We formed AI Technologies to assist companies in meeting this challenge.
Mike received a B.A. in Physics from the University of California, and an M.S. in Physics from the University of Illinois. After college he joined Texas Instruments (TI) in Dallas as an Engineer on the Minuteman II Integrated Circuits program. After 5 years, he left TI to found International Power Machines, a manufacturer of digitally controlled Pulse Width Modulated Uninterruptible Power Supplies, which he subsequently took public and sold to a division of Rolls-Royce.
In 1986 Mike traveled to Japan to study the Toyota Production System. Upon returning he wrote the book “America Can Compete” showing how American companies can become internationally cost competitive. To assist companies in this goal, he founded George Group Consultants in 1987. George Group annual sales grew to $120M and was sold to Accenture in 2007. The opportunity as well as the threat posed by AI led Mike to found AI Technologies. Mike is also currently an investor in Blackland Group, a private equity firm founded by his son Michael to acquire companies and create value. Mike has been awarded U.S. Patents on the reduction of business entropy, “cycle time” and “waste”, and he has authored eight books on process improvement which have been translated into 14 different languages.