Problem Solving and Decision Making 101

Problem Solving and Decision Making 101

People with PSDM training acquire and then further develop a mental framework for Critical Thinking. Critical Thinking is the process of systematically and critically examining information to identify its truth or falsity. It has several important applications, including making important decisions in life and business. An individual’s ability to reason and think critically is essential to the success of a person in many areas of life, such as business and personal relationships.

By applying PSDM methods and principles we are empowered to assess situations quickly, prioritize issues clearly, solve problems expeditiously, make informed decisions quickly, mitigate potential risks, and seize advantage of available opportunities.

Realistically, not all problems and decisions require the following to be solved. However, it is best to attempt applying them on simple problems, or daily challenges for practice so it will become second nature to you — enough that you can deepen and enrich them to suit your needs at any given time or situation, however complex.

1. Define the problem  IDENTIFY THE GAP between the CURRENT STATE or situation and the DESIRED state or situation, relative to your goal. In your mind, there must be a clear statement of what you currently have and what you want to have;  your "now", and your goal.  This statement should clearly answer the question - WHAT IS THE PROBLEM?  

Remember that problem definition is the most important part of the analysis process, as it sets the direction for the next steps.  
      
      ASK YOURSELF:
  1. Is there really a problem? - What makes you or others think that there is a problem?
  2. Is the problem, significant? - What will happen if the problem is not addressed?
  3. Who are affected?
  4. Where is it happening?
  5. How is it happening?
  6. When is it happening?
  7. With whom is it happening? 
PRIORITIZE:  If you discover that you are looking at several related problems, then prioritize which ones you should address first  Note the difference between “important” and “urgent” problems.  We often fall into a trap, thinking that ALL ARE IMPORTANT, while this may be true - not all are urgent and must be addressed NOW.  Properly defining and understanding a problem helps in assessing which is more urgent, or which is more important.
  
2. Analyze the Problem and Understand the Cause - Gather Information and look into the possible causes of the problem. DO NOT JUMP to thinking of solutions if you do not have a clear understanding of the cause. You may do so for a quick fix but without knowing a problem's root cause, a problem is more likely to continue or come back.  This step defines what you need to address so you can get to your goal.

The most popular approaches to analyzing a problem:
  1. Five “whys” 5 Whys is a method that uses a series of questions to drill down into successive layers of a problem. The basic idea is that each time you ask why, the answer becomes the basis of the next why. It’s a simple tool useful for problems where you don’t need advanced statistics, so you don’t necessarily want to use it for complex problems.   
  2. Brainstorming is a group problem-solving method that involves the spontaneous contribution of creative ideas and solutions. This technique requires intensive, freewheeling discussion in which every member of the group is encouraged to think aloud and suggest as many ideas as possible based on their diverse knowledge. Guidelines must be set for brainstorming. This method can be used in both determining what causes the problem and generating solutions.
  3. Fishbone Diagram (Ishikawa) - The fishbone methodology allows you to visualize an issue as having multiple root causes that you can classify together. This diagram assesses all the possible causes of a problem and breaks down its components and symptoms. These aspects of an issue may relate to controls, technology, culture, procedures, processes, and the environment.  While these are general concepts, they apply uniquely to different problems. A fishbone analysis is usually the final output of a problem analysis. You can use the diagram to develop strategies and make recommendations about how to fix a problem. 
Management Tip: Don’t jump to “Who is causing the problem?” When we’re stressed, blaming is often one of our first reactions. Address issues more than people.

3. Generate Solutions - Identify alternatives for approaches to address the cause of the problem. We do not want to go straight to deciding THE SOLUTION.  Generating solutions is about discovering ways of bridging the current state to the future, improved state.. This stage is important to the overall decision making processes as a decision will be made from a selection of fixed choices.
      
      IMPORTANT TIPS:
  1. When brainstroming,  ensure that participants have a clear understanding of the problem and the cause/s. Invite experts and stakeholders ( those who feels the direct impact of changes due to the identified problem
  2. This steps require quantity not quality. You need to have an open mind and be willing to consider every possibility. This is not the stage to make any evaluations. Just make sure that these solutions are stated in a way that it is clear and realistic.
4. Choose the Best Solution - 
      When selecting the best approach, consider:
      Which approach is the most likely to solve the problem in the long term?
      Which approach is the most realistic to accomplish for now? Do you have the resources? Are they affordable? Do you have enough time to       implement the approach?
      What is the extent of risk associated with each alternative?
      (The nature of this step, in particular, in the problem-solving process, is why problem-solving and decision-making are highly integrated.)

5. Plan the implementation of the best alternative (this is your action plan)
      Carefully consider “What will the situation look like when the problem is solved?”
      What steps should be taken to implement the best alternative to solving the problem? What systems or processes should be changed in your       organization, for example, a new policy or procedure? Don’t resort to solutions where       someone is “just going to try harder”.
      How will you know if the steps are being followed or not? (these are your indicators of the success of your plan)
      What resources will you need in terms of people, money, and facilities?
      How much time will you need to implement the solution? Write a schedule that includes the start and stop times, and when you expect to see       certain indicators of success.
      Who will primarily be responsible for ensuring the implementation of the plan?
      Write down the answers to the above questions and consider this as your action plan.
      Communicate the plan to those who will be involved in implementing it and, at least, to your immediate supervisor.
      (An important aspect of this step in the problem-solving process is continual observation and feedback.)

6. Monitor the implementation of the plan
      Monitor the indicators of success:
            Are you seeing what you would expect from the indicators?
            Will the plan be done according to the schedule?
      If the plan is not being followed as expected, then consider: Was the plan realistic? Are there sufficient resources to accomplish the plan on schedule? Should more priority be placed on various aspects of the plan? Should the plan       be changed?

7. Verify if the problem has been resolved or not
One of the best ways to verify whether a problem has been solved is to resume normal operations in the organization.
Still, you should consider:
What changes should be made to avoid this type of problem in the future? Consider changes to policies and procedures, training, etc. consider “What did you learn from this problem-solving?” Consider new knowledge, understanding, and/or skills. Consider writing a brief memo that highlights the success of the problem-solving effort, and what you learned as a result. Share it with your supervisor, peers, nd subordinates.




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