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Problem Solving In a World of Constant Change John G. Mathers 2013. Growing a Business is Challenging!. Macro. Micro. I ncome Output Consumption Unemployment Inflation Savings Investment Intl trade Intl finance Regs. Governance. Risk. Demand Supply Costs Pricing Channels - PowerPoint PPT Presentation
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Problem SolvingIn a World of Constant Change
John G. Mathers 2013
Growing a Business is Challenging!
Becoming Change-ABLE Page 2
Govern
ance TechnologyO
perations
Regs
Risk
Growth
Strategy
Sustainability Talent
Macro
• Income
• Output
• Consumption
• Unemployment
• Inflation
• Savings
• Investment
• Intl trade
• Intl finance
• Regs
Micro
• Demand• Supply• Costs• Pricing• Channels• Competitors• Labor
Handling “Problems” is What You Do
Becoming Change-ABLE Page 3
So Willingness to Change is Required!
“All great changes are preceded by chaos.”
Deepak ChopraSpiritual Guide
“Understanding is the first step to acceptance, and only with acceptance can there be recovery.”
J.K. RowlingWriter
Page 4Becoming Change-ABLE
And Change Means … Your Mental Map!
“When the structure of the industry [or a market … or a business] changes, all of the elements change too. The mental map that you have been carrying with you all these years and relied upon in charting your company's course of action suddenly loses its validity … [and] you haven't had a chance to replace it with a new mental map.”
Andy GroveOnly the Paranoid Survive
Page 5Becoming Change-ABLE
Becoming an Extraordinary Business
“Successful organizations that have sustained rapid growth for years while achieving even higher levels of efficiency and quality have change woven into the very fabric of the organization. Like a school of fish these organizations are constantly moving -- they are fast, focused and extremely flexible.”
Page 6
John Mathers & Bill Daniels
Change-ABLE Organization
Becoming Change-ABLE
Page 7
Lots of Problem-Solving Tools
R
C
EFFECT
- /+
Affinity
Cause Effect Diagram
Interrelationship Diagram
Solution Grid
OurAnswer
Stakeholder
Plus Minus
Becoming Change-ABLE
But Where to Start? Most Common Approach to Problem-Solving
Becoming Change-ABLE Page 8
ACTIONOUTCOME
andMismatch to Expectations
Primary Response to Mismatch:
CHANGE THE ACTION
ASSUMPTIONS
Page 9
Most Effective Approach:Double Loop Learning
GOVERNINGVALUES
&ASSUMPTIONS
OUTCOME:Mismatch toExpectations
ACTION
Primary Response to Mismatch:
CHALLENGE THE VALUESand
ASSUMPTIONS
Single Loop
Becoming Change-ABLE
Page 10
The Learning Environment
ASSUMPTIONS
Single Loop: Correction
Double Loop: Reflection
SUCCESS
“MakingProgress”
FAILUREACTION
Threat and Fear
Blamingor
“Fight”
Resignationor
“Flight”
LEARNING
graphic based upon materials fromDr. W. E. Deming and Dr. J. D. Milojkovic
Management
Board
CEO/Pres
Becoming Change-ABLE
Page 11
Overview of Problem-Solving Process
Generate PlanAnalyze
50%Gather Data
30%Interpret Data
20%Plan Actions
Becoming Change-ABLE
Page 12
HOW:• Define the topic• Generate and record ideas on cards• Display the cards (leave room)• Arrange the cards into columns of random, but related
themes• Define the related themes and create the "Header Cards"• Draw the finished affinity
Affinity Diagram
WHEN:To gather and organize large amounts of
data into natural groupings of ideas, opinions or issues.
Becoming Change-ABLE
Page 13
Interrelationship Digraph
WHEN:To identify the sequential relationships among
ideas/issues
R
C
HOW: Agree on issue/problem statement Display cards Draw relationship arrows Get feedback, then review and revise Tally the incoming/outgoing arrows
Incoming = Results Outgoing = Major Causes
Select Key Items and Draw final ID Check the results against your common sense
Becoming Change-ABLE
Page 14
WHEN:To visually display and examine the possible root
causes of a specific problem or opportunity.
EFFECT
Cause and Effect Diagram
HOW:
Define Problem Statement
Draw the "C&E" Diagram, using the "4Ps" or “4Ms”
Generate and plot a list of causes on the "C&E" Diagram
Ask "Why?" 5 times to ensure root cause analysis
Identify the Most Likely Causes
Becoming Change-ABLE
• People
• Processes
• Assumptions
• Materials
• Documentation
• Equipment
• Direction
• Decisions
etc.Page 15
Cause and Effect Diagramming
EFFECT
Becoming Change-ABLE
Page 16
Stakeholders
StakeholderStakeholder
Stakeholder
Stakeholder
Stakeholder
Stakeholder
StakeholderOur
Answer
Stakeholder
Becoming Change-ABLE
December 2001 Page 17
Stakeholder AnalysisSTAKEHOLDER ANALYSIS
Problem/Opportunity Statement:
Desirable Outcome:
StakeholdersLevel of Commitment
Low High
1 2 3 4 5Issues Responses
5) Propose possible Responses to the Concerns
4) Define Issues that are of concern to each stakeholder
3) Assess Current Level of Commitment to Outcomes
2) List Stakeholders
1) Define Problem/Opportunity Statement and Desirable Outcomes
Page 18
The Solution Grid
A. Brainstorm Ideas– List on page
B. Select Criteria– Weight them if
appropriate
Impact on Problem
Speed of Implementing
Ease of Implementing
Low Cost of Implementing
We Have Authority
Solution Ideas
C. Compare each idea to the criteria Highest number is better
D. Look at the Grid -- Use Common Sense
Becoming Change-ABLE
3020 Bridgeway, Suite 414, Sausalito CA 94965Tel: 1 (415) 381-4660 Email: [email protected] Web:
www.eVoassociates.com
3020 Bridgeway, Suite 414, Sausalito CA 94965Tel: 1 (415) 381-4660 Email: [email protected] Web:
www.eVoassociates.com
Speeding the natural evolution of your business
