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Creative Problem Solving and Decision Making

Problem-Solving is a part of living. Without a process, one may become overwhelmed with options. To be effective, A Problem solving process must be consistent and flexible.
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100% found this document useful (4 votes)
2K views

Creative Problem Solving and Decision Making

Problem-Solving is a part of living. Without a process, one may become overwhelmed with options. To be effective, A Problem solving process must be consistent and flexible.
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Creative Problem Solving

Training Topics: Understanding the process of Creativity and Problem Solving Removing Blocks and Barriers to finding the best solution Looking at Problem Solving in 2 steps:
Problem Identification Problem Solving and Decision Making

Problem Solving Tools:


Problem Identification

SWOT Analysis
Pareto Principle Problem Re-statement (5 Whys) Problem Solving Brainstorming Cause and Effect Analysis

Learning Outcomes
After studying this chapter, you should be able to: Understand the link between problem solving and organizational success Recognize that problems are a normal part of organizational life and a sign of organizational health
Proactively apply problem finding to bring continuous improvement to the workplace To enable delegates to analyse a problem so that appropriate problem solving techniques may be applied

Learning Outcomes (contd)


To recognise the importance of dealing with the cause of a problem, rather than just dealing with the effect of a problem To learn how to generate alternative solutions, using creative thinking and brainstorming To learn the different stages of the decision making process and understand the importance of each stage in ensuring effective decisions are made To enable delegates to apply the problem solving and decision making model to the workplace

How DO we solve problems?

How SHOULD we solve problems?

Because our minds cannot cope with the intricacies of complex problems, we settle for partial solutions, thus tending to oversimplify.

Keep an open mind.


Analyze the situation by breaking down the problems into smaller parts. Structure your findings.

What is Problem-Solving?
The world is full of problems A Problem is: A situation in need of improvement A goal, intention, or desire A project or task An obstacle to be overcome

Problem solving is a part of living.


Without a process, one may become overwhelmed with options.

What is Creative Problem-Solving?


Creativity = uniqueness, innovation Creative problem-solving (CPS) ~ Design A sequence of actions that lead to a specific goal or product. An intentional, process with a purpose. To be effective, a problem solving process must be consistent AND flexible. Creative Problem-Solvers make living look easy.

Why is Problem Solving so Challenging?

Analysis is the core element of efficient problem solving. However, human beings tend to avoid Analytic Structure as we are not taught those techniques at early ages.

What is Structuring?
Structuring is to analysis what a blueprint is to

building a house, it is like a road map for a trip.


It helps the mind make sense out of complex problems. It allows us to compare and weigh one element against another. It focuses on one element at a time.

Attitudes That Kill Creative Ideas


Not practical for operating. Dont be ridiculous. It isnt in the budget. Were not ready for that. We dont have time. Weve never done it before. Well be the laughing stock. Thats not our problem. Are our competitors doing it? Cant teach an old dog new tricks. Youre two years ahead of your time. That beyond our responsibility. Its too radical a change. We tried that before. Top management will never go for it. It costs too much.

Has anyone else tried it?


Lets form a committee.

The Relationship among Objectives, Problem Solving, and Decision Making

Problem Exists whenever objectives are not being met. What is happening vs. what is wanted to happen Problem Solving The process of taking corrective action to meet objectives. Decision Making The process of selecting an alternative course of action that will solve a problem. First decision is whether to take corrective action.

Problem Solving and Decision Making


The Relationship among the Management Functions, Decision Making, and Problem Solving
Managers need to make proficient decisions while performing the functions of management.

The Decision-Making Model


A six-step process that when properly utilized increases chances of success in decision making and problem solving.

Exhibit 41

Decision-Making Styles
Reflexive Style
Makes quick decisions without taking the time to get all the information that may be needed and without considering all the alternatives.

Reflective Style
Takes plenty of time to make decisions, gathering considerable information and analyzing several alternatives.

Consistent Style
Tends to make decisions without either rushing or wasting time.

Decision Structure
Programmed Decisions
Recurring or routine situations in which the decision maker should use decision rules or organizational policies and procedures to make the decision.

Nonprogrammed Decisions
Significant and nonrecurring and nonroutine situations in which the decision maker should use the decision-making model.

Decision Structure Continuum


Nonprogrammed Decision: Significant, nonrecurring, and nonroutine (Longer period of time to make decisions)

Programmed Decision: Nonsignificant, recurring, and routine (Shorter period of time to make decisions)

Exhibit 42

Decision-Making Conditions
Certainty Each alternatives outcome is known in advance. Risk Probabilities can be assigned to each outcome. Uncertainty Lack of information or knowledge makes the outcome of each alternative unpredictable such that no probabilities can be determined.

Decision-Making Models
Rational Model (Classical Model) The decision maker attempts to use optimizing, selecting the best possible alternative. The Bounded Rationality Model The decision maker uses satisficing, selecting the first alternative that meets the minimal criteria for solving the problem.

Continuum of Decision-Making Conditions

Exhibit 43

Potential Advantages and Disadvantages of Using Group Decision Making

Potential Advantages
1. Better-quality decisions 2. More information, alternatives, creativity, and innovation 3. Better understanding of the decision 4. Greater commitment to the decision 5. Improved morale and motivation 6. Good training

Potential Disadvantages
1. Wasted time and slower 2. Satisficing 3. Domination and goal displacement 4. Conformity and groupthink

Exhibit 44

Continua for Classifying a Problem

Exhibit 45

Continua for Classifying a Problem (contd)

Exhibit 45 contd

Define the Problem


Distinguish Symptoms from the Cause of the Problem List the observable and describable occurrences (symptoms) that indicate a problem exists. Determine the cause of the problem. Removing the cause should cause the symptoms to disappear or cease. Symptom: Customer dissatisfaction Cause: Poorly trained employees Solution: Implement customer relations training program for employees

Set Objectives and Criteria


Setting Objectives Involves establishing clear objectives that will make for better decisions. Objectives state what the decisions should accomplish in solving a problem or taking advantage of an opportunity. Setting Criteria Involves setting standards that an alternative must meet to be selected as the decision that will accomplish the objective.

Generate Creative Alternatives


Innovation The implementation of a new idea Product innovation (new things) Process innovation (new way of doing things) Creativity A way of thinking that generates new ideas The Creative Process Preparation Incubation and illumination Evaluation

Stages in the Creative Process

Become familiar with the problem; generate as many solutions as possible.

Take some time before working on the problem again to gain additional insight.

Before implementing the solution, evaluate the alternative to be sure it is practical.


Exhibit 46

Group Decision-Making Techniques That Foster Creativity

Exhibit 47

Generating Creative Alternatives


Brainstorming The process of suggesting many possible alternatives without evaluation. Synectics The process of generating novel alternatives through role playing and fantasizing. Nominal Grouping The process of generating and evaluating alternatives using a structured voting method that includes listing, recording, clarification, ranking, discussion, and voting to select an alternative.

Generating Creative Alternatives (contd)


Consensus Mapping (Ringi) The process of developing group agreement on a solution to a problem. Delphi Technique The process of using a series of confidential questionnaires to refine a solution.

Decision Tree

Exhibit 48

Plan, Implement, and Control


Plan
Develop a plan of action and a schedule of implementation.

Implement the Plan


Communicate and delegate for direct action.

Control
Use checkpoints to determine whether the alternative is solving the problem. Avoid escalation of commitment to a bad alternative.

Participative Decision-Making: Time-Driven Model


The model is a decision tree that works like a funnel. Define the problem statement; then move from left to right and answer each question by responding either high (H) or low (L), skipping decisions that are not appropriate to the situation and avoiding crossing any horizontal lines. The last column indicates the appropriate leadership decision-making style for that situation.

Source: Adapted from Victor H. Vroom, Leadership and the Decision-Making Process, Organizational Dynamics 28 (4), p. 87. Copyright 2000 with permission from Elsevier.

Exhibit 411a

Participative Decision-Making: Development-Driven Model


The model is a decision tree that works like a funnel. Define the problem statement; then move from left to right and answer each question by responding either high (H) or low (L), skipping decisions that are not appropriate to the situation and avoiding crossing any horizontal lines. The last column indicates the appropriate leadership decision-making style for that situation.
Source: Adapted from Victor H. Vroom, Leadership and the Decision-Making Process, Organizational Dynamics 28 (4), p. 87. Copyright 2000 with permission from Elsevier.

Exhibit 411b

Time-Driven versus Development-Driven Model


Time-Driven
Making effective decisions with minimum cost

Development-Driven
Focus
Making effective decisions through maximum development of group members

Emphasizes timely decision making

Value

Emphasizes group development

Has a short-term time horizon

Orientation

Has a long-term horizon, as group development takes time.

Creative Problem Solving Tools & Techniques


Root Cause Analysis Technique - Five Whys Fishbone Diagram (Ishikawa Diagram) Basic Questions to Ask in Defining the Problem (regardless of the technique used) - Who - When - What - Why - Where - How Mind mapping

Creative Problem Solving Tools & Techniques


The Problem Solving Process 8 Disciplines

D1 - Use a team approach


D2 - Describe the problem D3 - Implement and verify interim containment actions

D4 - Define and verify root causes


D5 - Verify the correction action(s) D6 - Implement permanent corrective actions D7 - Prevent problem recurrence D8 - Congratulate the team

Root Cause Analysis Technique - Five Why


Benefits Of The 5 Whys Help identify the root cause of a problem. Determine the relationship between different root causes of a problem. One of the simplest tools; easy to complete without statistical analysis.

When Is 5 Whys Most Useful? When problems involve human factors or interactions. In day-to-day business life; can be used within or without a Six Sigma project.

How To Complete The 5 Whys 1. Write down the specific problem. Writing the issue helps you formalize the problem and describe it completely. It also helps a team focus on the same problem.
2. Ask Why the problem happens and write the answer down below the problem. 3. If the answer you just provided doesn't identify the root cause of the problem that you wrote down in step 1, ask Why again and write that answer down. 4. Loop back to step 3 until the team is in agreement that the problem's root cause is identified. Again, this may take fewer or more times than five Whys.

5 Whys Examples
Problem Statement: You are on your way home from work and your car stops in the middle of the road. 1. Why did your car stop? - Because it ran out of gas. 2. Why did it run out of gas? - Because I didn't buy any gas on my way to work. 3. Why didn't you buy any gas this morning? - Because I didn't have any money. 4. Why didn't you have any money? - Because I lost it all last night in a poker game. 5. Why did you lose your money in last night's poker game? - Because I'm not very good at "bluffing" when I don't have a good hand.

In the examples the final Why leads the team to a statement (root cause) that the team can take action upon. It is much quicker to come up with a system that keeps the sales director updated on recent sales or teach a person to "bluff" a hand than it is to try to directly solve the stated problems above without further investigation

5 Whys And The Fishbone Diagram


The 5 Whys can be used individually or as a part of the fishbone (also known as the cause and effect or Ishikawa) diagram. The fishbone diagram helps you explore all potential or real causes that result in a single defect or failure. Once all inputs are established on the fishbone, you can use the 5 Whys technique to drill down to the root causes.

Fishbone Diagram (Ishikawa Diagram)


Ishikawa diagrams (also called fishbone diagrams, or herringbone diagrams , cause-and-effect diagrams, or Fishikawa) are causal diagrams that show the causes of a certain event -- created by Kaoru Ishikawa (1990).

Common uses of the Ishikawa diagram are product design and quality defect prevention, to identify potential factors causing an overall effect. Each cause or reason for imperfection is a source of variation. Causes are usually grouped into major categories to identify these sources of variation

Description
The fishbone diagram identifies many possible causes for an effect or problem. It can be used to structure a brainstorming session. It immediately sorts ideas into useful categories.

When to Use a Fishbone Diagram


When identifying possible causes for a problem. Especially when a teams thinking tends to fall into ruts.

Fishbone Diagram Procedure


Materials needed: flipchart or whiteboard, marking pens.

Agree on a problem statement (effect). Write it at the center right of the flipchart or whiteboard. Draw a box around it and draw a horizontal arrow running to it. Brainstorm the major categories of causes of the problem. If this is difficult use generic headings: Methods Machines (equipment) People (manpower) Materials Measurement Environment

Write the categories of causes as branches from the main arrow.


Brainstorm all the possible causes of the problem. Ask: Why does this happen? As each idea is given, the facilitator writes it as a branch from the appropriate category. Causes can be written in several places if they relate to several categories. Again ask why does this happen? about each cause. Write sub-causes branching off the causes. Continue to ask Why? and generate deeper levels of causes. Layers of branches indicate causal relationships. When the group runs out of ideas, focus attention to places on the chart where ideas are few.

Fishbone Diagram Example

For example, under the heading Machines, the idea materials of construction shows four kinds of equipment and then several specific machine numbers. Note that some ideas appear in two different places. Calibration shows up under Methods as a factor in the analytical procedure, and also under Measurement as a cause of lab error. Iron tools can be considered a Methods problem when taking samples or a Manpower problem with maintenance personnel.

Copyright 2006 Thomson Business and Economics. All rights reserved.

453

Brainstorming A Creative Technique


Brainstorming is a great way of generating radical ideas. During the brainstorming process there is no criticism of ideas, as free rein is given to people's creativity (criticism and judgment cramp creativity). Individual Brainstorming: It is best for generating many ideas, but tends to be less effective at developing them. Can be risky for individuals. Valuable but strange suggestions may appear stupid at first sight.

Brainstorming A Creative Technique


Group Brainstorming:
tends to develop fewer ideas, but takes each idea further
needs formal rules for it to work smoothly

group brainstorming sessions are usually enjoyable experiences, which are great for creating cohesion in a team

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