Chapter 4 Flashcards
(29 cards)
Meaning of Problem solving
Businesses often have to operate in challenging business environments and may experience many challenges.
Businesses must have mechanisms in place to help them work through these problems by gathering the facts that are necessary to overcome a specific challenge or to consider various alternatives before deciding on the best solution for the problem.
Difference between decision making and problem solving
- It is often done by one person/a member of senior management. This makes decision
making who makes it authoritarian. - The person/senior management will
consider various alternatives before deciding on the best one. - Problems can be solved by a group/team or an individual team member. This makes problem-solving more inclusive.
- This process of analysing a situation will help the group/team to identify strategies that will bring about change.
Steps In problem solving
(Identify the problem)
● Acknowledge that there is a problem before it can be solved.
● Get information and suggestions from everyone who may be affected in order to identify the
exact problem.
Steps In problem solving
(Define the Problem)
● Have an in-depth understanding of the nature of the problem.
● Gather as much information as possible to establish the cause of the problem.
● Define all the possible causes of the problem.
Steps In problem solving
(Identify Alternative Solutions)
● Identify different possible solutions by using a problem-solving technique such as
brainstorming or the Nominal Group Technique.
● Decide what seems to be the best solution(s) to the problem.
Steps In problem solving
(Evaluate Alternative Solutions)
● Use critical evaluation and analytical skills to evaluate each solution.
● Consider the advantages and disadvantages of each alternative solution.
Steps In problem solving
(Choose the best solution)
● Set criteria for the best solution, considering aspects such as time, cost and risk involved.
● Get consensus or identify which solution will be used.
● The best solution should match the size and the resources of the business.
Steps in Problem solving
(Formulate/Develop an action plan/strategy)
● Arrange the necessary resources and delegate tasks.
● Establish a timeline for implementation and set deadlines
Steps in Problem solving
(Implement the action plan)
● Carry out the planned actions to solve the problem.
● Communicate delegated tasks and/or deadlines to all employees
Steps in Problem solving
(Evaluate the solution/action plan)
● Assess whether the problem has been solved partially or entirely.
● Continuously monitor the solution and action plan using the appropriate tests.
Problem Solving Techniques
( DELPHI Technique)
Businesses use the Delphi technique to gain a consensus regarding future trends and projections using a systematic process of information gathering.
The technique is useful where the opinions and judgments of experts and practitioners are necessary.
Delphi technique is usually conducted
through questionnaires.
Application of the Delphi Technique
● The business must invite a panel of experts to research the challenge/s it might be facing.
● Experts do not have to be in one place and will be contacted individually.
● The experts will then be requested to send individual responses to the questionnaire.
● The business then needs to summarise the responses from the experts using a feedback report.
Advantages of DELPHI Technique
● Businesses may use a group of experts without bringing them together.
● The experts will give the business clear ideas or solutions on how to improve productivity and/or profitability.
● Information received from experts can be used to solve complex business problems.
● Experts may give honest, credible opinions because they do not have a direct or personal interest in the business.
● Noise levels in an office environment can be avoided because there will be no need for group discussions.
Disadvantages of DELPHI Technique
● It is an expensive technique to use because of its high administrative costs.
● It may be time-consuming and complicated to analyse data received from experts, and to set new questionnaires.
● Not all experts are willing or interested to give feedback or to complete questionnaires.
Problem Solving Techniques
(FORCE-FIELD ANALYSIS)
The idea behind Force Field Analysis is that the business must weigh up the driving forces (advantages) and restraining forces (disadvantages) against each other, and then decide if changes must take place.
The business can also use this technique to consider how to strengthen driving forces and weaken restraining forces.
Application of Force-Field Analysis
● List all driving/pros and restraining/cons forces that will support and resist change.
● Allocate a score to each force using a numerical scale, where 1 is weak and 5 is strong.
● Weigh up the positives and negatives, then decide if the project is viable.
● Choose the force with the highest score as the solution.
● If the project is viable, find ways to increase the forces for change.
Advantages of Force Field Analysis
● It provides a visual summary of all the factors supporting and opposing a particular idea.
● Employees feel included and are able to understand where the business is going.
● Employees develop and grow with the business because they are included in the process.
● It enables businesses to strengthen driving forces and weaken restraining forces.
Disadvantages of Force Field Analysis
● It is time-consuming since the business must stabilise before more/further changes can be made.
● Requires the participation of all business units.
● The analysis developed is entirely dependent on the skill level and knowledge of the group working on the analysis.
Problem Solving Technique
(Brainstorming)
Brainstorming is a group activity to find a solution for a specific problem by gathering a list of ideas spontaneously.
It is a method of inspiring creative problem solving by encouraging group members
to come up with thoughts and ideas.
Application of Brainstorming
● The business must define the problem clearly so that all participants understand it.
● The group must set a time limit for each brainstorming session.
● Each suggestion must be used to inspire new thoughts or ideas from other group members.
● Group members then need to discuss a plan of action on how to implement the best ideas.
Advantages of Brainstorming
● Employees are motivated as they are allowed to contribute to solving business problems.
● Managers will be better leaders because they will be able to manage change creatively.
● Creativity may lead to new inventions, which may improve the general standard of living.
Disadvantages of Brainstorming
● Some employees fear criticism and this may prevent full participation in brainstorming sessions.
● It may lead to groupthink and some individuals may not be willing to give their opinions.
● Discussion may result in conflict because of differences in opinions.
Problem Solving Technique
( NOMINAL-GROUP TECHNIQUE (NGT))
Businesses use this technique to enable each employee to give their inputs and then share them with their colleagues.
This prevents other employees from dominating the discussion.
The Nominal Group Technique can be used by small groups to reach consensus.
Application of Nominal-Group Technique
● If the group is too big it must be split into smaller groups.
● All ideas are written down on a large paper or recorded electronically on a computer for all to see.
● Employees are then encouraged to ask clarity-seeking questions.
● The next step is to eliminate any duplicate or similar ideas.
● Small groups need to present one solution to the large group.
