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ProblemSolving's Problem

Written by: Dave Mather

Article Overview: Problem-solving is deeply entrenched in our business culture. Dave Mather, a 30+ year business consultant, describes the pitfalls of being a habitual problem-solver and why this might hurt business results.

ProblemSolving's Problem

Problem-solving Problems
A warning, in this article we challenge some deeply engrained, invisible core beliefs.
In social sciences, a “problem” is often defined as something I don’t like, don’t want, or
want to eliminate . In physics, a “problem” is a conflict preventing a system from
achieving its desired objective. Physicists also contend that, if there appears to be a
conflict, there is an underlying false assumption.

When management appears to see a different “reality” than employees, there is only
one reality and it is not so complex that others cannot see or understand it.
For example, to remain competitive, it is imperative we reduce waste in materials, waste
in process time, and waste in resource allocation. On one hand, organizations demand
higher sales while customers demand shorter lead and delivery times at quality
standards unheard of ten years ago.

It’s easy to get bluffed out. For example, when you see valuable resources, including
people, sitting idle , what is your immediate assumption? Waste!! However, if each
resource operated at its optimum, would you double or triple your output? Maybe,
maybe not. Focusing on local resource optimization could increase, rather than
decrease, your costs and lower quality and service levels.

In your neighborhood there is a local fire hall where, most of the time, hundreds of
thousands of dollars of equipment and highly trained people sit idle. What a waste!!!
Let’s set our town on fire to ensure we get maximum utilization of these costly
resources. [OOPS!]

In business, the mindful utilization of resources to support a well-designed strategy and
structure can double, even triple, output. However, only an estimated 3% of North
American businesses operate this way. Pure problem-solving from a one-level
perspective may not produce desired results and may actually undermine our future.

For example …
A manufacturer felt fast set-up time was critical to hitting their financial and
production goals. After numerous problem-solving sessions, they decided to test adding one extra person to a workstation. If productivity improved by 20%, they planned to add a similar person to another six stations. This sounds logical until you discover that two customers moved their business to a competitor because of “price” and another large customer is threatening to take their business elsewhere.

With that in mind, play out their “solution.” If they hit the 20% goal, the increase in
operating costs is over $250,000. In addition, this “solution” communicates to
employees that increased productivity requires “adding people.” In the future, they will
jump at this “solution,” further increasing labor costs. Customers will not tolerate price
increases so they’ll need massive productivity gains to absorb each costly “solution.”
If their solution “succeeds,” they could lose more customers, market share, and gain a
reputation as an over-priced supplier. If their tactic fails, employees will become even
more discouraged, since even adding more people did not solve their “problem.”
A more practical approach is going after reducing set-up times without adding a person to each
workstation. Hitting their production, cost, and quality goals with the same workforce creates momentum, energy, and excitement.

In their haste to solve problems from a local perspective, management could cause irreparable damage to their future. Some may contend that a solution involving the same work force is impossible, but finding such a solution means their workforce will have the competency necessary to
maintain their competitive edge. As long as management does not use this increased productivity to justify “rightsizing,” their future is much brighter.

This all seems so simple – and it is. But simple is not always easy. Keep in mind that
problem-solving is a seek and destroy mission. However, most business initiatives have
a “what we want to create” component. Both aspects are important, but they are not
interchangeable. Don’t let your people confuse one with the other.

Ask yourself:

o What is our view of “problems?”
o What underlying assumptions are implied in our conversations?
o What is currently “impossible” that, were it possible, could
revolutionize our business?
o What various viewpoints, implied or expressed, seem to conflict with each other? What is the underlying assumption of each view?

Related Articles
  Appreciate Your Obstacles!
  THE WAY WE SEE THE PROBLEM IS THE PROBLEM
  Problem or Not the Problem?
  Innovation or problem solving? is a great question to ask often
  Design Process - Define the Problem

Article Tags: management, sales, sales management, success principles



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