Problem Analysis and Solving Paradigm

PROBLEM ANALYSIS AND SOLVING PARADIGM

(A Technical Guide to Solving Cases)

The Problem Analysis and Solving Paradigm is a framework which serves as a guide in tackling any business or day-to day issues. It provides key steps, which help determine the real problem at hand, and the appropriate solution for it.

The paradigm is a mental process. It trains the mind to constantly approach a given situation in an orderly and systematic way of thinking. It facilitates both analysis and synthesis. It can be compared to a structure, which can take on many forms depending on the given scenario.

The paradigm has six major components: (1) Identification of the core problem, (2) Defining the decision criteria, OR identifying areas for consideration, (3) Listing of alternative solutions, (4) Analyzing the merit of the alternative solutions against the decision criteria, (5) Decision, (6) Formulation of an action plan to implement the decision.

IDENTIFICATION AND FRAMING OF THE PROBLEM: The starting point of any probe or investigation is the identification of the problem. What is a problem? Or When can it be considered that a given scenario is a problem? There is a problem when reality falls short of the expectation. A problem can be perceived as a gap, something that is lacking, a missing link in the chain of expectations, a breech in standards, a conflict, an unmet output.

The key question however in the identification of the core problem is not so much WHAT but WHY. Why is there a gap? Why is there an unmet expectation? Why are not standards being met? Why are profits going down? People underperforming? Identification of the core problem means going into the very core of the issue. This is the only way by which the paradigm is able to thoroughly address the issues involved. One must not confuse a secondary problem (that merely arises from the main problem) for the main problem. Going into the core means being able to separate the symptoms from their causes, differentiate the main problem from the secondary, or corollary ones.

Posing the right problem drives everything else. The way one states the problem frames the decision. It determines the alternatives one considers and the way one evaluates them. To choose well, one needs to state the problem carefully, acknowledging their complexity and avoiding unwarranted assumptions and option-limiting prejudices. In a given case, it is usual that the reader that takes on a certain outlook or stand on the issue while taking into consideration all other perspectives. When this paradigm is applied to a given case, it is crucial that the decision-maker is aware that he represents either one of the characters or one of the subjects in the case. The decision-maker is the subject who can deal directly with the problem. To be effective in this area, the person therefore has to be able to capture the varying perspectives, understand these, recognize thinking patterns and address existing biases. This awareness, however, should direct the decision-maker to the very core of the problem. With the use of analysis, the person has to be able to break down arguments, issues, symptoms and perspectives in order to get into the very core of the problem.

DEFINING THE DECISION CRITERIA. A set of decision criteria is always present, implicitly most of the time, in the mind of the decision-maker. The decision criteria should adequately capture the priorities, the sentiments, and the goals of the decision-maker. Some people refer to the decision criteria as the "areas for consideration".

The decision criteria serve as one's guide during the entire problem-solving exercise. They define the parameters that should be addressed, set the hierarchy for trade-offs. Every given scenario always brings with it its own limitations. Likewise, the decision-maker has his own concerns, priorities, preferences, limitations, biases and goals. The decision criteria should be able to capture all of these qualifying factors.

The decision criteria can also serve as the objectives. They help define the goals you want to achieve, the means available for achieving these and the obstacles that somehow limit the potentials. The objectives form the basis for evaluating the alternatives open to the decision-maker. The decision is always a means to a specific end. By evaluating one's objectives, one is able to look closer at the factors that usually influence the decision--interests, values, concerns, fears and aspirations which are the most relevant in achieving the goal. Thinking through the objectives will give direction to the decision-making and ensure that one avoids making an unbalanced decision. At the same time, the objectives facilitate having to come up with better alternatives, looking beyond the apparent choices.

To be able to better define the objectives, one has to be able to convert concerns into succinct goals. Reconcile essential elements. Separate ends from means to establish your fundamental objectives. The challenge here is to distinguish the objectives that are means to an end (having leather seats in your new car) and those that are ends in themselves (having a comfortable and attractive interior). This process is like "peeling an onion". Each new layer will look different. Means of objectives, using this process, will lead to fundamental objectives. Fundamental objectives are those that are wanted for their own sake. They are the fundamental reasons for your interest in the decision and constitute the broadest objective influence by your decision alternatives. In the end, the availability or ease of access to data should not limit objectives. One has to be careful with immediate, tangible, measurable qualities when listing objectives, which may not reflect the essence of the problem. Unless circumstances change markedly, well thought out fundamental objectives for the similar problems should remain relatively stable over time.

The best solution comes out as the one that best fits a chosen set of decision criteria. For the mental discipline of any business practitioner, it is important that decision criteria setting be formalized in his or her mental functions. Hence, specify your objectives. In your case, what is the objective of this decision exercise? What do you hope to accomplish?

An important skill here is always analysis and creativity

LISTING OF POSSIBLE SOLUTIONS. This is an exercise in creativity, wherein all possible solutions, unhindered by analysis, are listed down. The emphasis is on comprehensiveness. The more the better.

Consistency