SESSION 7

FUNCTIONS OF A
SUPERVISOR

PROBLEM SOLVING
AND
DECISION MAKING

Feb 4, 2016

Simple Techniques

PROBLEM SOLVING

Feb 4, 2016

Feb 4, 2016

HAVING
GOOD
PROBLEM

Problems
are atSTRONG
the center
of what

SOLVING
SKILLS
A
many people
do atCAN
workMAKE
every day.
HUGE
DIFFERENCE
INaYOUR
JOB.
Whether
you're solving
problem
for a
client (internal or external), supporting
those who are solving problems, or
discovering new problems to solve, the
problems you face can be large or
small, simple or complex, and easy or
difficult.

Feb 4, 2016

fundamental part of every supervisor's

role is finding ways to solve them. So,
being a confident problem solver is really
important to your success.Much of that
confidence comes from having a good
process to use when approaching a
problem. With one,
one you can solve
problems quickly and effectively.
Without one,
one your solutions may be
ineffective, or you'll get stuck and do
nothing, with sometimes painful
consequences.

Feb 4, 2016

Defining the problem.

2.
alternatives.
4Generating
BASIC STEPS
IN
3.
Evaluating and
selecting
PROBLEM
SOLVING
alternatives.
4. Implementing solutions.
1.

Feb 4, 2016

The quality of the questions we ask will serve us well but

it often takes some hard thinking before we get to those
that really matter. Time spent thinking about the issues,
then asking the right questions, is time well spent.
Especially if you do this before you reach for that toolkit!

I keep six honest serving men,

They taught me all I know,
Their names are What and Why
and When,
And How And Where And Who.
Rudyard Kipling The
Serving Men

DEFINING THE
PROBLEM

Feb 4, 2016

The key to a good problem

definition is ensuring that you deal
with the real problem not its
symptoms. For example, if
performance in your department is
substandard, what might you
might think is the problem with the
individuals in your department ?

Feb 4, 2016

Tools like Appreciation ,

5 Whys,
Whys and
Root Cause Analysis,
Analysis and
Affinity help you ask the right
questions, and work through the
layers of a problem to uncover
what's really going on.

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SIMPLE TECHNIQUES IN
PROBLEM SOLVING
1. Appreciation
2. 5

Whys (Use Example)

3. Cause and Effect
4. Affinity Diagrams
5. Flow Diagrams

Feb 4, 2016

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Feb 4, 2016

APPRECIATION
Appreciation

is a very simple but powerful

technique for extracting the maximum
amount of information from a simple fact.
Starting with a fact, ask the question 'So
what?' i.e. what are the implications of that
fact? Keep on asking that question until you
have drawn all possible inferences.
Asking 'so what?' repeatedly helps you to
extract all important information implied by
a fact.

Appreciation12Example

Feb 4, 2016

You've just department's budget is going to be cut by 25 percent next year. This is a huge cut, and
you found out that your want to make sure that you've uncovered all the implications before you start
to brainstorm possible solutions.
So, you use the Appreciation Process, as follows:
Statement: Our department's budget is going to be cut 25 percent starting January 1.
So what?
So the only way to accommodate that cut is to reduce our spending dramatically.
So what?
So we're probably going to have to cut staff, and we'll definitely have to cut spending on supplies,
research, and staff parties.
So what?
So staff morale is probably going to drop, especially if I have to lay off members of our team.
So what?
So I'll need to come up with plenty of low-cost ways to boost morale without spending money.
So what?
So I'll need to start thinking about this tomorrow, since the new budget will go into effect in two
months, and I want to be able to manage the consequences when I let the team know.

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Feb 4, 2016

THE 5 WHYS
The

5 Whys is a simple problem-solving technique

that helps users to get to the root of the problem
quickly. Made popular in the 1970s by the Toyota
Production System Very often, the answer to the
first "why" will prompt another "why" and the
answer to the second "why" will prompt another and
so on; hence the name the 5 Whys strategy.

if

it doesn't quickly give you an answer that's

obviously right, then you may need more
sophisticated technique problem solving techniques

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Feb 4, 2016

Problem: Your client is refusing to pay

for the leaflets you printed for them.
1.Why?The

delivery was late, so the leaflets

couldn't be used.
2.Why?The job took longer than we
anticipated.
3.Why?We ran out of printer ink.
4.Why?The ink was all used up on a big,
last-minute order.
5.Why?We didn't have enoughin stock, and
we couldn't order it in quickly enough.
Solution:We need to find a supplier who
can deliver ink at very short notice.

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Benefits of the 5 Whys

include:
It

helps to quickly determine

the root cause of a problem
It is easy to learn and apply

Feb 4, 2016

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Feb 4, 2016

CAUSE AN EFFECT
When

you have a serious

problem, it's important to
explore all of the things that
could cause it, before you
start to think about a solution.

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Feb 4, 2016

CAUSE AND EFFECT

Cause

and Effect Diagrams help

you to think through causes of
a problem thoroughly. Their
major benefit is that they push
you to consider all possible
causes of the problem, rather
than just the ones that are
most obvious.

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Feb 4, 2016

CAUSE AND EFFECT

A

Cause-and-Effect Diagram is a
tool that helps identify, sort, and
display possible
causes of a specific problem or
quality characteristic
It graphically
illustrates the
relationship between a given
outcome and all the factors that
influence
the outcome.

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Feb 4, 2016

Benefits of Using a
Helps determine root causes
Cause-and-Effect Diagram

Encourages group participation

Uses an orderly, easy-to-read
format
Indicates possible causes of
variation
Increases process knowledge
Identifies areas for collecting data

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Feb 4, 2016

BASIC LAYOUT OF CAUSE

& EFFECT DIAGRAM
Cause
4

Cause
3

Cause
2

Cause
1

Sub Cause A
Sub Cause B

Effect

Cause
8

Cause
7

Cause
6

Cause
5

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Feb 4, 2016

STEPS IN USING CAUSE

& EFFECT

Identify the problem:

Write down the exact problem you face in detail. Where appropriate identify
who is involved, what the problem is, and when and where it occurs. Write
the problem in a box on the left hand side of a large sheet of paper. Draw a
line across the paper horizontally from the box. This arrangement, looking
like the head and spine of a fish, gives you space to develop ideas.
Work out the major factors involved:
involved
Next identify the factors that may contribute to the problem. Draw lines off
the spine for each factor, and label it. These may be people involved with
the problem, systems, equipment, materials, external forces, etc. Try to
draw out as many possible factors as possible. If you are trying to solve the
problem as part of a group, then this may be a good time for some
brainstorming.

Using the 'Fish bone' analogy, the factors you find can be thought of as the
bones of the fish.

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Feb 4, 2016

Identify possible causes:

causes
For each of the factors you considered in stage 2,
brainstorm possible causes of the problem that may be
related to the factor. Show these as smaller lines coming off
the 'bones' of the fish. Where a cause is large or complex,
then it may be best to break the it down into sub-causes.
Show these as lines coming off each cause line.

Analyze your diagram:

By this stage you should have a diagram showing all the
possible causes of your problem that you can think of.
Depending on the complexity and importance of the
problem, you can now investigate the most likely causes
further. This may involve setting up investigations, carrying
out surveys, etc. These will be designed to test whether
your assessments are correct.

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Feb 4, 2016

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Feb 4, 2016

AFFINITY DIAGRAMS
Whether

you're brainstorming ideas,

trying to solve a problem or analyzing a
situation, when you are dealing with
lots of information from a variety of
sources, you can end up spending a
huge amount of time trying to
assimilate all the little bits and
pieces. Rather than letting the disjointed
information get the better of you, you can
use an affinity diagram to help you
organize it.

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Feb 4, 2016

Describe the problem or issue:

Generate ideas .Write each idea separately

Sort ideas into natural themes by asking:

What ideas are similar?
Is this idea connected to any of the others?

Create theme cards also called affinity cards

Place all your ideas under themes/ headings

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Feb 4, 2016

27

AFFINITY
EXERCISE

Feb 4, 2016

28

Feb 4, 2016

THE STATEMENT
the

company is not as
efficient and profitable
as it can be.

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24 hour a day production Not meeting productiongoals

Febincreasing
4, 2016
Insurance expenses

Always short staffed

Have to work weekends

Have to lift 25 - 50 lbs for every

position

Tight cash flow

Only 15 minutes break time

Bank strict on ratios

Many routes not profitable

Staff feels unappreciated

Need more training

Workers Comp higher

Advertising more

Inexperienced workers

Everything self funded

Suppliers not offering good terms

Inconsistent messages from

managers
Oven makes it hot
Corrugated through the roof

Low morale

Always hiring
Collection calls for small amounts

Numerous small invoices

Commodity prices rising

Don't have 2 days in a row off

Have to work overtime

Not enough investment in

equipment
Turnover

Weak supervisors

Travel higher this quarter

Work paced by conveyors

Fuel more expensive

Customer service high on small amounts

Lift overhead for many jobs

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Employee Turnover
Always short staffed
Inexperienced workers
Turnover
Always hiring
Have to work overtime
Physical Work
Only 15 minutes break time
Have to lift 25 - 50 lbs for every position
Oven makes it hot
Work paced by conveyors
Lift overhead for may jobs
Difficult Schedule
Have to work weekends
24 hour a day production
Don't have 2 days in a row off
Have to work overtime

Feb 4, 2016

Too many small customers

Many routes not profitable
Numerous small invoice
Collection calls for small amounts
Customer service high on small amounts
Higher expenses
Commodity prices rising
Insurance expenses increasing
Workers Comp higher
Fuel more expensive
Travel higher this quarter
Advertising more
Corregated through the roof
Management Education
Need training
Weak supervisors
Inconsistent messages from managers
Not meeting production goals
Low morale
Staff feels unappreciated
Limited Access to Captital
Not enough investment in equipment
Everything self funded
Tight cash flow
Suppliers not offering good terms
Bank strict on ratios

31

Feb 4, 2016

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Feb 4, 2016

OTHER TECHNIQUES IN
PROBLEM SOLVING
1. SWOT

Analysis
2. PEST Analysis
3. Porters Five Forces
4. Boston Matrix

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SWOT ANALYSIS

Strengths
Weaknesses
Opportunities
Threats

Feb 4, 2016

34

PEST ANALYSIS
Political:
Economic:
Socio-Cultural:
Technological

Environment:

Feb 4, 2016

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Feb 4, 2016

PORTERS FIVE FORCES

With

a clear understanding of
where power lies, you can take fair
advantage of a situation of
strength, improve a situation of
weakness, and avoid taking wrong
steps.

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Feb 4, 2016

PORTER FIVE FORCES

Five Forces Analysis assumes that there are five

important forces that determine competitive power in a
business situation. These are:
Supplier Power: Here you assess how easy it is for
suppliers to drive up prices.
Buyer Power: Here you ask yourself how easy it is for
buyers to drive prices down.
Competitive Rivalry: What is important here is the
number and capability of your competitors.
Threat of Substitution: This is affected by the ability
of your customers to find a different way of doing what
you do.
Threat of New Entry: Power is also affected by the
ability of people to enter your market.

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Feb 4, 2016

BOSTON MATRIX
To understand the Boston Matrix you need
to understand how market share and
market growth interrelate.

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Feb 4, 2016

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Feb 4, 2016

Dogs: Low Market Share / Low Market Growth

In these areas, your market presence is weak, so it's going to take a lot of
hard work to get noticed. You won't enjoy the scale economies of the larger
players, so it's going to be difficult to make a profit. And because market
growth is low, it's going to take a lot of hard work to improve the situation.
Cash Cows:
High Market Share / Low Market Growth
Here, you're well-established, so it's easy to get attention and exploit new
opportunities. However it's only worth expending a certain amount of effort,
because the market isn't growing and your opportunities are limited.
Stars:
High Market Share / High Market Growth
Here you're well-established, and growth is exciting! These are fantastic
opportunities, and you should work hard to realize them.
Question Marks (Problem Child):
Low Market Share / High Market Growth
These are the opportunities no one knows what to do with. They aren't
generating much revenue right now because you don't have a large market
share. But, they are in high growth markets so the potential to make money is
there.

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Feb 4, 2016

DECISION MAKING

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Feb 4, 2016

DECISION MAKING
All of us have to make
decisions every day. Some
decisions are relatively
straightforward and simple:
Others are quite complex:
Which of these candidates
should I select for the job?

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Good

Feb 4, 2016

decision-making
requires a mixture of skills:
creative development and
identification of options,
clarity of judgement, firmness
of decision, and effective
implementation.

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Feb 4, 2016

DECISION MAKING
PROCESS

Uncertainty - Many facts may not be known.

Complexity - You have to consider many

interrelated factors.

High-risk consequences - The impact of the

decision may be significant.

Alternatives - Each has its own set of

uncertainties and consequences.

Interpersonal issues - It can be difficult to

predict how other people will react.

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Feb 4, 2016

There
are 6 Steps
to
a constructive
environment.
Making an Effective
Generate good alternatives.
Decision:
Create

Explore

these alternatives.

Choose

the best alternative.

Check

your decision.

Communicate

your decision, and take action .

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Feb 4, 2016

Create a Constructive
Environment

Make sure you do the following:

Establish the objective - Define what you want to
achieve.

Agree on the process - Know how the final decision

will be made, including whether it will be an individual
or a team-based decision.

Involve the right people - It is important in making

an effective decision, and you'll want to ensure that
you've consulted stakeholders appropriately even if
you're making an individual decision.

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Feb 4, 2016

Allow opinions to be heard If it ios a group/team

decision: Encourage participants to contribute to the
discussions, debates, and analysis without any fear of
rejection from the group. Also, recognize that the objective
is to make the best decision under the circumstances: it's
not a game in which people are competing to have their
own preferred alternatives adopted.

Make sure you're asking the right question - Ask

yourself whether this is really the true issue. The 5 Whys
technique is a classic tool that helps you identify the real
underlying problem that you face.
Use creativity tools from the start - The basis of
creativity is thinking from a different perspective. Do this
when you first set out the problem, and then continue it
while generating alternatives.

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Generate Good
Alternatives

Feb 4, 2016

This

step is still critical to making an effective

decision. The more good options you consider, the
more comprehensive your final decision will be.
When you generate alternatives, you force
yourself to dig deeper, and look at the problem
from different angles. If you use the mindset
there must be other solutions out there,' you're
more likely to make the best decision possible. If
you don't have reasonable alternatives, then
there's really not much of a decision to make!

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Feb 4, 2016

Explore the Alternatives

When you're satisfied that you have a good selection of realistic alternatives,
then you'll need to evaluate the feasibility, risks, and implications of each
choice. Here, we discuss some of the most popular and effective analytical
tools.

Risk
In decision making, there's usually some degree of uncertainty, which
inevitably leads to risk. By evaluating the risk involved with various options,
you can determine whether the risk is manageable.

Implications
Another way to look at your options is by considering the potential
consequences of each.
Validation
Determine if resources are adequate, if the solution matches your objectives,
and if the decision is likely to work in the long term.
To assess pros and cons of each option,
Look at the financial feasibility of an alternative.

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Feb 4, 2016

Check Your Decision

With all of the effort and hard work that goes into evaluating
alternatives, and deciding the best way forward, it's easy to forget to
sense check' your decisions. This is where you look at the decision
you're about to make dispassionately, to make sure that your process
has been thorough, and to ensure that common errors haven't crept
into the decision-making process. After all, we can all now see the
catastrophic consequences that over-confidence, groupthink, and
other decision-making errors have wrought on the world economy.
The first part of this is an intuitive step,
step which involves quietly and
methodically testing the assumptions and the decisions you've made
against your own experience, and thoroughly reviewing and exploring
any doubts you might have.
A second part involves a check through the logical structure of
the decision with a view to ensuring that a well-founded and
consistent decision emerges at the end of the decision-making
process.

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Feb 4, 2016

Communicate Your
Once
you've made
your
decision,
Decision,
and
Move
to it's
important to explain it to those affected by
it,Action!
and involved in implementing it. Talk
about why you chose the alternative you
did. The more information you provide
about risks and projected benefits, the
more likely people are to support the
decision.

Key Points
An

51

Feb 4, 2016

organized and systematic decisionmaking process usually leads to better

decisions. Without a well-defined process,
you risk making decisions that are based
on insufficient information and analysis.
Many variables affect the final impact of
your decision. However, if you establish
strong foundations for decision making,
generate good alternatives, evaluate
these alternatives rigorously, and then
check your decision-making process, you
will improve the quality of your decisions.

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Feb 4, 2016

SIMPLE DECISION MAKING

TECHNIQUES
Brainstorming
Force
PMI

Field Analysis

Plus/Minus/Interesting
Six Thinking Hats

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Feb 4, 2016

Force Field Analysis is a

useful technique for looking
at all the forces for and
against a plan. It helps you
to weigh the importance of
these factors and decide
whether a plan is worth
implementing.

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Feb 4, 2016

USE FORCE FIELD ANALYSIS

EXERCISE
Imagine you are a Supervisor
offering advice to your
manager on the need to
purchase new equipment in
your factory

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Feb 4, 2016

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DECISION MATRIX
ANALYSIS

Feb 4, 2016

57

Feb 4, 2016

A caterer needs to find a new supplier for

his basic ingredients. He has four options.
Factors that he wants to consider are:
Cost.
Quality.
Location.
Reliability.
Payment options.

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Feb 4, 2016

Factors:

Cost

Quality

Reliabili
Location
ty

Weights:

Payme
nt
Total
Options

Supplier 1

Supplier 2

Supplier 3

Supplier 4

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actors:

Cost

Quality

Feb 4, 2016

Location

Reliabili
ty

Paymen
t
Total
Options

Weights:

Supplier 1

15

Supplier 2

15

24

Supplier 3

10

25

Supplier 4

15

32

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Feb 4, 2016

PMI is an important Decision Making

tool: The mind tools used so far in this
section have focused on selecting a
course of action from a range of options.
Before you move straight to action on
this course of action, it is important to
check that it is going to improve the
situation (it may actually be best to do
nothing!) PMI is a useful tool for doing
this.

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Feb 4, 2016

Example:
A

young professional is deciding where

to live. Her question is 'Should she move
to the big city?'
She draws up the PMI table below:
She scores the table as 13 (Plus) 18
(Minus) 1 (Interesting) = 6
For her, the comforts of a settled rural
existence outweigh the call of the
'bright lights' it would be much better
for her to live outside the city, but close
enough to travel in if necessary.

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Feb 4, 2016

Plus

Minus

More going on (+5)

Have to sell house (- Easier to find new

6)
job? (+1)

Easier to see friends

(+5)

More pollution (-3)

Meet more people?

(+2)

Easier to get places

(+3)

Less space (-3)

More difficult to get

own work done? (-4)

No countryside (-2)

More difficult to get

to work? (-4)

+13

Interesting

-18

-1

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Feb 4, 2016

'Six Thinking Hats' is an important

and powerful technique. It is used to
look at decisions from a number of
important perspectives. This forces
you to move outside your habitual
thinking style, and helps you to get
a more rounded view of a situation.

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THE END

Feb 4, 2016