problem solving and decisiion making bm hr

8/14/2019 Problem Solving and Decisiion Making BM HR

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Problem solving andProblem solving and

decision makingdecision makingD K DasD K Das

Asstt. General Manager &Asstt. General Manager &FacultyFaculty

State Bank Staff College,State Bank Staff College,

HyderabadHyderabad

Version 03/ 08-09Version 03/ 08-09


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Life is Difficult Thats the

Norm!"To put the world in order, we must first put the nation in order; to

put the nation in order, we must put the family in order; to put the

family in order, we must cultivate our personal life; and to cultivate

our personal life, we must first set our hearts right." Confucius


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We should take intoWe should take intocognizance of the fact that..cognizance of the fact that..

No problem is ever totally solved.Every problem has a solution, butevery solution with it brings a new

problem. Some well-knownmanagement techniques emphasisthe idea of continuous improvement

and successful problem solving isseen as part of such continuousimprovement

Prof. jeff Malpas


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What is a problem?What is a problem?

Problem is an opportunity forimprovement

Every problem has a gift for you in its

hands- Richard Bach A problem is the difference between the

actual state and desired state

A problem results from the recognition ofpresent imperfect and the belief in thepossibility of a better future


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When confronted withWhen confronted withproblem, we are likely toproblem, we are likely toadopt ..adopt ..

Stop it, or

Mop it


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What do we do in stop itWhat do we do in stop itapproach?approach?

A stop it approach seeks to solve aproblem, so that the problem nolonger exists. Its three forms are..

Prevent it

Eliminate it

Reduce it


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What do we do in mop itWhat do we do in mop itapproach?approach?

A mop it approach focuses on theeffects of a problem

Treat it

Redirect it


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Decision Making is the Process of

Thought and Action that results in choice of

Behaviours

Decision Making..


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What it the good managementWhat it the good managementabout problem solving?about problem solving?

Willingness to adapt the situation

Recognise the ongoing and partialcharacter of all attempts to manageor to solve

Look around the world, keep askingWhy? and Why not?, and you willsoon see new opportunities


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Key approach to problemKey approach to problemsolvingsolving

Rationale Problem- solving

Identify the problem

A precise and complete description of the

problemCauses of the problem

Identify the decision criteria

Rank the decision criteria in order ofimportance

Rate each alternative in each criteria

Compute the optimal decision


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However, a few ideas ofHowever, a few ideas ofcreative problem solving..creative problem solving..

Objective findings- problem-brainstorming-list of objectives-goals

Fact finding

Solution finding

Acceptance finding


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1. Identify

5. implement

6.evaluate

2. explore

3. Set goals

3.Look at

alternatives

4. select


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Set goalsSet goals

Helps to clarify the direction to takein solving the problem; and

Gives them something definite tofocus on


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Look at alternativesLook at alternatives

A creative and practical step

Mind mapping

Techniques

Analysis of past solutions/ reading

Researching

Thinking/ discussion/ askingquestionsbrainstorming

Viewing the problem with fresh eyes


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Select the best solutionSelect the best solution

Priorities the solution by theireffectiveness slow process ofsolution

There may be possible suggestionsthat may be immediately eliminated

Narrow down the choices to one bestpossible solution which wil promisethe best or optimal outcomes


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ImplementationImplementation

Crucial part of problem solving anddecision making process

Communication is must


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So, the essentials are..So, the essentials are.. A clear description of the problem A description of limiting (or negative) factors/

constructive (or positive) involved in the problem A clear description of the scope of the problem

A clear description of the consequences of theproblem if not solved A list of brainstormed solutions A system of ranking the solution to finalise the

decision making

A clear description of myself as a problem solver Determination to follow through on the solution

decided upon jointly


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Causes of poor problemCauses of poor problemsolving..solving..

Bounded Rationality

Limitation of the human mind

The structure within which the mindoperates

Satisficing i.e. identifying and

implementing a solution that is goodenough


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Group thinks Some of the symptoms: Members Ignore obvious danger, take extreme

risk, are overly optimistic

Members discredit and explain away warningcontrary to group thinking Members believe their decisions are morally

correct, ignoring the ethical consequences of theirdecisions

Pressure for conformity Self censorship Member perceives that everyone agrees with the

groups decision, silence is seen as consent


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Group shift:

Familiarisation => comfortable => boldand daring

Who will take the risksDiffuses responsibility

Fixation

Insufficiency of hypothesis Other obstacles like personal beliefs,

misunderstanding of information etc.


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Group Decision Effectiveness

GroupDecision

Effect-

-iveness

Sum ofIndependent

Individual

Effort

(each person

contributes to

the sum total

ofknowledge

about

problem

Process Gains

(e.g., group

stimulatesindividual

motivation,

creativity,

and problemunderstanding

Process losses

(e.g., lost

time,

blocking roles,

communicatio

problems,group think)

+ _=


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SOLVING THE

PROBLEM IS THE

GOALNOT

WINNING!


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Th D i i M ki A d P bl


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The Decision Making And Problem

Solving Process

Identify a

Problem

or a Goal

Make a

Choice

Implement

the Choice

Monitor,

Review,

Follow-up

Develop

Alternatives

Judge &

Evaluate

Alternatives

Decision Making

InformationSearch Judgment & Choice Implementation & Follow-up

PROBLEM SOLVING


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Decision Making Styles

3. Intuitive

2. Autocratic3. Participating

4. Delegating

5. Using Groups


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People will often delegate-or fail to

delegate-for all the wrong reasons. They

hold on to a task because they like doing it,

or want to do it, or are afraid of not doing it,

and they will pass down some task because

they find it distasteful or beneath them or

have rationalised that it is not the best use

of their time.

- Mark McCormak

Successful CEO and author ofWhat they dont teach you at

Harvard Business School


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problem solving and decisiion making bm hr

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