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Problem Solving /Decision Making

Kepner-TregoeThe New Rational Manager

Chapter 1

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Chapter 1 Contents

Organizational Effectiveness Four Basic Patterns of Thinking Basic Patterns in an Organizational

Context Some Thoughts on Teamwork Applying the Model Rational Management

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Organizational Effectiveness

Sadly, most of organizations today do not operate as integrated enterprises disparate effectiveness & efficiency overlaps & gaps lack of communication synergism & counter productivity

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Kepner-Tregoe

K-T have been in the business of organizational improvement for over 30 years

Our text documents the results of K-T’s experience in this area through research, trial, error, and innovation management skills installation

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K-T’s Groups vs Teams

Groups are characterized by: understanding sensitivity adaptation common regard psychological benefit

There is a closeness and an intention to be mutually supporting

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K-T’s Groups vs Teams

By contrast, Teams are characterized by: varying expertise varying methods common goal “tolerate one another enough to work

closely together” The goal is “to win” not necessarily to

become friends

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A Management Team

Entrepreneur - aggressive, driven, quick

Finance - analytically focused, thorough Sales - enthusiastic, sometimes

impatient R&D - balance between feasible and

desirable Production - reality driven

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The Paradox

We need this diversity on a management team to provide the necessary expertise to make the organization successful.

BUT, with so many different mindsets, how can we coordinate their efforts in an effective and efficient way.

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The K-T Solution

We need simple, common, sensible guidelines and procedures expressed in commonly understood language. for gathering, sharing, and using

information for solving problems for making decisions for protecting the organization’s future

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A BIG Plus to the K-T Approach

Skills for good PS/DM are transferable sports team analogy (W pg 3; B pg

15) unnamed case example (W 4-5; B 16-

17) Installing Rational Process case (W 5-

6; B 17-18)

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The Human Nature Aspect

People generally resist change BUT, people will embrace change

that seems good for them and the things they care about.

A system for change must facilitate introduction of ideas provide means for implementation offer rewards

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Four Basic Patterns of Thinking

READ & THINK CAREFULLY about what this overhead says - it is the crucial foundation of the K-T approach.

EVERY productive activity is related to one of four basic patterns of thinking.(1) What is going on?(2) Why did this happen?(3) Which course of action should we take?(4) What lies ahead?

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The Four Thinking Patterns Just How Important Are They? These four patterns have not

altered substantially since the emergence of the human race.

They are universally applicable to any situation.

Survival is guaranteed by the ability to use these patterns.

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What Is Going On?Assessing and Clarifying

This is the most important thinking pattern

It allows us to examine a confusing situation and: assess clarify sort out impose order

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Why Did This Happen?Relating Cause to Effect

Assign meaning to what we observe by relating events to outcomes.

Assign meaning by relating causes to effects.

Allows us to move from reactive to proactive.

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Which Course of Action?Making Choices

Allows us to make reasoned choices.

Three major activities are involved: Determination of purpose Consideration of available options Assessment of relative risks

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What Lies Ahead?Anticipating The Future

This future oriented thinking allows us to imagine and construe the future.

Closely related to the cause and effect thinking pattern.

There is much unfulfilled potential in this area.

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The Four Basic Rational Processes

Applying the four basic thinking patterns in an organizational setting leads to systematic procedures for using and sharing information about organizational concerns.

Known as the 4 basic rational processes, they are universally applicable regardless of cultural setting or content.

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The Four Basic Rational Processes

Situation Appraisal (Chapter 7) What is Going On?

Breaks down complex into components Separates relevant from irrelevant Sets priorities and delegates responsibilities

Identifies Problems to be solved Decisions to be made future events to be analyzed

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The Four Basic Rational Processes

Problem Analysis (Chapters 2 & 3) Why Did This Happen?

Based on the cause-and-effect thinking pattern

Enables us to: identify, describe, analyze, and resolve situation in which something has gone wrong

without explanation Methodical means to extract relevant and

useful information about a situation

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The Four Basic Rational Processes

Decision Analysis (Chapters 4 & 5) Which Course of Action?

Based on the choice-making thinking pattern

Methodical means to examine: the purpose of the decision the available options the risks of each alternative

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The Four Basic Rational Processes

Potential Problem (Opportunity) Analysis (Chapter 6) What Lies Ahead?

Based on the anticipating the future thinking pattern

Methodical means to: avoid possible negative consequences turn situations to our advantage

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The Two Remaining Chapters

Chapter 8 Application of Rational Management

to human performance problems Chapter 9

Installing Rational Management within an Organization

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Team Work

All people possess the capacity to utilize the four basic thinking patterns they are not necessarily used

automatically they are not all used equally well they are not easily shared

We need to: Raise the level of skill in thinking Enhance the ability to share these skills

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Team Work

If you have not read the Hunting and Gathering case (W 16-18; B 27-29), be sure you do. It is an interesting discussion of the

rise and fall of team work.

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Applying the Model

We need: a means to act as a team and yet

maintain individuality a means which can be used

regardless of content accurate communication with

common understanding PS/DM based on facts and data

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Rational Management

Rational Management means making full use of the thinking ability of the people in an organization continuing process individual payoff is great / organizational

payoff is far greater major change / major commitment conscious use of common approaches

expressed in simple, common language