Problem Solving and Continuous Improvement

The most important tools you will use to improve the total quality of your organization are the problem solving and continuous improvement process that your organization has adopted. Notice that there is a clear distinction between problem solving and continuous improvement. Each process has a specific definition and a specific application, and it is imperative that you use the right process in the right situations.

Problem Solving Defined
Webster's defines a problem as “a question, matter, situation, or person that is perplexing or difficult.” That definition is fine for grammatical purposes, but it doesn’t help us much with problem solving in an organizational environment. A more functional definition of a business-related problem is “a deviation from the normal or expected for which the cause is unknown and for which one would like to determine the cause and find a solution.” Let’s look at an example to clarify our definition. Suppose, at the end of work today, you get in your car, you put the key in the ignition and turn it. The normal or expected result would be that the engine would start and you would be able to drive home. Today, when you turn the key, nothing happens. That’s a problem. A deviation from the normal or the expected. Do you want to find the cause and determine a solution? Of course. Something happened to cause the problem. Some kind of change took place. By finding what changed, you will find the cause of the problem. The cause of a problem is always found in some kind of change. Find the change, and you have found the cause. Put the situation back to the way it was, and you have solved the problem.

Continuous Improvement Defined
Continuous improvement is defined as “the ongoing process of making small changes in order to improve output or performance.” Continuous improvement is the opposite of problem solving. You are purposefully trying to change the normal or the expected in a positive direction. You are trying to make a change in the system that will cause a change in the outcome. Let’s use the automobile example again. Let’s say you are averaging 19 miles per gallon of gasoline, and you want to increase the fuel efficiency of your car. You begin to look for ways to improve your mileage. Each time you come up with an idea, you make a change in the process of how you maintain or drive your car. This change causes improvement. A series of small changes can result in a big improvement and give you increased fuel efficiency.

There are many different models for problem solving and continuous improvement, but the following are examples of the seven-step processes that your organization can choose to adopt, which are highly effective.

The Seven-Step Problem Solving Process

1. State the problem. What is the deviation from the standard?
2. Specify the problem. Describe what the problem IS and IS NOT. The more specific you make your problem description, the closer you will be to finding the cause.
3. Find the differences between the IS and the IS NOT.
4. Brainstorm possible causes. What are some changes that could have caused this problem?
5. Test the most likely cause. Which of these possible causes is most likely to be the cause of this problem?
6. Validate the cause. What can we do to prove that the most likely cause is the real cause of the problem?
7. Develop the solution. What action(s) can we take to undo the change that caused this problem?

The Seven-Step Continuous Improvement Process

1. Select the condition to improve.
2. Define how to measure the condition. Before you can improve a condition, you must be able to measure it.
3. Set a target.
4. Gather facts to define the condition as it is now.
5. Generate improvement ideas.
6. Select, test, and adopt improvement ideas.
7. Establish, document, and discipline new procedures.

Problem solving and continuous improvement are very similar. In both cases, you are trying to understand how change affects results. In problem solving, you are trying to find the change that caused a negative deviation from the standard. In continuous improvement, you are trying to cause a positive deviation from the normal by introducing change. In either case, it is essential that these processes become standardized or “institutionalized.” When these processes are institutionalized,

• everyone on your team is taking the same approach to solving problems and improving processes;
• everyone is speaking the same language;
• anyone from your organization (even if they are not members of your team) can study the solutions or improvement steps you are planning and understand how you arrived at them; and,
• people feel empowered because they are using a method that has been sanctioned by the organization.

Most importantly, you will give your business a competitive advantage when the people in your organization genuinely recognize that problem solving and continuous improvement are simultaneously opportunities and obligations. The opportunity is the empowerment that comes from having a tool, recognized throughout your organization, for solving a problem or improving a process. The obligation is the requirement that the tools be used to improve the total quality of your organization.

If problem solving and continuous improvement could benefit your business, our research and strategic planning professionals can help you. Call us toll-free at 1-800-999-6615, email us at mail@tweedweber.com, and/or visit us on the web at www.tweedweber.com. Also, be sure to follow us on LinkedIn (Tweed-Weber, Inc.) and Twitter (@TweedWeber). We’re ready to work for you in a way that will enhance the way your business operates today and in the future.

Why do you need market research data?

It all depends on who you are.

In our business travels, many people ask us why they would need market data, and who within their organization would use research data in a way that is effective and actionable. In a nutshell, any individual or organization that requires any data or knowledge about themselves or their market will use some form of secondary or primary market research.

Secondary Research

Secondary research is based on information gleaned from studies previously performed by government agencies, chambers of commerce, trade associations and other organizations. It also includes Internet and database searches for information that currently exists in the market and is available for free access or purchase.

Primary Research

Primary research is tailored to a company’s particular needs. By customizing tried-and-true approaches (telephone interviews, focus groups, Internet surveys, field tests, etc.), you can gain invaluable information about your customers and target market. Primary research delivers more specific results than secondary research, which is an especially important consideration. In addition, primary research is usually based on statistical methodologies that involve a sampling of your target market.

It is important to remember that secondary research lays the groundwork and primary research fills in the gaps. Organizations that use both types of market research acquire a well-rounded view of their market and have the information they need to make important business decisions.

How research is used depends on your function or area of focus. The following are just a few examples of how different functions use research. The data that is being gathered can be tailored to a functional need, or broad information can be gathered that will benefit all functions at the same time.

Marketing Management

Research focus: All tactical and strategic marketing, segmentation, brand and product positioning decisions, marketing planning, forecasting, etc.

General Management

Research focus: Corporate and strategic plans, acquisitions and divestments, capital purchases, investments, etc.

Sales Management

Research focus: Understanding purchasing trends, competitors, pricing, customer needs/expectations, tactical sales plans, etc.

Customer Service Management

Research focus: Understand customer satisfaction, areas of strength/weakness, areas for improvement, incidental customer issues, CSR performance, etc.

Quality Management

Research focus: ISO/QS requirements for customer feedback, quality standards, quality specifications and adherence, etc.

Technology Management

Research focus: Technology trends and forecasting, technical specifications and features, user preferences/behavior, technologies to integrate/acquire (or get out of), etc.

Tweed-Weber’s research makes it easy to get the information you need to make important, strategic decisions with clarity and confidence. You call us toll-free at 1-800-999-6615, email us at mail@tweedweber.com and/or visit us on the web at www.tweedweber.com. Also, be sure to follow us on LinkedIn (Tweed-Weber, Inc.) and Twitter (@TweedWeber). Whether your research project is large or small, you can be assured that Tweed-Weber has the resources, skills and experience to provide the information and results you need.