1. Rational and Creative Problem Solving

2. If there were no problems there would be no need for managers
Managerial Success Depends on Making the Right Decisions at the Right Times.

3. Approaches
Rationale problem solving
Creative problem solving

4. Rationale Problem Solving
What are the steps?
When is this the most effective method? A B C

5. What Are the Steps for Rational Problem Solving?
Decision Making
Follow-through

6. STEPS Problem Awareness Define the problem Decision Making Implement
Generate alternative solutions
Evaluate and select an alternative
Implement
Follow-through
follow up on the solution

7. Problem Awareness Establish Trust Clarify Objectives
Assess the Current Situation
Identify Problems
Routine Problems
Nonroutine Problems
Flowcharts

8. Defining the problem Fact not opinion or speculation
Broad participation
Agree on what the problem is!
State the problem explicitly
Identify what “standards” or “expectations” were violated or need to be addressed
Whose problem is this?
Problem not solution

9. Problem Definition
Problems not solutions
Cause-and-effect Diagram

10. Exhibit 9.3: Cause-and-effect Diagram

11. Decision Making Establish Decision Making Criteria
Specific, Measurable, and Attainable
Complementary
Ethical
Acceptable
Develop Action Alternatives

12. Generate alternatives
List all alternatives before evaluating them
Broad participation
Solutions must be consistent with organizational goals
Synergy can turn bad ideas into good ones
Keep focused on problem

13. Constraints Alternatives are often evaluated as they arise
Few of the many possible solutions are known
The first acceptable solution usually is accepted
Alternatives are based on what was successful in the past

14. Decision Making (continued)
Evaluate Benefits and Risks of Alternatives
Certainty
Known Risk
Uncertainty
Turbulence
Decide on a Plan

15. Decision Making (continued)
Decide on a Plan
Perfect Rationality
Bounded Rationality

16. Constraints Satisfactory not optimal solutions are usually accepted
Usually limited information about alternatives is available
Solutions are often implemented before problem is defined
Preferences usually aren’t known

17. Implementation
How can we maximize the probability that our solution will be accepted and fully implemented?
Importance of feedback
Engenders “buy-in”
Evaluation: did it solve the problem?

18. Constraints It may take a long time
Acceptance by others not always forthcoming
Resistance to change
What should be followed-up and evaluated
Politics!

19. Action Plan Implementation
Assign Tasks and Responsibilities
Establish an Implementation Schedule
Gantt Chart

20. Exhibit 9.5: Gantt Chart

21. Follow-Through Establish Criteria for Measuring Success.
Monitor the Results.
Take Corrective Action.

22. When Is Participation Appropriate for Decision Making?
Degrees of Decision Participation
Autocratic
Consultative
Group

23. Criteria for Participation
Quality Requirements

24. Criteria for Participation
Quality Requirements
Acceptance Requirements

25. Criteria for Participation
Quality Requirements
Acceptance Requirements
Time Requirements

26. Choosing the Appropriate Degree of Participation

27. Exhibit 9.7: Decision Tree for Decision Making Participation

28. Advantages and Disadvantages of Group Decision Making

29. Advantages and Disadvantages of Group Decision Making (continued)
Advantages Making Decisions in Groups
Disadvantages of Making Decisions in Groups
More Time Investment
Individual Agendas
Shared Responsibility
Pressure to Conform
Groupthink

30. Advantages and Disadvantages of Group Decision Making (continued)
The Manager’s Role Is Making Group Decision Effective.

31. When rationale problem solving won’t work…
Outcomes unpredictable
Sufficient information isn’t available
Means-ends connections aren’t clear
try…

32. Creative problem solving
Getting past our personal (conceptual) roadblocks and finding creative solutions

33. Encouraging Creativity
Characteristics of Managers Who Generate Creativity
Absorb Risks
Can Live with Half-developed Ideas
Stretch Normal Policies
Good Listeners
Don’t Dwell on Mistakes
Trust Their Intuition
Are Enthusiastic and Invigorating

34. Encouraging Creativity (Continued)
Promoting Creative Thinking in Organizations
Brainstorming
Nominal Group Technique
Delphi Technique
Group Decision Support Systems

35. Conceptual blocks Constancy: one way of looking at things
One thinking language

36. Conceptual blocks Commitment: sticking with it
Perceptual Stereotyping based on past experience
Ignoring commonalities

37. Conceptual blocks Compression: narrow focus Artificial constraints
Separating figure from ground

38. Nine dot problem

39. Conceptual blocks Complacency: fear, laziness, ignorance
Non-inquisitiveness
Bias against thinking

40. Removing the roadblocks
Focus is on improving one’s mental abilities and habits and cultivating dormant skills

41. Stages in creative thought
Preparation
Gathering data
Defining the problem
Generating/examining alternatives
Incubation
Illumination
verification

42. Gathering data
“dance around the problem”

43. Improving problem definition
Make the strange familiar and familiar strange
Synetics
Analogies: personal, direct, symbolic, fantasy

44. Elaborate on the definition
Is there anything else?
Is the reverse true?
Is there a more general problem?
Can it be stated differently?
Who sees it differently?
What past experience is this like?

45. Reverse the definition
Janusian thinking: Thinking contradictory thoughts at the same time

46. Generating more alternatives
Fluency and flexibility
Defer judgment: Brainstorming
Expand current alternatives: subdivision
Combine unrelated attributes
Morphological forced connections
Relational algorithm

47. Foster innovation Pull people apart; put people together
Monitor and prod
Reward multiple roles

48. Tips Break out of your routine: give yourself a break
Make thinking a priority
Talk to other people about ideas and about your problems
Read outside of your area of expertise
Avoid black holes