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1. What is Problem? 3. Steps to Problem Solving 5. Case Study on USP Tool. Introduction to Case. Introduction to USP Tool.

l. implementation of Tool. Conclusion. 7. Case Study on Appreciation Tool.

2. What is problem solving? 4. Techniques of Problem Solving 6. Case Study on Value Chain Tool. Introduction to Case. Introduction to value Chain Tool. Implementation of Tool. Conclusion.

Most people rush to find solution before knowing the real problem.

unknown

Problem is a chance for you to do your best. A problem is the difference between the actual state and desired state. A problem is an opportunity for improvement.

Most people spend more time and energy going around problems than in trying to solve them.
Henry Ford

Problem solving is a tool, a skill and a process.

It is a tool because it can help you to solve an immediate problem or to achieve a goal.

It is a skill because once you have learnt it you can use it repeatedly, like the ability to ride a bicycle, add numbers or speak a language.

It is also a process because it involves a number of steps.

STEPS:
1.Identify the problem Involves identifying the problem in order to find an appropriate solution. 2.Explore the problem Looking at the problem from different angles. Such as: How is this problem affecting ?

3.Set goals After having thought about the problem from different angles one can identify their goals.

4.Look at Alternatives Involves brain-storming for ideas to collect a list of possibilities.

5.Select a possible solution Choosing the most relevant and manageable alternative.
6.Implement a possible solution Putting the chosen solution in action. 7.Evaluate Examining the possible solution for its effectiveness. For e.g.: How effective was that solution?

Appreciation

- Extracting maximum information from facts. - Breaking problems down into manageable parts.

Drill-Down

Cause

& Effect Diagrams - Identifying likely causes of problems.

Systems

Diagrams - Understanding how factors affect each other. - Analyzing strengths, weaknesses, opportunities and threats. Flow Forecasting with Spreadsheets - Analyzing whether an idea is financially viable.

SWOT

Cash

Risk

Analysis Porter's Five Forces Understanding the balance of power in a situation. Analysis - Understanding "big picture" forces of change. Chain Analysis - Achieving excellence in the things that matter. USP Analysis - Finding competitive edge

PEST

Value

Dan Jackson, the new CEO of LPC Office Supplies. He was confused by the situation he'd inherited, and felt that the company was drifting. He was worried that the company had no distinctive market position (no competitive edge) He decided to use USP Analysis.

It's your "Competitive Edge". Its the reason why customers buy from you and you alone.

Process :
1. Understand the Characteristics that Customers Value. 2. Rank Yourself and Your Competitors By These Criteria. 3. Identify Where You Rank Well. 4. Preserve Your USP (and Use It!).

1. Understand the Characteristics that Customers Value.


After talking to the company's biggest customers,
Dan has identified the following criteria as important: - Price - Quality of merchandise - Range - Catalog quality - Website appearance and navigation - Ease of ordering - Speed of delivery - Reliability of delivery.

LPC SUPPLIES
PRICE QUALITY RANGE CATALOGUE QUALITY WEBSITE EASE OF ORDERING 7 7 9 9 9 7

BARNWICK SMITH
9 7 6 7 7 7

ROSKAN GROUP
6 7 5 6 6 7

HTX SUPPLIES
6 7 9 9 8 6

SPEED OF DELIVERY
RELIABILITY

6
7

7
7

9
9

9
9

Dan is sure that LPC can compete effectively against these competitors by emphasizing the breadth of its range and the quality of its catalog. Dan decides to invest in LPC's website and its customer service systems, with a view to opening up a clear gap between itself and HTX. And he then launches a marketing campaign stressing LPC's USP.

Appreciation is a technique used by military planners, so we will take a military example: Fact: It rained heavily last night

So What? The ground will be wet So What? It will turn into mud quickly So What?

If many troops and vehicles pass over the same ground, movement will be progressively slower and more difficult as the ground gets muddier and more difficult.

So What? Where possible, stick to paved roads. Otherwise expect movement to be much slower than normal.

While

it would be possible to reach this conclusion without the use of a formal technique,
provides a framework within which you can extract information quickly, effectively and reliably.

Appreciation

Lakshmi is a software development manager for a software house. She and her team handle short software enhancements for many clients.

Complaints regarding product & service quality.


Demand has fallen. She plans to use Value Chain Analysis to deliver excellent service to their clients.

Value Chain Analysis helps you identify the ways in which you create value for your customers, And then helps you think through how you can maximize this value: Whether through superb products, great services, or jobs well done.

1.Activity Analysis:
Identify the activities to undertake to deliver your product or service. Include marketing of your products or services; sales and order-taking; operational processes; delivery; support.

2.Value Analysis: For each activity, you think through what you would do to add the greatest value for your customer. E.g. A telephone order-taking process, your customer will value a quick answer to his or her call. 3.Evaluation and Planning: Thirdly you evaluate whether it is worth making changes, and then plan for action.

During

the Activity Analysis :

She identifies the following Primary Activities that create value for clients: Order taking Enhancement specification Scheduling Software development Programmer testing Secondary testing Delivery

Lakshmi

also identifies the following Support Activities as being important: Choosing people who will work well with the team. Helping new team members to become effective.

Recruitment:

Training:

Giving

a quick answer to incoming phone calls; (order taking)

Having

a good knowledge of the customers business, situation and system, so that they do not waste the customers time with unnecessary explanation; (Specification)

Asking

all the right questions, and getting a full and accurate understanding of the customers needs; (scheduling) the development process to the customer and managing his or her expectations as to the likely timetable for delivery. (Delivery)

Explaining