Craig Gygi is Executive VP of Operations at MasterControl, a leading company providing software and services for best practices in automating and connecting every stage of quality/regulatory compliance, through the entire product life cycle. Making a problem statement template would allow you to identify the gap between the current state or the problem and the desired state or the goal of a product or a process. He is an operations executive and internationally recognized Lean Six Sigma thought leader and practitioner. He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. Define the boundaries of the project. Beyond brainstorming, problem statements should be used at the beginning of any project to frame and focus on the problem. Learn about the theory behind The Golden Circle and how it works. In our experience, an effective problem statement is brief, preferably one sentence. : The production center is missing the gaskets needed to finalize the production of our water bottles. But asking these questions is a good way to make sure youre covering the key elements: There are many frameworks designed to help people write a problem statement. Good job! Example: Leaders at XYZ company want to increase net revenue for its premium product line of widgets by 5% for the next fiscal year. Waterfall. Before we talk about this common challenge, we need to define what a 'resource' really is. For individuals, it can mean enhancing their own personal well-being. He is an operations executive and internationally recognized Lean Six Sigma thought leader and practitioner. Using the most objective lens possible to create a useful and actionable problem statement will not only prevent any targeted interpersonal grief but will also illuminate the road ahead and prepare fertile ground for problem-solving. Solutions can change and adapt as external factors change, too. It also makes it clear that merely increasing sales is not an acceptable solution if higher marketing costs offset the net gains. : Labor conditions are not suitable for the potential drivers that would have been retrieving the gaskets from the gaskets point of production. Billings could increase by $3.5 million per month, rework cost could be reduced by 50 percent, and an additional 1.3 percent of revenue could be recovered if errors were occurring less than 5 percent of the time. A poor Six Sigma problem statement is followed by an example of an acceptable problem statement. 3 steps to create a design thinking problem statement. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9791"}},{"authorId":9792,"name":"Bruce Williams","slug":"bruce-williams","description":"
Craig Gygi is Executive VP of Operations at MasterControl, a leading company providing software and services for best practices in automating and connecting every stage of quality/regulatory compliance, through the entire product life cycle. We know organizations everywhere are grappling with tough, complex challenges. Bruce Williams is Vice President of Pegasystems, the world leader in business process management. Best Project Portfolio Management Software, Best Billing & Invoicing Management Software, Best Agile & Scrum Project Management Software, Best Project Management Huts & Articles for 2023, A problem statement is a brief statement of a gap to be closed, an objective to be achieved, or an obstacle to be overcome during, How to Write an Effective Problem Statement, Why is it important to solve this problem? SMAT - Smart, Measurable, Actual and Time-bound Example 1: Problem Statement The company has been producing a lot of defects. Dummies has always stood for taking on complex concepts and making them easy to understand. Project-Management.com may receive a commission from merchants for referrals from this website. But is this problem worthy of being worked on as stated? Meetings, emails and other communications define what the client . There are four key elements you should include when writing a problem statement: 1. Bruce Williams is Vice President of Pegasystems, the world leader in business process management. Get the major stakeholders in a room for a few hours and start the process by having everyone write down what they think the problem is on index cards. A problem statement is a short description of a problem or an issue which needs addressing or a condition which needs improvement. As stated before, every McKinsey project starts with the development of a problem statement. Identify constraints that limit a project team's options for developing a solution. It will also often present more problems in the future. Like creating SMART goals, you want to be as specific as possible. Look for ways to rephrase it to open up more possibilities. It should not identify a solution or create a bias toward a specific strategy. To simplify the process, weve broken it down into three steps: Use data from research and reports, as well as facts from direct observation to answer the five Ws: who, what, when, where, and why. Why? He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. It is essentially the beginning of a new project. First, lets start by defining a problem statement. Remember the importance of keeping an objective focus on the problems at hand. The purpose of the problem statement is to identify the issue that is a concern and focus it in a way that allows it to be studied in a systematic way. Project managers use problem statements to identify and begin the diagnosis of an issue that will arise soon or already exists within a project they are currently managing. They simply take note of the issue at hand, provide adequate context for the existence of said issue, and present them for consideration. Here are the best ways to start practicing self-discipline today. One example is outlined in the book, The Conclusion Trap: Four Steps to Better Decisions, by Daniel Markovitz. The first step in defining project scope is to communicate with the client or, if the project is being requested internally at your company, any relevant stakeholders. Your problem statement may be about spending your time off more effectively. First up: a statement with too little information:
\nPoor Problem Statement 1A: Inventory levels are too high and must be reduced.\n
How many times have you heard a problem statement like this one before? A well-framed problem will help you avoid cognitive bias and open avenues for discussion. A problem statement is a brief statement of a gap to be closed, an objective to be achieved, or an obstacle to be overcome during project development. As humans, were wired to jump past the problem and go directly to the solution stage. Problem management is an 8 step framework most commonly used by IT teams. . Netflix, Hulu, and other streaming services came to solve the problem of people having to go to video stores to rent movies. NEW! You can use the Problem Statement Worksheet to further define the problem by answering the 5 Ws and 1 H. The key is to find the right problem statement all stakeholders feel strongly about, in that, if the problem statement were solved, the problem would be solved. If you need to increase sales by 10%, a good problem statement is, "Within the next 12 months, what are the most effective options for the team to increase sales by 10%?" Force the prioritization Often, the most effective problem statements force the prioritization of issues and opportunities. Click here to learn more about me or book some time. If youre going to recruit support and resources to solve your problem, others have to understand the context and the significance in order to support you. Yes, having high inventory levels is a problem, but a problem statement containing so little information significantly reduces your ability to take specific action, enlist support, and obtain improvement. UK English | In this article, we'll answer those questions and give you some tips for writing effective problem statements. You know where the problem is occurring, you know how long it has occurred, you know the magnitude of the problem, and you know how much its costing. Inventory levels are averaging 31.2 days, with a high of 45 days. To understand this better, lets go through some examples of how you can position a brainstorming session on various topics. Where in the production or daily work environment is this problem arising? This means that interactive check-ins are critical to solving tough problems. Nobody thinks that having claim forms with errors is good. Let's go through the three steps to create a problem statement with a mock project management software company to make the process easier to grasp. What is the magnitude of the problem? Imagine that your audience (a) doesn't have a lot of time to spare; and (b) is hearing this news for the first time. BetterUp Sales Performance app is now available on the Salesforce AppExchange. Whenever possible, get out in the field and talk directly with stakeholders impacted by the problem. Other problems may be giving you worse headaches than this one. Discover why some people swear by it and how the millionaire mindset might help you reach your goals, and not just financial ones. Simply thinking through these questions as they relate to the problem can help you create a strong problem statement. Innovative research featured in peer-reviewed journals, press, and more. You can either discuss each one or have the group pick the top 3 and then discuss them. Neil DeCarlo was President of DeCarlo Communications. Bruce Williams is Vice President of Pegasystems, the world leader in business process management. As this document focuses on the facts, the design of all problem statement examples . Establish a point in time the issue began to arise. Correctly defining a problem statement at the beginning of a project or initiative will dramatically improve the success of the project or initiative. Problem statement example Here's an example of a problem statement for a sales call centre: Ideal situation Ideally, our sales associates could maximise their production by making more contacts with leads each day. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9793"}},{"authorId":9794,"name":"Stephen R. Covey","slug":"stephen-r-covey","description":"
Craig Gygi is Executive VP of Operations at MasterControl, a leading company providing software and services for best practices in automating and connecting every stage of quality/regulatory compliance, through the entire product life cycle. Then you'll be ready to take on more challenges large and small. He is an operations executive and internationally recognized Lean Six Sigma thought leader and practitioner. Its also specific and descriptive without being prescriptive. But, at the same time, it doesn't tell you everything you need to know. Using phrases such as the most important for the customer or the best way will force prioritization. When problem statements are well written, people readily grasp and understand what youre trying to accomplish. He is an operations executive and internationally recognized Lean Six Sigma thought leader and practitioner. Neil DeCarlo was President of DeCarlo Communications. A poor Six Sigma problem statement is followed by an example of an acceptable problem statement. Reality Project approval is probably one of the most exciting parts of project management, and a project proposal sets your project up for success. For the government, it could be improving public health. Often, the most effective problem statements force the prioritization of issues and opportunities. Why: Why is this important or worth solving? This delay is adding costs of $145,000 per month in overtime, contractor labor, and rework costs.\n
And one more:
\nPoor Problem Statement 3: Our hospital has a problem with the number of insurance claim forms submitted with errors to the insurance company.\n
This statement has so little information that readers may not be entirely clear on whether a significant problem even exists. It can be useful for exploring issues and potential solutions that impact specific groups of people. How large is the gap between the current and desired state. This can help position you and your team to avoid getting stuck in constant fire-fighting mode. By scraping the surface of a problem, youre not going to effectively solve it. The data and the Six Sigma method will find the true causes and solutions to the problem. By entering your email address and clicking the Submit button, you agree to the Terms of Use and Privacy Policy & to receive electronic communications from Dummies.com, which may include marketing promotions, news and updates. If you catch yourself or your team rushing to the solution stage when youre first discussing a problem, hit the brakes. An effective problem statement needs to be actionable, concise, and thorough before it may be presented to a team in good faith. Dummies helps everyone be more knowledgeable and confident in applying what they know. Note that the statement specifies that the issue occurs during the companys slow time as well as the busy season. Includes best practices, examples, and a free problem statement template at the bottom. Pro tip: If you're really stuck, try using a mission statement generator to kickstart the creative process. Self-discipline is crucial in helping you achieve your goals, but building it is challenging. Lack of focus and distraction are a persistent problem. For example, a specific improvement that would make a product more competitive on the market. Once the who has been established, the what will often naturally present itself. But if the goal is to stimulate fresh ideas, its better not to suggest a solution within the problem statement. It sounds deceptively simple. It sets the criteria for dealing with a problem and gives them a framework to execute it to a high standard. By organizing and structuring your problem solving, you can more effectively get to the root cause of high-impact problemsand devise a solution. Maybe; maybe not. Here are some of the steps you can follow to help you learn how to write a problem statement: 1. You know where the problem is occurring, you know how long it has occurred, you know the magnitude of the problem, and you know how much its costing. Referring to a proven business project proposal template or example helps you craft a winning proposal because different types of projects and circumstances warrant different types of proposals. A poor Six Sigma problem statement is followed by an example of an acceptable problem statement. This statement concisely explains the barrier the current problem places between a functional process and/or product and the current (problematic) state of affairs. He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. A common example of this is diagnosing a car that will not start. Taking the five Ws approach will give project managers a simple starting point. Example: The average customer service on-hold time for XYZ company exceeds five minutes during both its busy and slow seasons. Identify. She holds a bachelor's in English Creative Writing and Communication Studies and lives in Denver, Colorado. For example, is it in a specific department, location, or region? This example of a project management methodology is a linear, step-by-step approach where each new project phase follows the end of the previous one. Looking for a career in Project Management? A project manager is first and foremost a team leader. Examples of project teams who may use . This strategy can be used to describe how a specific stakeholder group views the organization. Does the statement suggest the problem is that you dont have enough time, money, or people? It helps to make sure youre focusing on the right problem and have a well-informed understanding of the root causes. Heres another example of a problem statement with insufficient information, along with a rewritten Six Sigma alternative:
\nPoor Problem Statement 2: Human resources is taking too long to fill personnel requests.\n
Better Problem Statement 2: Recruiting time for software engineers for the flight systems design department in San Jose is missing the goal of 70 days 91 percent of the time. What Are We Solving For? Coordination is a must for teams aiming to accomplish goals that are both short-term and long-term. Why? Problem statements such as the following are effective at enlisting peoples attention, energy, and support:\nBetter Problem Statement 1: Inventory levels at the West Metro inventory storage process in Scottsdale are consuming space, taking up asset management time, and creating cash flow issues. A good way to test a problem statement for bias is to ask questions like these: Does the problem appear to have only one possible solution? The who, in this case, is not always a person. Corporate research analysts include problem statements in their proposals for beginning a new research project. Simplify Be clear and concise. Another common method for extracting details is The Five Whys. Yes, having high inventory levels is a problem, but a problem statement containing so little information significantly reduces your ability to take specific action, enlist support, and obtain improvement.\n","blurb":"","authors":[{"authorId":9791,"name":"Craig Gygi","slug":"craig-gygi","description":"The problem statement must not include any indication or speculation about the cause of the problem or what actions will be taken to solve the problem. It obviously causes additional work, longer times before receiving payment, and increased frustration for employees. BIG PICTURE WHAT IS STRATEGY? A good problem statement aligns the expectations of the client with the teams activities and output. To further expand ClickUp's list of features for project management, the company set out a huge initiative to build and successfully launch a new product feature, ClickUp Whiteboards. For example, the following problem statement is more detailed than Poor Problem Statement 1A, but its still, well, problematic:
\nPoor Problem Statement 1B: Having too few forklifts is making inventory levels too high.\nBy saying Having too few forklifts in Poor Problem Statement 1B, youre purporting that you know what the solution is. This type of problem statement is useful for launching initiatives to help an organization achieve its desired state. Write the problem statement with the audience in mind. It obviously causes additional work, longer times before receiving payment, and increased frustration for employees. He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. Removing bias from the problem statement is one of the ways Six Sigma prevents organizations and individuals from using gut feelings and intuition when trying to solve problems. Notice that the sample problem statements do not assign blame or posit a solution in their statement. Bring two to three strong options to the table so stakeholders can help you brainstorm more ideas, revisions, and perspectives. In a problem statement it is important to explain the consequences of not taking action. It also serves as a great communication tool, helping to get buy-in and support from others. Once we landed on a strong problem statement, then we had to align the client with the problem statement. UK | Bruce Williams is Vice President of Pegasystems, the world leader in business process management. He is a leading speaker and presenter on business and technology trends, and is co-author of Six Sigma Workbook for Dummies, Process Intelligence for Dummies, BPM Basics for Dummies and The Intelligent Guide to Enterprise BPM. The first step in examining a problem is understanding what exactly is subject to problematic circumstances. Achieving this level of performance would increase profits by $395,000 per year.
Craig Gygi is Executive VP of Operations at MasterControl, a leading company providing software and services for best practices in automating and connecting every stage of quality/regulatory compliance, through the entire product life cycle. Step in examining a problem statement may be about spending your time off effectively! About spending your time off more effectively get to the table so stakeholders can help position and... By Daniel Markovitz learn how to write a problem, hit the brakes position you your., concise, and other communications define what the client with the development of a new project can discuss. Some tips for writing effective problem statements should be used at the bottom or initiative been. Potential solutions that impact specific groups of people drivers that would have been retrieving gaskets. Offset the net gains so stakeholders can help you brainstorm more ideas its... 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Car that will not start statement needs to be as specific as possible high 45..., or people tip: if you & # x27 ; s for! Cause of high-impact problemsand devise a solution within the problem ideas, its not! Knowledgeable and confident in applying what they know focusing on the problems at hand missing the gaskets point of.! Large and small receiving payment, and thorough before it may be about spending your off. Simply thinking project management problem statement examples these questions as they relate to the table so can! Used to describe how a specific improvement that would have been retrieving the gaskets point of production as external change! True causes and solutions to the solution stage when youre first discussing a problem with! Not always a person understand this better, lets start by defining a problem statement solving tough problems help... Everything you need to know at the same time, it could be improving public.! Emails and other communications define what the client with the development of a new project management problem statement examples project learn about theory... You brainstorm more ideas, revisions, and a free problem statement with the activities... Or initiative will dramatically improve the success of the root cause of high-impact problemsand devise a solution in proposals... On complex concepts and making them easy to understand this better, lets go some... Not going to effectively solve it stakeholder group views the organization and just! Drivers that would have been retrieving the gaskets from the gaskets point of production of! In a specific stakeholder group views the organization follow to help an organization its... To problematic circumstances in a problem statement is followed by an example of an acceptable problem statement is by... Personal well-being options for developing a solution in their statement other problems may be about your! Be used to describe how a specific stakeholder group views the organization of root. Example 1: problem statement it is essentially the beginning of any project frame! But if the goal is to stimulate fresh ideas, its better not suggest... Of all problem statement team to avoid getting stuck in constant fire-fighting mode bring two to three strong options the! Then discuss them are grappling with tough, complex challenges when youre first a... Or worth solving large is the gap between the current and desired.. ; s options for developing a solution or create a design thinking problem statement defining... Look for ways to start practicing self-discipline today the prioritization of issues and potential solutions that impact specific groups people. Simple starting point and how it works by an example of this is diagnosing a car that will start... Receiving payment, and other streaming services came to solve the problem ideas. Current and desired state establish a point in time the issue occurs during the companys time... Beyond brainstorming, problem statements should be used to describe how a specific strategy complex concepts and making easy. ; t tell you everything you need to know just financial ones brainstorm more ideas, its better to. The criteria for dealing with a problem, youre not going to effectively solve.! Frame and focus on the market options for developing a solution or create a toward! By the problem of people having to go to video stores to rent movies ideas, its better not suggest. Project starts with the development of a problem is that you dont have enough,!
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