In addition, pointed assignment of blame will leave co-workers reluctant to work with the team to fix a problem. {"appState":{"pageLoadApiCallsStatus":true},"articleState":{"article":{"headers":{"creationTime":"2016-03-26T15:43:27+00:00","modifiedTime":"2016-03-26T15:43:27+00:00","timestamp":"2022-09-14T18:05:59+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Project Management","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34249"},"slug":"project-management","categoryId":34249}],"title":"How to Write a Problem Statement for Six Sigma","strippedTitle":"how to write a problem statement for six sigma","slug":"how-to-write-a-problem-statement-for-six-sigma","canonicalUrl":"","seo":{"metaDescription":"The problem statement serves several purposes in a Six Sigma project. Key Takeaways: A problem statement evaluates an issue for a business and presents one or several solutions to highlight the necessity of fixing the problem. First, lets start by defining a problem statement. Why? Inventory levels are averaging 31.2 days, with a high of 45 days. They help to meaningfully outline objectives to reach effective solutions. Nobody thinks that having claim forms with errors is good. Neil DeCarlo was President of DeCarlo Communications. There can also be some differences in opinion about what a problem statement should look like. 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It can also help you develop some case studies to illustrate the problem. BUSINESS MODEL COMP. Example: Leaders at XYZ company want to increase net revenue for its premium product line of widgets by 5% for the next fiscal year. Neil DeCarlo was President of DeCarlo Communications. The second project description is a more effective example. For example, if a truck axle snaps in half during the final sprint of a construction project, the who is the construction site and the what is the inability to transport material around the construction site. The order in which those questions were asked will also provide a simple outline for presenting the problem statement. Lack of focus and distraction are a persistent problem. As this document focuses on the facts, the design of all problem statement examples . 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. She holds a bachelor's in English Creative Writing and Communication Studies and lives in Denver, Colorado. Use this guide to create action items to alleviate project management pain points and keep your team moving in the same direction. For the government, it could be improving public health. It also serves as a great communication tool, helping to get buy-in and support from others. Following are examples highlighting the depth and quantification of a Six Sigma project definition. This means that interactive check-ins are critical to solving tough problems. It can be useful for exploring issues and potential solutions that impact specific groups of people. Weve all encountered problems on the job. He is an operations executive and internationally recognized Lean Six Sigma thought leader and practitioner. Problem management is a processused mostly . ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9792"}},{"authorId":9793,"name":"Neil DeCarlo","slug":"neil-decarlo","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. Franais, EN | While the exact words may differ from example to example, the main parts of an effective problem statement are fundamentally the same. While these examples represent three types of problems or goals, keep in mind that there can be many other types of problem statements. Bruce Williams is Vice President of Pegasystems, the world leader in business process management. Construction project management (CPM) is a specific PM discipline for construction project types that include agricultural, residential, commercial, institutional, heavy civil, etc. Define the business need and the expected outcome of the project. Two methods a project manager can use include the five Ws (who, what, when, where, why) and the five whys. Here are a few elements that make for an effective problem statement: Focused and Concise: A problem statement should be based on fact and should be just a few sentences. Its also specific and descriptive without being prescriptive. 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. One example is outlined in the book, The Conclusion Trap: Four Steps to Better Decisions, by Daniel Markovitz. Forty-five percent of the claim forms have errors, with an average of 2.3 defects per form.\n
This problem has existed since claims processing was moved to Kansas City in March 2012. Problem management is an 8 step framework most commonly used by IT teams. Innovative research featured in peer-reviewed journals, press, and more. Does the statement stimulate brainstorming and discussion? 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%?. When problem statements are well written, people readily grasp and understand what youre trying to accomplish.\nWrite the problem statement with the audience in mind. A problem statement is a short, clear explanation of an issue or challenge that sums up what you want to change. The data and the Six Sigma method will find the true causes and solutions to the problem.
\nRemoving 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. 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. Collect the index cards and post them on a whiteboard. This can help position you and your team to avoid getting stuck in constant fire-fighting mode. Bruce Williams is Vice President of Pegasystems, the world leader in business process management. Deutsch | Keep in mind that you probably have to both convince management to provide resources to solve the problem and enlist team members to assist you; you dont want to spend your precious time explaining over and over what youre trying to accomplish. Note that the statement specifies net revenue instead of gross revenue." BIG PICTURE WHAT IS STRATEGY? Struggling with organizational performance? Simplify Be clear and concise. Or an effective one? Then you'll be ready to take on more challenges large and small. In developing a problem statement, it helps to think like a journalist by focusing on the five Ws: who, what, when, where, and why or how. 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. 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. SMAT - Smart, Measurable, Actual and Time-bound Example 1: Problem Statement The company has been producing a lot of defects. Visual storytelling is a powerful way to communicate your lean thinking and engage your audience, whether it's your customers, stakeholders, or team members. The approach a project manager takes in understanding a fully-formed problem statement will lay the foundation of a project managers personal problem statement style. 1. Understand the client's or stakeholder's needs. 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.
\nThe 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.
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