Problem Solving: integrated methodologies, tools and applications in Lean consulting

Traditional techniques and new approaches to solving problems

In the context of Lean consulting, it is highlighted that the Problem Solving approach is key to improving the efficiency and effectiveness of business processes. Indeed, lean consulting focuses on eliminating waste and optimizing resources, while Problem Solving becomes a key tool for identifying and solving the root causes of problems. This standardized and systematic methodological approach is based on facts, logic and data, and is applicable to both simple and complex problems. Correctly identifying the problem and understanding its origin is essential to adopt the most effective and sustainable solutions over time.

A problem occurs when there is a discrepancy between what should happen and what actually happens. This discrepancy must be significant enough to warrant corrective action. The problem is considered solved when there is at least one solution that can close the gap. However, to solve a problem, it is essential to first clearly define it. Problem setting, or the art of correctly formulating problems, is a crucial step in the effective application of Problem Solving and lean consulting, ensuring that the solutions adopted are aligned with the continuous improvement goals of the organization.

To define a problem well is largely to have solved it” (Benedetto Croce).

Problem setting is up to Top Management, Problem Solving to Middle Management and all resources involved in the problem.

Generally when we refer to problem-solving methods and techniques we refer to “problem solving,” perhaps because we prefer to emphasize the solving moment that frees us from the stress of the problem.

However, solving comes after setting, and is also less important hierarchically. Those who pose the problems generally have more power than those who have to solve them.

The Importance of Problem Solving in Lean Consulting: Optimization and Continuous Improvement

Problem solving, called “problem solving” for short, is a process that has these components:

  • Problem finding: realizing the discomfort.
  • Problem setting: define the problem.
  • Problem analysis: decompose the main problem into subproblems Work Breakdown Structure (WBS)
  • Problem solving: eliminating causes and answering questions posed by the problem
  • Decision making: deciding how to act based on the answers obtained
  • Decision taking: taking action

Key concepts related to Problem Solving include:

  1. Symptom (from Greek σύμπτωμα: fortuitous occurrence, accident, that which can happen). Symptom is a revealing condition, an indication of a phenomenon that evidences an abnormal condition that has occurred or is about to occur
  2. Problem: an issue, question, or assertion whose solution, answer, or justification is not immediately available, but must somehow be researched, through an executable and finite solution strategy [source Encyclopedia of Mathematics]
  3. Cause: Fact or event that causes a certain effect, which is the origin or occasion of another fact
  4. Solution: (from the Latin solvĕre: discharge) Overcoming a difficulty, solving a problem

The way we work on a daily basis is governed by cause and effect relationships. If we want to excel in our daily work, we must understand these relationships.

To achieve the correct solution or effect, it is necessary to go through understanding the problem, but before we have even solved a problem, it is difficult to define it well and establish a hierarchy of problems based on certain indicators:

  • Frequency (sporadic vs. chronic)
  • Complexity
  • Time required for resolution
  • Number of people to be involved
  • Type of tools to be used

The Key Methodologies for Problem Solving

Two key methodologies for Problem Solving are The Deming Cycle and the DMAIC method.

The Deming Cycle (or PDCA cycle, an acronym from the English Plan-Do-Check-Act, in Italian “Plan - Do - Check - Act”

It is an iterative methodology that guides the continuous improvement process through a cyclical action of sequential reiteration of the 4 phases that make up the so-called Deming's Wheel, named after inventor William Edwards Deming.

The phases

PhASE 1 - PLAN
Phase where the problem is clarified, its causes are analyzed, and potential solutions are proposed. The Operational Steps:

a. Observe the process and frame the problem. It means answering 6 questions: Who? What? Where? How? When? Why?

b. Measure the current state

c. Define the future state and goals to be achieved

d. Define the causes of the problemIdentify possible corrective actions

e. Identify the possible corrective actions

f.Validate corrective actions

This is the problem setting phase. It is a key stage because how the problem is defined influences the set of alternatives for the solution

A precise problem definition allows for:

  • act effectively to its resolution through the proper identification and subsequent elimination of its causes
  • highlight the crucial aspects on which to focus attention
  • reduce wasted energy devoted to activities inconsistent with the nature of the problem
  • contribute to the definition of criteria for the effectiveness of solutions

PhASE 2 - DO
Phase of implementing solutions and implementing corrective actions (through testing or pilot projects). Problem Solving fits into this phase.

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  • In defining the corrective action to be implemented, it is important to ask:
    why and how the proposed solution will change the situation toward the goal.
  • the consequences to the action taken, in practice whether the proposed action in addition to solving the cause of the problem, is technically sound (in terms of cost, time of implementation, reliability of the solution, the efficiency of the solution and acceptable to the people who will have to devote time , energy and commitment

PHASE 3 - CHECK
Phase of checking the effectiveness of the adopted solutions by comparing them with the expected objectives through the collection and evaluation of results. It is important to carefully collect data and information to verify the effect of introducing the corrective action on the process.

If the check was positive, one can enter the ACT phase, otherwise a new PDCA circle will be resumed. The elements gained from experimentation will enrich the original problem description.

PHASE 4 - ACT
Standardization of effective solutions and repeating the cycle if necessary. The Operational Steps:

a. Standardize the best improvement initiatives. This requires making necessary changes to: Procedures, instructions and work cycles, Plant, and equipment. It is If the tried-and-tested methodologies have brought important benefits it is suggested that they be extended to similar processes.

b. Make sure that the standards are implemented by everyone. It is suggested that regular audit plans be defined and launched

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The DMAIC Method (Defining, Measuring, Analyzing, Improving and Controlling )

The DMAIC approach originates in Six Sigma, which in the context of lean consulting has the main objective of solving a problem related to defects or failures, deviations from a target, excessive costs or wasted time, etc.

The DMAIC methodology is structured in 5 sequential phases based mainly on the application of statistics for process analysis. The first 3 stages characterize the problem, while the last 2 focus on solution implementation and process optimization

The phases:

Define: Identification of the problem and objectives.
In detail, this phase consists of several steps:

  • Operational Scaling
  • Economic downsizing
  • Identification of the ring or perimeter of intervention
  • Construction of the Working Team
  • Defining the goals of the Team
  • Intervention Planning

Measure: Data collection and evaluation of current performance.

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The operational steps:

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  • Data collection
  • .
  • Statistical analysis of data
  • Process capability calculation
  • .
  • Defining AS-IS process performance

Analyze: Root cause identification.
The operational steps:

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  • Finding the root cause
  • .
  • Quantitative verification of cause-effect relationships
  • Supportive statistical analyses

Improvements: Development and implementation of solutions.
The operational steps:

  • Field audit planning
  • .
  • Consolidation of shared solutions
  • Implementation plan

Control: Monitoring to ensure sustainability of solutions.
The operational steps:

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  • Construction of a control and audit system
  • .
  • Validation of solutions based on the results obtained

It is critical to celebrate achievements to foster engagement and strengthen team spirit.
These steps enable:

  1. Identify in a clear and shared way the project boundaries and competencies
  2. Quantify operational improvements (measured in DPMO, PPM) and resulting savings
  3. .
  4. Mature progressively a more analytical understanding of the process
  5. Consolidate data analyses geared toward defining the crucial elements (Critical Few) to improve the process
  6. Identify possible quick-wins and implement effective solutions in a timely manner
  7. Check that improvements are "structural," that is, statistically significant and not achieved by chance

The Tools of Problem Solving In Lean Consulting

The 5W+1H

This method, developed by Sakichi Toyoda and later implemented in Toyota Motor Corporation, aims to explore cause-and-effect relationships to identify root causes of problems or defects.

It is an acronym that summarizes "Why?“ to be asked repeatedly until the root cause of a problem is identified.

  • Who (Who?)
  • What (What?)
  • Where (Where?)
  • When (When?)
  • Why (Why?)
  • How (How?).

Control Cards

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These are diagrams to study and control the progress of any business activity over time, reporting the lower and upper control limits, the average reference value (nominal value) and the values of a significant sample of measurements.

The activity under consideration is considered to be in the control state when all points are within the limits and are randomly distributed around the center line (statistical control state).

Pareto Diagram

Bar diagram in which the measured variables are arranged in descending order by frequency and the values of the same are expressed in absolute terms (left axis); the line representing the cumulative percentages is then superimposed on the diagram (right axis).

The tool is used to immediately and visually assess which elements are relevant and their impact

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Stratification

This is the statistical process of grouping or splitting data based on attributes or characteristics deemed significant for analysis. The purpose is to reorganize information so that the area in which the causes of the variations (problems) examined reside with high probability can be identified.

The categories resulting from stratification can then be used for plotting (one for each characteristic taken as a reference) histograms, correlation diagrams, Pareto and control charts.

Correlation Diagram

Two-dimensional graph used to study the possible relationships between two variables and, in particular, the possible dependence of one on the other. It is mainly used when one wants to look for a relationship between a certain condition and its possible causes. Depending on the placement of the points, which correspond to the data values, a direct or inverse relationship can be identified.

The information provided by such a diagram is exclusively qualitative, while regression techniques must be used to obtain quantitative data.

Cause-and-effect diagram - Ishikawa

A tool used to identify and represent, for a given effect, its potential causes. These are organized into categories (generally in the manufacturing area the four M's are used: man, materials, machines and methods) and subcategories, identified using the brainstorming technique.

Diagram of Relationships

Tool to represent on a visual map a given phenomenon, all possible factors affecting it and their mutual relationships.

Analysis of Force Fields- Force Diagram

Methodology of analysis that, making use of a graphical tool such as the force diagram, allows for the selection, from among all the proposals put forward for solving a problem, of the actions that are likely to have the greatest impact. The causes of a problem are first weighed, through a weighted voting system, and then represented on a graph in the form of arrows of length proportional to the weight given to them. The actions that could lead to the resolution of the problem are also represented by arrows facing those representing the causes. Their length is determined by the sum of the lengths of the arrows representing the causes that they succeed in solving. In this way the actions that will solve the most causes, or those with the most weight, will be represented by longer arrows, and it will be easy to select among all the actions those to be perpetrated first.

Conclusions

Problem Solving is an essential skill for dealing with phases of Change Management or for solving everyday problems. In fact, it is important to focus on eliminating causes even if the urgency of the situation leads one to focus on plugging the effects. Methodologies such as PDCA and DMAIC, along with root cause analysis tools such as the Ishikawa diagram, the 5 Whys, and the Pareto diagram that enable systematic problem analysis and effective solutions. A structured approach can lead to concrete improvements in production processes and customer satisfaction.

We invite you to discover the Lean Problem Solving course, organized by Bonfiglioli Consulting, to learn effective methods and techniques in this area.