Developing Effective Problem Statements - Business Decision Making - ثاني ثانوي

Lesson 3 Chapter 1 www.ien.edu.sa Developing Effective Problem Statements As you solve problems, communicate clearly and succinctly about what you are doing and the progress you are making. Start by providing a statement of the problem. A problem statement is a clear, concise description of the problem and the effect you expect from the solution. Its purpose is to describe a single problem objectively, not to find a cause, assign blame, or define the solution. Include the problem statement in your proposals, progress reports, and discus- sions with stakeholders. Table 1-3 outlines the do's and don'ts of developing a problem statement. case After gathering data about the problem of the com- pany's declining tour sales, you are ready to summarize your understanding of the problem in a problem statement you include in a progress report for Omar. DEFINITION Problem statement: A clear, concise description of the problem and the effect you expect from the solution. TABLE 1-3: Problem statement do's and don'ts Guidelines Purpose Do Describe a single problem • Use objective measures Audience Content •Provide the problem statement to the person who is supervising or approving your problem-solving activities • Involve others who are helping to solve the problem • Identify the ideal situation from the point of view of your audience • Describe the condition that prevents the ideal situation Identify symptoms Describe the size and scope of the problem objectively Don't • Don't address more than one problem • Don't identify causes • Don't assign blame • Don't describe the solution Don't give the problem statement to everyone in the organization • Don't list every condition or symptom; focus on the most important ones • Don't offer opinions about possible consequences 30 Chapter 1 Ministry of Education 2024-1446 95198_book_PP1.indb 30 Identify consequences 07/05/2024 10:57

QUICK TIP Describe objective symptoms of the problem that others can observe. QUICK TIP Use numbers and other specific, concrete details to describe the problem. Essential Elements 1. Describe the ideal situation Frame the problem for your audience by starting with a brief description of the ideal situation. A problem represents a deviation from the norm. By describing the desired state, you help others understand the current situa- tion. Use terms and comparisons that your audience considers important. 2. Briefly summarize the problem Contrast the ideal situation with the current state. Identify the condition that is preventing the goal, outcome, or state from being achieved. 3. Identify symptoms of the problem Let your audience know where the problem is manifesting itself. Describe the symptoms of the problem that others can see or detect so they under- stand the problem you are working on. 4. Describe the size and scope of the problem Stakeholders and other interested people will try to assess how significant the problem is. Help them to do this by providing information about the size and scope of the matter. How would you describe the size and scope of the problem? وزارة التعليم Ministry of Education 2024-1446 Business Decision Making S1 S2 S3.indb 31 5. Identify the consequences Use specific detail to describe how the problem affects your audience and the organization. Identify any direct and indirect costs associated with the problem. Emphasize the benefits of your work by outlining the consequences of a solution. 6. Explain any other research or investigation that you may pursue Your problem statement is likely to be a work in progress. If you are still col- lecting data, interviewing affected parties, or developing alternative solu- Identifying and Defining Problems 31 30/06/2023 14:27

tions, let your audience know. Your understanding of the problem may change as new information becomes available. See Figure 1-4. FIGURE 1-4: Parts of a problem statement Ideal situation: Based on previous years, tour sales overall should be steady, with an increase in trips to adventure travel destinations. Problem summary: Customers report that worries about the global economy and international airline services are preventing them from traveling. Consequences: Plans to add tours, develop our Web site, and expand staff are now on hold until we can solve this problem. Symptom: Tour sales in all areas have decreased by 8%, with no increase in adventure travel. Size and scope: Even our most popular Saudi Arabian tours show no increase in enrollment, despite heavy promotion. Research: 50% of tour companies reported significant loss of revenue last year. YOU TRY IT 32 Chapter 1 Ministry of Education 2024-1446 Practice developing effective problem statements by writing a problem state- ment. Complete the following steps. 1. Get ready Read the following description of a problem. Problem: Typically, the late spring and summer months are the most popu- lar times for personal travel. For the last five years, the top sales months have been April-August. This year, however, sales did not increase during these months. In fact, tours overall have decreased by 8% compared to last year. This is true for most travel companies. Only 5% said they sold more tours, 10% said sales were the same, 35% said sales were somewhat lower, and 50% said they were significantly lower. The travel company you're working at expected adventure travel to increase substantially, but it remained steady compared to last year. Adventure travel includes exploring remote or exotic areas and engaging in activities such as hiking, sightseeing, and outdoor exploring. Although the company promoted popular cultural tours, sales for those tours are also flat. Two of the most popular destinations are Abha and Dammam. Another problem is that tour operators in these regions are charging more for their services. Business Decision Making S1 S2 S3.indb 32 30/06/2023 14:27

The company also expected tour sales overall to increase by 5% more than it. has in previous years. The company surveyed its customers and found that they are delaying travel plans because of concerns about international airline prices. This means that plans to expand tours, staff, and the company Web site should be put on hold. Other expenses might need to be cut. 2. Now you try it Revise the problem description to create a complete but concise problem statement. REVIEW QUESTIONS 1. The purpose of a problem statement is to: a. determine the cause b. assign responsibility c. define the solution d. describe a single problem objectively 2. A statement such as "Plans to add tours, develop our Web site, and expand staff are now on hold until we can solve this prob- lem," is an example of: a. defining the ideal situation b. identifying the consequences c. describing the symptoms of the problem d. describing the size and scope of the problem وزارة التعليم Ministry of Education 2024-1446 Business Decision Making S1 S2 S3.indb 33 Identifying and Defining Problems 33 30/06/2023 14:27