Essential Consulting Approaches,

Methods and Tools for Problem Solving

Ishwar Kumar
Faculty, IMT Nagpur
Emergence of Tools & Techniques
• Theory came first and somehow, via a
variety of models, structures, frameworks,
etc., tools and techniques resulted.

• A tool or technique provides guidelines on

how to apply and carry out certain tasks.

• The main purpose of tools and techniques is

to provide a structure for our thoughts and
actions.

• The tools do NOT replace our own intuition,

lines of thought, and critical dialogue with
the topic.

• We use tools as a stimulus and suggestion

and need to customize them according to
our needs.
 Why tools will be required?
• Problem definition
• Information gathering
• Creativity
• Information consolidation
• Goal setting
• Organizational analysis
• Technical analysis
• Strategic analysis
• Strategy development
• Decision making
• Project management
Problem solving approach and application
Problem solving

There are three ways of dealing with

problems: they can be resolved, solved and
dissolved.
• To resolve a problem is to find a means
that satisfies it well enough.
• To solve a problem is to find the optimal
means.
• To dissolve a problem is to redesign the
relevant system or its environment so that
the problem is removed.
 Problem Solving Process
• Outline the Problem
• The problem may be big, but it should fit in one page (Problem Statement)
• The key issues you need to know to solve the problem (Value-context-
Performance-hypothesis pack)
• Breakdown the Issues
• Untangling the mess (Issue tree)
• Prioritize to maximize the outcomes-output ratio (Prioritization matrix)
• Test the hypothesis
• You are the doctor, the problem is your patient (hypothesis tree)
 Problem Solving Process
• Analyze the problem
• Without data you have nothing (data gathering)
• Insightful interviewing (Interview)
• If you want to get to the root cause of the problem, just ask why (5 Why)
• Spreadsheet model makes it easy (spreadsheet modelling)
• Imagine the solution
• Devising the optimal solution (Arrange-brainstorm-choose (ABC)-solution
generation process
• Making change happen (incentive equilibrium process)
 Problem Solving Process

• Managing Stakeholder
• Understand who your stakeholders are and how to communicate with them
(stakeholder communication)
• Trust makes the world go around (Trust-stakeholder relationship)
• You are the most important stakeholder (work-life satisfaction)
• Managing the team
• Setting up the team to ensure success (Belbin team profiles)
• Helping other reach their goal (IT-Grow framework)
• Feedback works both ways (feedback)
Fundamental problem solving approach
Overview of different problem solving approaches
Basic problem solving process steps
Thinking for problem solving
Macro logic project cycle – micro logic problem solving cycle
Activities and tools for the project management
cycle (planning) and the diagnosis phase of the
problem solving cycle
Problem solving approach and application
Tool selection logic – how to find the right tool
Tool selection logic – how to find the right tool
Tool selection logic – how to find the right tool
Tool selection logic – how to find the right tool
Tools & techniques to define situation/problem
Problem definition example
Problem tree
 Reverse the problem
• Phrase the problem in a simple statement (e.g., people get sick from bad quality
water). Note that the problem is that people get sick, not the cause, which is the
bad quality of the water.
• Paraphrase the original problem statement into the exact opposite
• Ask yourself which activities could help you achieve the objectives (of your inverted
problem state)?
• What would be the consequences and effects of these activities?
• What could be beneficial and advantageous about this?
• You could use the Brainstorming tool
 Hypotheses and Hypothesis tree

• Hypotheses:
• I have been in a similar situation before and I
have a pretty good idea about the problem. I
don’t want to waste time and reinvent the
wheel on this. I want to use my experience and
even intuition
• The hypotheses approach helps to focus the
analysis on satisfying its purpose – by testing
the assumptions of the hypothesis and nothing
else.
 Competing hypotheses

• This tool is used to check if you have

overlooked certain hypotheses or not
sufficiently verified them (and which ones).
Are the hypotheses consistent and robust?
• The competing hypothesis tool uses your main
hypothesis and, in a matrix layout, cross-
validates other relevant and competing
hypotheses against the main hypothesis to
check for consistency and validity.
 Issue tree

• The tool deals with the ‘how’ – how could

we approach and solve the problem and
what are possible options?
• The issue tree is similar to the Problem
tree
• The purpose of the issue tree is not the
creative solution finding, but rather the
constructive and logic-building process.
• As with the other logic trees, compliance
with the MECE principle is vital to
produce a quality outcome.
 Influence matrix

• The influence matrix tool displays complex

cause-effect relationships; hence, is suitable to
help you investigate and define problems and
complex, multidimensional correlations where
one item has a relationship with at least two
others.
• The influence matrix tool displays the root
cause and effect graphically.
 Fishbone or Cause-effect tool

• The fishbone or cause-effect chain tool (also

sometimes called Ishikawa or root cause analysis)
provides a visual map of the factors (causes) that
contribute to a particular problem (effect) and is
best used while exploring a given problem at an
early stage or during the analysis phase to ‘dig
deeper’.
• The Fishbone or Cause-effect tool – also called the
Ishikawa diagram – was developed by Kaoru
Ishikawa
 Black box

• The black box tool can reduce the complexity of a

situation or a problem.
• The focus is on the system (not meant in a
technical context) and its interactions with the
external world only.
 IS – IS NOT
• This tool helps distinguish between what is
relevant and what is not. It is sometimes easier to
define something by defining what it does not
entail.
• This tool will steer you in the right direction,
however IS – IS NOT might not work with very
complex problems.
• The tool is also very useful to discuss and then
define the scope of a project during a project
initiation workshop and to illustrate the scope and
boundaries during a project kick-off meeting.
• It shows what is inside and outside of the scope.
 Stakeholder analysis
• The stakeholder analysis is the
foundation and prerequisite for all
other stakeholder tools. It provides
you with the process steps to identify
stakeholders and to further
understand and deal with them.
• The project management team must
identify the stakeholders, determine
what their needs and expectations are,
and then manage and influence those
expectations to ensure a successful
project.
 Stakeholder expectation management

• The stakeholder analysis captures the relevant

expectations and reservations of all stakeholders
and documents and communicates these in a
simple way.
• Each individual stakeholder has a different
understanding, perspective and interpretation of a
project.
• If expectations and reservations have been
understood at the outset, pro-active
communication can correct unrealistic hopes, and
problematic issues can be dealt with before
damage and disappointment manifest themselves.
 Stakeholder influence matrix

• The tool is helpful when assessing the potential

influence of various individuals on the successful
implementation of the proposed change/project.
• It defuses organizational politics and makes sensitive
issues discussable.
• It helps to clarify the power positions on both sides
and to actively make critical decisions.
Stakeholder influence matrix
 Stakeholder accordion

• By providing both dimensions of a team –

individual and organizational – the team can
learn what is expected from it and what the
team has to deliver to the organization and
the individuals.
 Stakeholder swapping
• Originally used in conflict management and mediation, stakeholder
swapping is an excellent interactive tool to engage all stakeholders, kick-
start communication and broaden each other’s perspective when a situation
is stuck and nobody wants to move from their position, or in situations
where unknown stakeholders are involved and political game play is
dominating the discussions.
• Stakeholder swapping lessens the adversarial, promotes partnership,
changes perspective and opens communication through the ‘role play of
swapping stakeholder roles and identifying the underlying drivers of ‘fear’
and ‘needs’.
Stakeholder swapping
 Context diagram tool

• To understand the complexity of a situation and how several entities and

systems relate to each other. The diagram shows the ‘bigger picture’ and the
context of a project or situation.
• The context diagram can also be used under its alternative name
“Relationship diagram” to display connections and relationship between
various entities.
Example of Context diagram
Example of Context diagram
 Silo view tool
• A silo diagram displays the groups, areas or
entities that work in isolation. A silo can represent
a product/service area, system, business process,
database, software application, organizational
departments, etc.
• The silo view is a simple tool that helps to
understand and display the degree of isolation and
integration of business units within an
organization. The lack of integration is a typical
root cause of symptoms like poor communication,
and data integration, process interruption, long
lead times, poor service levels, long turnaround
times, etc., which are highlighted in a silo view.
 Helicoptering
• Helicopter thinking invites one to see different perspectives and view points, e.g.
competitor actions, regulatory plans, trends in neighboring and related industries.
• It helps to anticipate new and perhaps less likely events, issues and threats. The
NLP discipline calls this dissociation.
• In order to cope with organizational change situations or to emphasize the need to
see the bigger picture and to avoid getting bogged down with details – rather rise
above the event and be detached.
• To unlock a messy situation. Use the helicopter thinking idea of lifting of the
ground and leaving your situation behind to focus on the really important and vital
stuff.
 Mind map
• Mind-maps are great to display the context of a
problem or situation or even system. Mind maps
are also useful when working on improving cross-
functional business processes with groups of
people. However, for a more systems orientated
view, use an entity relationship diagram (ERD).
• Mind mapping is simply a brain dumping process
that helps stimulate new ideas and connections.
• It shows all aspects and sub aspects (or causes
and sub causes) of any kind of problem you
model in a logical and graphical structure.
• It is a non-linear way of organizing information
and a technique that allows you to capture the
natural flow of your ideas while applying
associative thinking.
Information gathering
 Information gathering
• Information gathering is a key element of problem solving and the key prerequisite
for any analytical work.
• Finding relevant facts and assessing opinions effectively and efficiently is the main
purpose of information gathering in order to create insight for a better diagnosis
and understanding of the current and potential future situation.
• The data/information research theory differentiates between primary and
secondary data sources, qualitative and quantitative data as well as the time aspect
of how up-to-date the information is. Is the focus of the data gathering therefore
on the past, present or future?
Tool options to gather data and information
 Information gathering plan

• Whenever the information gathering situation is complex and you feel

overwhelmed by the options of tools, I recommend using an Information
gathering plan to guide your approach.
• The Information gathering plan is a table that provides you with an overview
of all the relevant information and activities so that you can project manage
those activities.
Information gathering plan
 Interview (unstructured)
• An interview is an ideal way for obtaining information when it is needed
from people other than those attending your meetings, or
• When information can be gathered more efficiently on a one-to-one basis
(where people can drop their masks and guard) and/or when a meeting is
too short to collect all the information.
• An interview is a verbal, direct and instantaneous exchange of information
between a limited number of individuals where one person asks questions
and the counterpart responds in order to provide the requested information
from his perspective
 Tripod (mixed)
• The tripod interview or questionnaire helps to obtain three different
perspectives regarding the same topic (like a tripod) and to check on
accuracy, consistency and correlation of information.
• The tripod interview or questionnaire is a technique whereby three different
stakeholder groups (e.g. top management, supplier/customer and
operational employees) are asked the same questions in order to check if all
stakeholders have the same perceptions and judgments – top
management’s perceptions differs often significantly.
• After the critical success factors for the business have been identified, a
powerful question to ask is: ‘How good are we in this area?’ and ‘How
important is this area for the success of our business?’ Compare the
responses from the three different stakeholder groups.
 Octagon
• The octagon is an excellent instrument to obtain an overview of the eight (=
octagon) key organizational aspects (‘feeling for the climate’) of an
organization; therefore it is best used when working in/with an unknown
company or environment.
• The octagon can be used as an instrument for interviews with the top and
middle management to ensure that all eight organizational aspects are
covered. The octagon will mainly generate qualitative data regarding the
culture and the leadership style, and provide a better understanding of
relevant stakeholders within an organization for use in further projects.
Example of Octagon
 Focus groups (unstructured)
•A focus group is simply a small homogenous group of people (8 to 12
persons; e.g. suppliers, customers, users, or employees from a specific
department) who get together with a facilitator to consider a topic.
• Focus groups are used in many contexts, from market research for product
development to organizational change management. Often the groups are
external user or customer groups.
• Focus groups can reach those at the bottom of the organization who might
otherwise not be contacted.
 Questionnaire (structured)

• When you want to gather information in writing from a large group of people in a
short period of time, a questionnaire can be an inexpensive option requiring less
effort to collect quantitative and qualitative information or a combination of both.
• A questionnaire allows you to obtain written responses to specifically defined
questions that are pertinent to the enquiry topic, e.g. staff performance, project
closure reviews, customer opinion, or research projects, and can enable easy
statistical analysis if closed-ended questions are used.
• The limitations are due to the one-way communication that can hinder precise
data collection and can render unpredictable results. On the other hand, a
questionnaire requires little preparation time, particularly for larger groups.
 Survey/field study – dipstick

•A survey is a technique to collect data from a number of people for a

comparative study, e.g. when a new project is planned, to prove the needs
and demands of the customer, etc.
•A survey uses various techniques and media such as interviewing,
questionnaire, product samples, direct mailing etc., to test the perception
and experience the target individual has with regard to the enquired topic.
• A particular type of survey is the dipstick survey – ‘dipping’ into the current
situation and extracting a snapshot of the moment regarding customer
satisfaction, values, behaviours, activities, etc.
 Direct observation (DILO = day in the life of)
• A DILO (= day in the life of) observation is an ideal tool to gain an understanding of
the business and activities of an organization and its employees at the beginning of
an intervention or project.
• A DILO is an all-day observation that gives a real-time view of a period of time in
the life of management, operations or just an individual’s work life. It analyses two
dimensions: concern for tasks (work) and concern for people.
• It helps to understand and quantify how people spend their time (adding value,
non-adding value), to identify opportunities for improvement in specific target
areas, to obtain hard data when data needed is not available or there is a concern
about the validity of existing data.
• DILOs also expose you to the organization's real world at a root level to understand
their activities.
• Observations help to understand what the results will really be, and further validate
your findings.
 Delphi or expert panel
• Delphi technique may be used to generate ideas where future situations or
trends are uncertain or when you need to get information or an opinion
based on expert knowledge, or an outsider to address a controversial issue.
• Delphi or expert panels can only be successful when the experts clearly
understand the purpose for talking to a group, when they know the current
level of understanding of the group, and the parameters and boundaries of
the discussions.
• The terms ‘Delphi’ and ‘expert panel’ are sometimes mixed in the literature
– sometimes interpreted as a content expert talking about future scenarios,
sometimes it means that input is provided without any face-to-face
discussion.
 Desk research/database research
• Desk research is the ideal solution for getting information quickly,
depending on your specific requirements and your available resources (e.g.
time, money, urgency, skill level).
• Desk research is the solitary and unstructured approach for gathering
information, mainly through accessing information and knowledge sources
(databases, libraries, books, archives, internet, forums, electronic
databases, etc.).
 5 Whys

• 5 Whys helps getting to the source of a problem in minimum time.

• 5 Whys is an effective technique when you want a systematic way to lead a
group to understand the ‘real’ reasons why a problem is/has occurred.
• 5 Whys could also be an essential tool in all your information gathering
activities that require a deeper understanding.
 Climate assessment (structured)

•A climate assessment examines the essential elements of a satisfactory

work place and basically tries to identify: who is engaged, with what, for
how long, and for what reason?
• A climate assessment allows you to gain an impression of people’s (e.g.,
employees’) attitudes, feelings, emotional involvement in the job, as well as
their perception of the actual work situation’s various characteristics.
Thank You