Even after the crises we have experienced, many companies still do not use a structured methodology to solve problems effectively and save money, time and effort.
To improve quality and solve recurring or chronic problems, a well-structured methodology is essential. It helps uncover the underlying causes of important problems instead of merely treating symptoms. Most problem-solving methodologies draw on the quality cycle, or PDCA cycle (Plan, Do, Check, Act). First, develop an objective, thorough plan. Test it on a small scale as planned. Analyze whether the expected effects occurred and how large they were. Then act accordingly: extend a successful plan and prevent reversal of the improvement, or revise an unsuccessful plan and restart the cycle.
One way to put PDCA into practice is to divide it into the eight steps or activities described below.
Select and Characterize the Problem. Choose an important problem, set its boundaries and define its magnitude and significance. Use statistical data to establish how often it occurs. Understand its effect on internal or external customers and estimate its annual cost. Then establish the improvement project’s objective and form the team that will address it.
Identify All Possible Causes. Look for every possible cause without debating them at this stage. A recommended approach is a “brainstorming” session focused on general facts rather than isolated cases. For example, if batches are rejected for poor quality, ask why batches are rejected in general, rather than why one specific batch was rejected.
Investigate the Most Important Causes. Select the most important causes from the previous list. Whenever possible, use statistical analysis such as Pareto analysis or stratification. Otherwise, select them by consensus or voting (see Brainstorming). By the end of this activity, you should know which causes to address.
Consider Corrective Actions. Decide on corrective actions for each selected cause. Seek measures that address underlying causes and change the structure of the problem, rather than superficial measures that leave causes intact. Use the previous analysis and/or a session of brainstorming. For each cause, specify the solution’s objective, where it will apply, who is responsible, how it will be carried out, its cost, timing, effectiveness checks and expected side effects.
Implement Corrective Actions. Carry out the agreed measures, starting with a small-scale trial. Follow the plan from the previous step and involve affected people, explaining the objectives. The project team must agree to any changes to the plan.
Review the Results. Use statistical data to verify whether the corrective actions worked. A practical approach is to compare the problem’s magnitude before and after the measures. Quantify positive results financially where possible.
Prevent the Problem from Recurring. If the solutions did not work, review the work, learn from it, reflect, draw conclusions and start again. If they worked, extend and standardize the measures and agree on actions to prevent recurrence. For example, standardize the new process, document procedures and establish a monitoring or control system.
Conclusion. In the final step, review and document everything done, quantifying measurable and nonmeasurable achievements. Identify remaining causes or problems and suggest how to address them. Finally, list the indirect and intangible benefits achieved through the improvement plan.
These eight steps may initially seem like extra work, but over time they replace activities that have no impact on quality. They shift the emphasis from numerous immediate reactions to lasting solutions. Make the eight-step approach a habit at every organizational and management level.
How does your company solve problems? Do you use a structured methodology for the problems you face?
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