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Decision-making and problem-solving skills are the basis for ensuring the success of any company. Problem-solving skills can be classified as strengths, which in turn distinguish companies from each other and ensure their success in overcoming obstacles. In addition to giving flexibility in dealing with different variables, and thus a better ability to adapt and succeed in various markets. The decision-making process is crucial to the extent to which the company can respond to the data imposed by the market and society.
What is the definition of a problem?
The problem can be defined as a group of undesirable situations and events, which in turn may disrupt the progress of any process, whether intellectual or productive. Situations or events should be seen as problems that require new, previously unfamiliar solutions. In other words, it requires a process of thinking and building a plan that aims to achieve benefits and overcome this obstacle.
The forms of problems that hinder the workflow of companies may vary, as they may range from organizational or administrative problems or even financial problems. For example, advertising campaigns for a particular company's product failed to succeed in a specific community.
What is the concept of problem-solving?
The concept of problem-solving is defined as the steps that are taken to reach the end of the problem. Where it is usually done after choosing an appropriate plan and applying several steps by the responsible groups mostly. The concept of problem-solving is based on dealing correctly with unwanted or unexpected situations. The concept of problem-solving depends on two basic models in terms of the mechanism of analyzing and understanding the problem, namely:
The first model: difference
The difference model relies on paying attention to alternative solutions that are slightly far from the problem, to overcome it. In this case, the administrator lays new foundations to follow and circumvent the problem, which is a saving of both time and effort in terms of the progress of the process in companies.
The second model: convergence
The convergence model in solving problems relies on solving the problem that a person faces mainly, without taking into account the method used. But basically, by getting rid of the problem without overcoming it, the aim of this step is to reduce the chances of making mistakes and problems and to avoid repeating these mistakes.
Based on the previous example, if a marketing campaign fails to make a product successful, the company can take one of two approaches to solve the problem. Either through the principle of difference, that is, the company's work on marketing another product that matches the standards of the target community, or by seeking to market the product in another community. In other words, the company can depend on changing the product or target market to sell and promote the product.
While the method of convergence depends on the company or organization identifying the causes of the problem that led to the failure of advertising campaigns without changing the product and society, but rather by treating the problem radically in order not to be exposed to it in the future.
How do decision-making and problem-solving affect corporate performance?
Decision-making and problem-solving are essential skills that any company should possess, thanks to the benefits it brings to the structure of the company as a whole. Correct decision-making and problem-solving contribute to overcoming obstacles that prevent the company from achieving its goals. In addition, the correct problem-solving and decision-making process provides the company with an essential basis for achieving the desired growth and progress in terms of production.
As this process contributes to ensuring the smooth progress of the company with steady steps towards achieving profit and success, with the least possible obstacles and obstacles that it may face. Among the most important areas in which the positive impact of the decision-making and problem-solving process is evident:
1. Making the company on constant alert to adapt to changes
Problem-solving skills help the administrative team in the company to respond quickly, in addition to the possibility of integrating new variables and conditions imposed by undesirable matters at the various levels of the company.
2. Proper management of the company's resources
It can be considered that having problem-solving and decision-making skills is one of the best means to achieve effective management of the company's resources and products and to protect them from loss and waste. Where this is by identifying the problem and working to take the appropriate decision to reach a solution to it.
The administrative level in the organization works to protect the company's resources from misuse and loss, and this usually happens during the problem-solving stages, while the balance turns if an administrative team takes over if it does not have sufficient problem-solving and decision-making skills.
3. Ensure higher productivity and more efficiency
The problem-solving and decision-making process contributes to ensuring greater efficiency in the use of company resources, which reflects positively on the production process.
What is the difference between decision-making and decision-making?
First of all, we have to know the meaning of both terms, in case you want to know the difference between decision-making and decision-making. Despite the convergence of the two meanings at first glance, decision-making cannot be considered synonymous with decision-making. Rather, it is part of the decision-making process and one of its pillars, as each of them is defined as follows:
First: decision making
It is the process that is based on laying the groundwork for decision-making and problem-solving. Where this is done through several steps that aim to put several decisions with positive results to compare them and choose the best decision.
The decision-making process relies on brainstorming, through which the individual can identify the pillars of the problem and develop preliminary perceptions about the proposed solutions. For example, when a company or institution presents the problem of low sales of a product to specialists in that field, to make decisions based on firm and successful foundations.
Second: decision making
It is the process that aims to choose the ideal solution if it comes to solving a problem or choosing the most satisfactory solution at least, and it is described as the last and most important stage of problem-solving. It relies on choosing one of the proposed solutions and decisions by employing knowledge and expertise, and those to reach the most appropriate decision, and then working on its implementation to see its outputs and effects. For example, companies take the decision to stop manufacturing some products, which in turn, if it is an incorrect decision, the company will incur huge losses that may lead to bankruptcy.
The difference between decision-making and decision-making is very clear when it comes to responding to unexpected and sudden variables. The successful managerial level in any company is characterized by having the skill of making decisions according to sound and well-studied foundations but within a certain time frame.
Although the decision-making process is important in highlighting all proposed solutions to a problem, some situations require immediate decisions to prevent losses or maximize gains. Therefore, having the skill of decision-making and problem-solving is a major key to the success and continuity of companies.
What kinds of decisions can be made?
There are two main types when it comes to making a decision, as the final decision relates to the nature of the process used to reach it in the first place.
1. The rational or logical decision
The principle of rational decision-making is based on following the abstract cognitive method, which is usually based on facts and figures provided by statistics, studies, and others. Where the rational principle is concerned with the result more than the means used to reach it, which is to solve the problems that companies and work teams may face.
2. The vital or practical decision
The two terms may be somewhat similar, as the main goal of making any decision is to reach a radical solution to problems and prevent their recurrence in the future, but the principle of vital decision is concerned with the methods used more than solving the problem itself. Where the principle is based on choosing the most appropriate and most useful ways when solving a problem. The problem is not considered to be radically solved if the path to the solution is not fully illuminated.
Some methods enable you to make the most appropriate and effective decision, especially in the field of business. Such a vital field does not tolerate error or hesitation in making the right decision. To know how to make effective decisions in the field of entrepreneurship, you must know very well how to make effective decisions in the field of business?
What are the stages of problem-solving and decision-making?
Before reaching the stage of making the right decision regarding a problem, the management team in any company is concerned with carrying out a process consisting of several precise steps, which in turn aims to ensure that the right decision is chosen. As individuals in companies develop a plan that enables them to direct their efforts in the right place, and thus avoid losses as much as possible and achieve the greatest amount of gains, which are summarized in the following:
1. Identify and collect data about the problem
We also defined the problem previously as a group of undesirable events that hinder individuals from performing their tasks properly, and therefore to start solving these problems, individuals should define them accurately. Where the team concerned collects information about this problem, to take note of all the details related to it. For example, collecting information about:
- time of occurrence of the problem.
- Current or future problem damage.
- The size of the problem and the departments affected by it.
Developing a comprehensive diagram around the problem makes it easier for the management team involved in solving the problem to understand why it happened. This enables the team to know, even in an estimated way, the number of resources, time, and effort that should be invested to reach a radical solution to the problem.
2. Thinking about the expected results
Many problem solvers may neglect this step, but it is one of the most important steps in building successful strategies for solving problems and making appropriate decisions. The reaction to the problem is related to the size of the benefit that will accrue to the company from this.
For example, the occurrence of malfunctions in one of the production lines in a company. At first glance, the individual may think that the problem is the malfunction and the appropriate solution lies in fixing it, but for the administrative team that has problem-solving and decision-making skills, the matter is not that simple, as repair costs may be These broken lines exceed the expected profits from their production for a long period, and therefore the best option to solve this problem for the company is to completely abandon the production line.
This matter was determined based on envisioning the results that would be reached if the fault was fixed, which directly affected the company's decision-making and problem-solving process.
3. Follow the principles of thinking outside the box and drawing up a list of solutions
If you want to reach revolutionary and distinct solutions to traditional problems that may face your company or organization, you must definitely think outside the box. You may have heard the term thinking outside the box, as it can be defined as the process that gives an individual the ability to direct his potential to reach an innovative and unique solution to a problem or to reach inspiration for a project.
There is no specific way to acquire the skill of thinking outside the box, but there are some steps summarized by an independent platform team that shows you what you can do to reach that skill. Among these ideas that help you master the skill of thinking outside the box and then employing it in what achieves benefit during the decision-making and problem-solving process:
- Move away from the usual answers.
- Narrow down your options to find a solution.
- Find the right inspiration.
- Let quality be your goal, not quantity.
In addition to the above, you must adopt the principles of creative thinking. The Fives team defines creative thinking as the main and first pillar for the success of any scheme or company. Where it is based on a person's possession of the ability to achieve communication between what he acquires in different areas of life and to employ his knowledge to reach creative solutions and ideas that push him forward.
4. Develop appropriate solutions to the problem
You can follow a variety of methodologies for developing potential solutions to any problem that you or the work team in your company may encounter.
First: the use of algorithms
Algorithms are the most reliable way to solve problems. Algorithms are the successive stages that lead to a particular command. Its use is not limited to software solutions but rather exceeds its meaning to reach all aspects of life, as the team builds a solution to the problem step by step based on the available data, to ensure that the correct and most appropriate solution is reached. This method is characterized by reaching correct decisions most of the time, but it takes a relatively long time.
Second: Follow the principles of trial and error
This method means trying all the ideas that can lead to a solution. Although this method is effective, it consumes a huge amount of resources. This is dangerous for companies and negatively affects their performance, as no management team in any company wants to get out of a problem into a bigger problem.
Third: Adopting logical reasoning
This method is mainly based on the pure scientific method to solve problems. It is characterized by the accuracy of its results, but it may be difficult to apply at times because of its side effects, as this method mainly contributes to simplifying problems and making them more likely to be solved by the administrative team.
5. Distinguish between solutions and choose the best one
After you have outlined the problem and defined the goal of its solution, you should now compare the solutions you have developed. Where there may be more than one solution to any problem that the company or organization may face, but not all solutions are equally efficient. The process of comparing solutions is done by making a list in which you put two columns:
In the first column: In it, you write the advantages of the solutions that you have developed, in addition to their potential effects and the ease of their application on the ground.
The second column: In it, you talk about the negative aspects of these proposed solutions, as the solutions may be successful but need to be applied over a very long period, or the solutions may be associated with a large use of resources and high costs, which negatively affects their efficiency.
After you finish writing the list, you can now choose the solutions with the most positives and the fewest negatives.
6. Communicate with all concerned team members
Once the overall decision-making and problem-solving plan has been drawn up, it should be shared with all the people involved in implementing those solutions. This is mainly useful in overcoming any obstacles or stages that may be ambiguous to a member of the team thus ensuring the success of decisions and the ease of their application on the ground.
7. Decision-making, implementation, and monitoring
In the end, you can now make the decision that you reached through the previous stages of the process while ensuring the success of the decision that you made, as the problem-solving and decision-making process is characterized as the cornerstone in reaching a successful, practical decision that can be applied easily and smoothly while avoiding obstacles as much as possible.
In addition to the above, you must monitor the extent of commitment and success in implementing the decision you have reached, as one of the foundations of effective leadership is the leader’s commitment to following up and supervising the work team step by step, to reach the optimal solution and avoid other problems in the future.
What are the reasons for failure to solve problems?
Sometimes it happens that the decision-making and problem-solving process ends with failed outputs, which leads to the opposite of its purpose in the first place. Most of these things happen as a result of one of the following factors:
- Miscalculation and collection of problem data.
- Exclusion and non-involvement of all individuals involved in solving the problem and thus their failure to implement solutions.
- Focus on one aspect of the problem over the other.
- Seek to solve unresolved problems in the first place.
The administrative team may make the mistake of collecting false information about the problem, either because of organizational misconduct or because more than one problem is mixed together, in addition to a miscalculation on the part of the team regarding the steps or resources that must be taken to reach a solution.
Conclusion
In conclusion, the process of decision-making and problem-solving is one of the most important skills that the administrative team in any company or organization should possess, as it guarantees them good management of the company’s resources and directs them towards the greatest benefit, in addition to avoiding obstacles and enjoying the ability to adapt to the changes that may occur. on the labor market.
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