In a country where everything is fast-paced, the skill of analyzing business problems becomes a problem. However, for managers or businesses that see the need to fully embrace this skill, for them, it becomes a ‘Good Problem’ as there has now become a need always to make fully, well-distilled,non-biased decisions based on the analysis of the problems and action plans that were made.
Analysis of business problems is a system that houses the What? Where? Who? When? Why? and How questions that bring about the understanding and solving problems that exist in other to establish the right and strategic decisions needed for sustainable growth.
The six-step processes for dealing with business problems are:
- Problem statement
- Criteria selection
- Alternative development
- Action plan.
Analysis of business problems can also be breakdown using business modeling combined with advanced prescriptive analytics allows users to accurately model the effects of various variables on their business. Using built-in what-if capabilities, these tools allow organizations to accurately determine the outcomes of best- and worst-case scenarios. Other advantages usually include the ability to seamlessly access data, calculate real variable costings, and evaluate constraints.
Running scenario analysis using a prescriptive analytics platform allows organizations to move beyond the limited capabilities of Excel. Benefits of a prescriptive analytics platform include:
- Ability to access organizational data, avoiding the need for manual uploads
- Capability to analyze complex scenarios
- Capacity to handle an almost unlimited number of variables
- Inclusion of constraints and trade-offs.
Various prescriptive analytics alternatives exist for creating models and running scenarios. These include hard-coded software solutions as well as others that have simple drag-and-drop modeling capabilities
In conclusion, Analysis of Business Problems is a needed tool and skill used by business managers to solve business needs and drive quality decisions. Hence it is a problem but a very good problem when mastered.