The MBA journey has been very rewarding and life changing for me. I want to be a world class consultant, so the Analysis of Business Problems (ABP) course has helped me a lot in improving how I think and solve problems. A major takeaway so far from this course is how to define a problem clearly. This is where writing a problem statement is useful. I read an article about this subject matter called: The Most Underrated Skill in Management by Nelson P. Repenning, Don Kieffer, Todd Astor, Spring 2017 issue of the MIT Sloan Management review. I will share some key points from the article in this blog post.
What is a Problem Statement?
A good problem statement has 5 basic parts:
- It shows why the problem matters to the organization and what the goal is.
- It explains the difference between the current situation and the goal.
- It makes sure the target, the current situation, and the difference are all numbers that can be measured.
- It does not assume why the problem happens or what the solution is.
- It is small enough that you can solve it quickly.
How to Write a Good Problem Statement? Here are some questions to ask yourself when writing a problem statement:
- Is our problem important? The problem should be related to the organization’s mission and goals. We should not waste time on things that are not important.
- Can we quantify our problem? We should be able to measure the problem with numbers. If we can’t measure it exactly, we can still estimate it with some logic.
- Are we neutral about our problem? We should not jump to conclusions about why the problem happens or what the solution is. We should keep an open mind and look for evidence.
- Is our problem small enough? We should break down big problems into smaller ones that we can solve faster. We will learn more and make progress faster if we do this.
What are Some Common Mistakes?
Here are some common mistakes to avoid when writing a problem statement:
- Skipping the problem statement: Sometimes people think they already know the problem and the solution, so they don’t write a problem statement. This can lead to confusion and disagreement among the team members and stakeholders.
- Writing a problem statement as a diagnosis or a solution: Sometimes people write a problem statement that already assumes the cause or the solution of the problem. For example, “The problem is we lack the right IT capabilities.” or “The problem is that we haven’t spent the money to upgrade our IT system.” These are not good problem statements because they don’t show the gap between the current situation and the goal, and they don’t allow for other possible causes or solutions.
- Writing a problem statement that is too vague or too broad: Sometimes people write a problem statement that is not clear or specific enough. For example, “The problem is our customer satisfaction is low.” or “The problem is our sales are declining.” These are not good problem statements because they don’t show the target, the current situation, and the difference between them. They also don’t show the scope of the problem and how it can be solved quickly.
Conclusion: Writing a good problem statement is a very important skill for managers and consultants. It helps to define the problem clearly and to focus on the issues that really matter. It also helps to communicate the problem to others and to find the best solution. A good problem statement has five basic parts: it shows why the problem matters, it explains the gap between the current situation and the goal, it makes sure the gap can be measured, it does not assume the cause or the solution, and it is small enough to be solved quickly. By following these guidelines, i have been able to improve my critical thinking and problem solving skills and become more effective in my work.
