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• Module overview
• 1. Introduction to planning
  • 1.1 Types of plans
    • 1.1.1 Some definitions
    • 1.1.2 Domains of planning
    • 1.1.3 Users and levels of planning
  • 1.2 Completing a planning cycle
    • 1.2.1 A planning process
    • 1.2.2 Tactical and operational planning
    • 1.2.3 A participative planning process
    • 1.2.4 When to complete business planning
  • 1.3 Implementing an operational plan
    • 1.3.1 Define the plan's purpose
    • 1.3.2 Setting the planning period and scope
    • 1.3.3 Why plans fail - The strategic level
    • 1.3.4 Why plans fail - The operational or project level
  • 1.4 SMART goals
    • 1.4.1 S.M.A.R.T. Goal statements
  • 1.5 Contingency plans
    • 1.5.1 Why contingency plan?
    • 1.5.2 Contingency plans and risk
    • 1.5.3 Contingency planning actions

• 2. Plan and manage resources

  • 2.1 Plan and manage human resources
    • 2.1.1 Recruitment
    • 2.1.2 Selection
    • 2.1.3 Induction
  • 2.2 Enterprise Resource Planning (ERP)
  • 2.3 Purchasing resources
    • 2.3.1 Tangible and intangible assets
    • 2.3.2 Acquisition costs
    • 2.3.3 Depreciation costs
    • 2.3.4 Planning resource acquisition and utilisation
    • 2.3.5 Estimating resource needs
  • 2.4 Manage Capacity
    • 2.4.1. Planning capacity
    • 2.4.2. Measuring capacity
    • 2.4.3. Matching operations plans with capacity
    • 2.4.4. Capacity analysis and economies of scale
    • 2.4.5. Capacity and performance effectiveness
    • 2.4.6. Determinants of capacity
  • 2.5 Aggregate and Master Planning
    • 2.5.1 Master Schedule
    • 2.5.2 Operational control and resource planning
    • 2.5.3 Demand and scheduling control

• 3. Risk Management

  • 3.1 Risk Management
    • 3.1.1 Potential benefits from an effective risk management
    • 3.1.2 Classifying risk
    • 3.1.3 Risk and ANZS4360:2004
    • 3.1.4 Risk analysis
  • 3.2 Estimate the risk attached to a corrective action
    • 3.2.1 Risk analysis categories
    • 3.2.2 Prioritising risks

• 4. Planning projects

  • 4.1 Planning the project
    • 4.1.1 Setting the project plan
    • 4.1.2 Setting achievable outcomes
  • 4.2 Controlling Projects
    • 4.2.1 Personnel resources
    • 4.2.2 Managing project costs
    • 4.2.3 Value of managing project costs
    • 4.2.4 Estimates
    • 4.2.5 Cost Coding
    • 4.2.6 The time factor
  • 4.3 Scheduling project tasks and activities
    • 4.3.1 Project timelines and deliverables
    • 4.3.2 Critical Path Analysis (CPA)
    • 4.3.3 PERT
    • 4.3.4 Seven steps to project scheduling
    • 4.3.5 Completing project schedule activities

• 5. Problem solving and decision making

  • 5.1 Problem solving
    • 5.1.1 The problem solving process
    • 5.1.2 Solutions search
    • 5.1.3 Removing root causes
    • 5.1.4 Solutions implementation through inclusive communication processes
  • 5.2 Decision making
    • 5.2.1 Decision making model and leadership styles
  • 5.3 Decision making approaches
    • 5.3.1 The logical systems
    • 5.3.2 Contingency approach
    • 5.3.3 Quantitative - schematic and mathematical approaches
    • 5.3.4 Critical Path Analysis
    • 5.3.5 PERT
    • 5.3.6 Group quantitative approaches
    • 5.3.7 A qualitative approach
  • 5.4 Context and the influence on the decision processes
    • 5.4.1 Factors in decision making
    • 5.4.2 Rational decision making
    • 5.4.3 Creative decision making
  • 5.5 Scenarios for team decision making and problem solving
    • Problem scenario number 1 - Lost in the bush
    • Problem scenario number 2 - Toothpaste blues
    • Analysis of personal behaviour in groups

Problem solving and decision making

Overview

Rapid technology change, faster business cycle times and tighter profit margins have all seemed to make the world of planning business operations more complex. Problems emerge more rapidly and solutions are, more often than not, required immediately. Developing and using formal problems solving and decision making processes is essential. Without them problems might seem huge, overwhelming and excessively complex. By using these formal techniques a manager can ensure that the best analysis possible is completed. Leaders and managers can also ensure they, and their staff, considered all factors that cause a problem. Formal processes can also give a starting point in problem solving where staff would otherwise just feel helpless and intimidated by the situation.

In this chapter problem solving and decision making will be examined as a participative internal practice. It will be shown that as a participative process communication is essential. This approach will generally challenge traditional (scientific/authoritarian) management approaches where decisions are communicated to those who need to know them. In such contexts decision making is aligned with power and status. In the approach to leadership and management encouraged in this topic area problem solving and decision making will be aligned with systematic thinking but encompass the involvement of both individuals and teams.

Learning objectives

After completing the work for this chapter you should be able to:

• Examine different problem solving techniques
• Examine different decision making techniques
• Establish the benefits of solving problems at their root cause
• Determine how to conduct a solutions search
• Analyse and solve specific problems
• Plan and complete a decision making process

Select topics

• 5.1 Problem solving
  • 5.1.1 The problem solving process
  • 5.1.2 Solutions search
  • 5.1.3 Removing root causes
  • 5.1.4 Solutions implementation through inclusive communication processes
• 5.2 Decision making
  • 5.2.1 Decision making model and leadership styles
• 5.3 Decision making approaches
  • 5.3.1 The logical systems
  • 5.3.2 Contingency approach
  • 5.3.3 Quantitative - schematic and mathematical approaches
  • 5.3.4 Critical Path Analysis
  • 5.3.5 PERT
  • 5.3.6 Group quantitative approaches
  • 5.3.7 A qualitative approach
• 5.4 Context and the influence on the decision processes
  • 5.4.1 Factors in decision making
  • 5.4.2 Rational decision making
  • 5.4.3 Creative decision making
• 5.5 Scenarios for team decision making and problem solving
  • Problem scenario number 1 - Lost in the bush
  • Problem scenario number 2 - Toothpaste blues
  • Analysis of personal behaviour in groups

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