All serious projects begin with the collection and validation of pertinent data. Data is available from many sources. There is documented data, there are reported “facts”, there is anecdotal information, and there is system derived data.
Sorting through these various sources can be arduous and time consuming. Unfortunately many companies do not have systems in place to collect data when transactions are the heaviest, typically at Holiday time. That is the most important time to take the pulse of your Customers. That is time when failure to deliver the promise results in loss of repeat business.
Internally collected and analyzed data runs the risk of political bias associated with the collectors. Using a cross-functional team provides objectivity and prevents hidden agendas from ‘coloring’ the outcome.
Data is a necessary and powerful tool when used correctly but many projects get stuck in the quagmire of Analysis by Paralysis. More data does not necessarily mean better decision making. It can cloud the real issues, create unnecessary debates, and slow the process to glacial speed! It is critical to identify and focus on the pertinent data only.
The role of data in team-based problem solving:
Step one defines the problem and describes the desired outcome.
Step two is forming the appropriate team to research, analyze, and ultimately resolve the problem. Key players on the team are the Facilitator, who often has no vested interest in or knowledge of the problem. A Team Leader is critical as well a Scribe. The other members should all bring important perspectives and functional knowledge to the team. It is not only important to have the right people on the bus, but to have them sitting in the right seats!
Step three is the collection of information necessary to achieve the goal established in step one. This is where many teams struggle with data overload. I once facilitated a team charged with reviewing and improving the reporting mechanisms for Product Returns. The existing form listed 10 reasons for product returns, one of which was ‘Other’. The ‘Other’ category accounted for more than 30% of the reasons, so we were charged with drilling down into the available data. The team was comprised of Merchants and Buyers, Customer Service reps, Marketing associates, and Distribution staff. By the end of the second meeting the team had compiled a list of more than 40 Reasons for Return. Each constituency made sure that every possible reason pointing to another department’s failure was on the list. The forms were changed, all the new reasons were added to the system, and away we went! You can imagine the outcome. We went from too little detail to information overload overnight. The Reason for Return data became so diluted that patterns became blurred.
Data is most useful in identifying themes, which is the keystone to process improvement. The balance is how to match the available data to useful output of themes. Putting together a great problem solving team and applying the available tools correctly will provide great results. Just like food, quantity rarely equates to quality.
All of us here at F. Curtis Barry & Company have worked internally for companies from $100 million to a $1 billion in sales. Our managers always wanted most of the problems solved by internal managers which is the right way to run a business. So why use consultants? Here are the ways our smartest clients use consultants to help solve problems:
1.To bring outside, multi company experience to their team
2.To add knowledge sources often helpful in systems design projects, marketing, inventory management, etc.
3.Outsource or off load a project short term because you don’t have band-width or experience
4.Validate your solution or thought process to solve the problem.
The consultant should never run your business. Whatever you do you can control the consulting process, have a favorable outcome and favorable costs.
Sorting through these various sources can be arduous and time consuming. Unfortunately many companies do not have systems in place to collect data when transactions are the heaviest, typically at Holiday time. That is the most important time to take the pulse of your Customers. That is time when failure to deliver the promise results in loss of repeat business.
Internally collected and analyzed data runs the risk of political bias associated with the collectors. Using a cross-functional team provides objectivity and prevents hidden agendas from ‘coloring’ the outcome.
Data is a necessary and powerful tool when used correctly but many projects get stuck in the quagmire of Analysis by Paralysis. More data does not necessarily mean better decision making. It can cloud the real issues, create unnecessary debates, and slow the process to glacial speed! It is critical to identify and focus on the pertinent data only.
The role of data in team-based problem solving:
Step one defines the problem and describes the desired outcome.
Step two is forming the appropriate team to research, analyze, and ultimately resolve the problem. Key players on the team are the Facilitator, who often has no vested interest in or knowledge of the problem. A Team Leader is critical as well a Scribe. The other members should all bring important perspectives and functional knowledge to the team. It is not only important to have the right people on the bus, but to have them sitting in the right seats!
Step three is the collection of information necessary to achieve the goal established in step one. This is where many teams struggle with data overload. I once facilitated a team charged with reviewing and improving the reporting mechanisms for Product Returns. The existing form listed 10 reasons for product returns, one of which was ‘Other’. The ‘Other’ category accounted for more than 30% of the reasons, so we were charged with drilling down into the available data. The team was comprised of Merchants and Buyers, Customer Service reps, Marketing associates, and Distribution staff. By the end of the second meeting the team had compiled a list of more than 40 Reasons for Return. Each constituency made sure that every possible reason pointing to another department’s failure was on the list. The forms were changed, all the new reasons were added to the system, and away we went! You can imagine the outcome. We went from too little detail to information overload overnight. The Reason for Return data became so diluted that patterns became blurred.
Data is most useful in identifying themes, which is the keystone to process improvement. The balance is how to match the available data to useful output of themes. Putting together a great problem solving team and applying the available tools correctly will provide great results. Just like food, quantity rarely equates to quality.
All of us here at F. Curtis Barry & Company have worked internally for companies from $100 million to a $1 billion in sales. Our managers always wanted most of the problems solved by internal managers which is the right way to run a business. So why use consultants? Here are the ways our smartest clients use consultants to help solve problems:
1.To bring outside, multi company experience to their team
2.To add knowledge sources often helpful in systems design projects, marketing, inventory management, etc.
3.Outsource or off load a project short term because you don’t have band-width or experience
4.Validate your solution or thought process to solve the problem.
The consultant should never run your business. Whatever you do you can control the consulting process, have a favorable outcome and favorable costs.
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