{"id":66316,"date":"2022-04-30T12:59:00","date_gmt":"2022-04-30T16:59:00","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=66316"},"modified":"2022-05-13T16:00:09","modified_gmt":"2022-05-13T20:00:09","slug":"business-problem-solving","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/business-problem-solving\/","title":{"rendered":"Business Problem-Solving: 3 Steps to a Solution"},"content":{"rendered":"\n

When you encounter a problem in your business, what do you do? Do you have a process to solve it?<\/p>\n\n\n\n

Entrepreneur Patrick Bet-David argues that effective business problem-solving must be part of your strategy for long-term success. He outlines three steps to get to a solution: take ownership of the problem, identify the core problem<\/a>, and solve the problem with cost-benefit analysis.<\/p>\n\n\n\n

Keep reading to get a handle on these three steps.<\/p>\n\n\n\n\n\n\n\n

Business Problem-Solving<\/h2>\n\n\n\n

Good business<\/a> problem-solving distinguishes a beginner from a master, and it is critical for success. Here’s how Bet-David defines good problem-solving: the ability to consider all of the options, anticipate the possible consequences of each option, and make advantageous evidence-based decisions. The better you get at problem-solving, the more success you\u2019ll have because you\u2019ll learn how to prevent <\/em>problems in the first place. <\/p>\n\n\n\n

(Shortform note: Bet-David\u2019s definition of good problem-solving is detailed and exhaustive. However, he doesn\u2019t mention one important reason why learning how to problem-solve is useful: Solving problems makes you happy. In The Subtle Art of Not Giving a F*ck<\/em><\/a>, <\/em>Mark Manson argues that solving problems is intrinsically satisfying and improves your life<\/a>. Instead of trying to live a life without problems<\/a>, Manson contends that you should focus on only solving good <\/em>problems\u2014ones that have a clear solution and that will noticeably improve your life.)<\/p>\n\n\n\n

Step 1: Take Ownership of the Problem<\/h3>\n\n\n\n

To solve a problem, see yourself as an active agent in it<\/strong>, stresses Bet-David. Consider how you might have contributed to the problem and take ownership of the solution. This allows you to learn from mistakes<\/a> and improve as a result of them. <\/p>\n\n\n\n

(Shortform note: In Extreme Ownership<\/em><\/a>, <\/em>Jocko Willink and Leif Babin<\/a> take the idea of responsibility for problems to another level: They claim that to become an exceptional leader, you must take responsibility for even your employees\u2019 problems and errors<\/a> because it\u2019s your responsibility to prepare and train them well.)<\/p>\n\n\n\n

Step 2: Identify the Core Problem<\/h3>\n\n\n\n

You must identify <\/em>the core<\/em> problem you need to solve. Often, says Bet-David, the problem you think you have is merely a symptom<\/em> of a deeper problem that might be hidden. If you want a real solution, you must figure out the real problem.<\/p>\n\n\n\n

Identify your core problems by asking \u201cwhy\u201d questions about the problem until you can\u2019t distinguish a further cause for it\u2014this is the core problem. For example, you might note that you\u2019re receiving complaints about your customer service. Why? Because the department is understaffed. Why? Because customer service agents take lots of time off. Why? Because they aren\u2019t happy with their hours and benefits. Why? Because they need more stable hours and better benefits to have a sustainable lifestyle. You\u2019ve thus identified the core problem. <\/p>\n\n\n\n

(Shortform note: Bet-David recommends asking specific questions to get to the core of a problem, but if you get stuck, you may need to switch between focused and broad thinking<\/a>. In A Mind For Numbers<\/em><\/a>, <\/em>Barbara Oakley argues that you solve problems most effectively when your brain toggles between focusing on the details<\/a> of the problem and stepping back to see the problem in a bigger-picture context. Take a break and focus on something else for a while to activate this big-picture mindset.)<\/p>\n\n\n\n

Part 3: Solve the Problem With Cost-Benefit Analysis<\/h3>\n\n\n\n

The last part of problem-solving is to devise three possible solutions to the problem you\u2019ve identified and calculate the investment cost, time cost, and benefits each solution offers, writes Bet-David. Then, compare the calculated costs and benefits of each solution and pick the one that offers the most benefits for the lowest cost.<\/p>\n\n\n\n

(Shortform note: Bet-David recommends investigating three possible solutions to the problem you\u2019ve identified. However, it might not always be worth immediately pouring that much time and energy into solving a problem. in The Lean Startup<\/em><\/a>, <\/em>Eric Ries writes that you can instead apply smaller, incremental fixes to a problem<\/a>. Such an iterative approach is best applied the first time you encounter a problem because it allows you to learn about a problem you don\u2019t have much information on. You may find that it takes much less effort to fix than you initially assumed.)<\/p>\n","protected":false},"excerpt":{"rendered":"

When you encounter a problem in your business, what do you do? Do you have a process to solve it? Entrepreneur Patrick Bet-David argues that effective business problem-solving must be part of your strategy for long-term success. He outlines three steps to get to a solution: take ownership of the problem, identify the core problem, and solve the problem with cost-benefit analysis. Keep reading to get a handle on these three steps.<\/p>\n","protected":false},"author":9,"featured_media":66323,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[45,79,43],"tags":[616],"class_list":["post-66316","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-entrepreneurship","category-self-improvement","tag-your-next-five-moves","","tg-column-two"],"yoast_head":"\nBusiness Problem-Solving: 3 Steps to a Solution - Shortform Books<\/title>\n<meta name=\"description\" content=\"Problems in business are inevitable. Do you have an effective process to solve them? 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