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What is problem-solving? And why is it important in the workplace?

September 28, 2023 by MindManager Blog

If there’s one thing you can count on as a business professional, it’s that you’ll never run short of new problems to solve. Thankfully, whether it includes handling difficult or unexpected situations in the workplace, or resolving complex organizational challenges, we all have the capacity to develop our business problem-solving skills.

The best way to get better at tackling problems productively is to start at the beginning. After all, the better you understand what problem-solving is – and the significant role it plays in every organization – the easier you’ll find it to improve on problem-solving skills in the workplace.

Let’s dive in!

What is problem-solving?

Problem-solving refers to the act of find solutions to difficult or complex issues.

A good problem-solving definition might be finding solutions to difficult or complex issues . In practice, however, solving problems in the workplace is a little more immersive than that.

In the workplace, problem-solving includes a variety of tools, resources, and techniques to:

• Identify what’s not working.
• Figure out why it’s broken.
• Determine the best course of action to fix it.

Whether you know them as obstacles, glitches, or setbacks, problems are a part of our everyday lives. The good news is that our brains excel at reasoning out intricate scenarios and making calculations in situations we’ve never experienced before. That means every one of us is hard-wired to be an adept problem-solver.

The trick is to learn how to take that innate ability and apply it in a deliberate and practiced way.

However, one thing is certain: successfully resolving business and workplace issues is essential.

Not only does effective problem-solving create value that encourages growth, it goes hand-in-hand with impactful decision making.

What are the benefits of problem-solving in business?

Practically speaking, problem-solving provides a golden opportunity to improve your processes, products, and systems – especially when you work through those challenges with others.

Learning to face difficulties calmly, and deal with them intentionally, can also:

• Ramp up your confidence.
• Increase your resilience.
• Help you develop valuable critical thinking skills.

Applying problem-solving skills in the face of an obstacle that seems insurmountable trains you to shift your perspective and look at potential hurdles in a different way.

It also gets you used to examining multiple options for dealing with a problem, which can help you feel more confident in the direction you take.

Solving problems as a team

Business problem solving as a team offers an even wider range of benefits since active collaboration tends to make good things happen at both the individual and group level.

For example:

• Team-based problem-solving is akin to having a built-in sounding board when you explore new approaches and ideas.
• As each team member’s critical thinking skills evolve, they bring fresh insights to the collective problem-solving process, bearing out the old adage that many heads are better than one.
• Solving problems as a team also reduces the feeling of personal risk and exposure that’s common when one person is tasked with solving a puzzle. When that same problem is shared, the sense of risk gets dispersed, and individual team members are less likely to feel singled out.

Not only is there less chance of arriving at an unreasonable or biased solution when you problem-solve as a group, team members assigned to carry that solution out will feel more invested in its success.

Examples of problem solving skills in the workplace

Improving on your problem-solving skills helps you make the most of your brain’s natural capacity to analyze and reason things out.

There are dozens of problem-solving skills that play out in the average workplace – all of which can contribute to your ability to correct oversights, resolve conflict , and work around unexpected obstructions.

Here are a few common examples of problem-solving skills in the workplace, and tips on how to improve them.

1. Data gathering

Figuring out the cause of a problem hinges on collecting relevant data. Consulting efficiently with colleagues, conducting online research, and brainstorming with your team are all valuable data gathering skills.

2. Active listening

As opposed to listening in a purely supportive or empathetic way, active listening involves concentrating fully on what the other person is saying so you can understand the content, respond accordingly, and remember what was said later.

3. Troubleshooting

The ability to analyze and troubleshoot a situation with the help of any data and human input you’ve gathered is essential for drilling down into the core of a problem, and scrutinizing potential solutions.

4. Brainstorming

Brainstorming has become synonymous with creative thinking, innovative idea generation, and problem-solving. The more productive your brainstorming sessions, the more likely you and your group are to put together a list of quality, workable solutions.

It’s interesting to note that effective decision making is both a contributor to, and a by-product of, effective problem-solving.

For example, honing your analytical abilities and other problem-solving skills will inevitably help you make better decisions. The more efficient your decision-making process becomes, meanwhile, the better you’ll get at uncovering and acting on the most promising solution to any dilemma.

A simple problem-solving scenario

It’s clear that we can all benefit from getting more comfortable with problem-solving in the workplace.

Examples of situations where your problem-solving skills will come in handy aren’t difficult to find, and might include:

• Fixing a technical issue for your customer.
• Improving your student’s test performance.
• Reducing the theft of your in-store merchandise.
• Bumping up your marketing reach.

But, here’s the interesting thing. While it’s evident in each of these situations that there’s a problem to be solved, the exact nature of that problem isn’t so obvious.

In the student’s case, for example, you’d need additional input to help you figure out why they’re performing poorly. Only then would you be able to take steps to find the best-fit solution and achieve the desired learning outcome.

Here’s a simple scenario to help demonstrate that idea:

Bringing new customers onboard in a timely manner is an important part of your client relations strategy. Since hiring Alex a few weeks ago, however, your onboarding process has been taking longer than it should and team members are beginning to complain.

While you can see that the problem in this scenario is the fact that your team isn’t meeting their client onboarding goals, the key is to get clear on exactly what’s causing the hold-up.

You could jump to the conclusion that Alex has time management issues and that it’s time to start looking for a replacement. But, since one of the most common mistakes in business problem-solving is attempting to seize on a solution right away, that might cause you to waste time and resources on a remedy that ultimately proves unnecessary, or that doesn’t provide a viable fix.

Instead, it’s time to put your problem-solving skills to work.

Using data gathering and troubleshooting to pinpoint and clarify the bottleneck in your onboarding process – and active listening to interpret the situation from Alex’s perspective – you soon determine that the real cause of the problem is not what you thought.

In truth, an administrative oversight during the hiring process (yet another problem to be solved!) left Alex unaware of, and without access to, the business process map that’s so vital to efficiently onboarding new customers. Once you provide the necessary resources, it doesn’t take Alex long to get up to speed – and your client onboarding process to revert back to the well-oiled machine that it was.

Even with a team of eager problem-solvers by your side, the truth is that it’s often necessary to have the right problem-solving tools in place to achieve your desired results. That’s where versatile mind mapping software can help.

Not only does MindManager® provide a visual framework that fully supports the problem-solving process, it improves comprehension, inspires more creative solutions, and boosts your ability to make the best possible decisions.

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What is problem solving and why is it important

By Wayne Stottler , Kepner-Tregoe

• Problem Solving & Decision Making Over time, developing and refining problem solving skills provides the ability to solve increasingly complex problems Learn More

For over 60 years, Kepner-Tregoe has been helping companies across industries and geographies to develop and mature their problem-solving capabilities through KT’s industry leading approach to training and the implementation of best practice processes. Considering that problem solving is a part of almost every person’s daily life (both at home and in the workplace), it is surprising how often we are asked to explain what problem solving is and why it is important.

Problem solving is at the core of human evolution. It is the methods we use to understand what is happening in our environment, identify things we want to change and then figure out the things that need to be done to create the desired outcome. Problem solving is the source of all new inventions, social and cultural evolution, and the basis for market based economies. It is the basis for continuous improvement, communication and learning.

If this problem-solving thing is so important to daily life, what is it?

Problem-solving is the process of observing what is going on in your environment; identifying things that could be changed or improved; diagnosing why the current state is the way it is and the factors and forces that influence it; developing approaches and alternatives to influence change; making decisions about which alternative to select; taking action to implement the changes; and observing impact of those actions in the environment.

Each step in the problem-solving process employs skills and methods that contribute to the overall effectiveness of influencing change and determine the level of problem complexity that can be addressed. Humans learn how to solve simple problems from a very early age (learning to eat, make coordinated movements and communicate) – and as a person goes through life problem-solving skills are refined, matured and become more sophisticated (enabling them to solve more difficult problems).

Problem-solving is important both to individuals and organizations because it enables us to exert control over our environment.

Fixing things that are broken

Some things wear out and break over time, others are flawed from day-1. Personal and business environments are full of things, activities, interactions and processes that are broken or not operating in the way they are desired to work. Problem-solving gives us a mechanism for identifying these things, figuring out why they are broken and determining a course of action to fix them.

Addressing risk

Humans have learned to identify trends and developed an awareness of cause-and-effect relationships in their environment. These skills not only enable us to fix things when they break but also anticipate what may happen in the future (based on past-experience and current events). Problem-solving can be applied to the anticipated future events and used to enable action in the present to influence the likelihood of the event occurring and/or alter the impact if the event does occur.

Improving performance

Individuals and organizations do not exist in isolation in the environment. There is a complex and ever-changing web of relationships that exist and as a result, the actions of one person will often have either a direct impact on others or an indirect impact by changing the environment dynamics. These interdependencies enable humans to work together to solve more complex problems but they also create a force that requires everyone to continuously improve performance to adapt to improvements by others. Problem-solving helps us understand relationships and implement the changes and improvements needed to compete and survive in a continually changing environment.

Seizing opportunity

Problem solving isn’t just about responding to (and fixing) the environment that exists today. It is also about innovating, creating new things and changing the environment to be more desirable. Problem-solving enables us to identify and exploit opportunities in the environment and exert (some level of) control over the future.

Problem solving skills and the problem-solving process are a critical part of daily life both as individuals and organizations. Developing and refining these skills through training, practice and learning can provide the ability to solve problems more effectively and over time address problems with a greater degree of complexity and difficulty. View KT’s Problem Solving workshop known to be the gold standard for over 60 years.

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The Importance of Problem-Solving Skills in the Workplace

November 10, 2022 - job & career.

Hands-on Management 3.0 leadership workshops focus on tangible practices to help managers, team leaders, middle management, and C-level executives increase employee engagement and foster transformational change within their organizations. Start Your Leadership Journey Today!

According to Management 3.0 Facilitator Ilija Popjanev , problem solving is essential for individuals and organizations as it enables us to control all aspects of our business environment. In this article, Ilija looks into problem-solving skills, how the problem-solving process works, and which tools help you to advance this skill set.

In this article you will learn about:

What is Problem Solving?

• Problem-Solving in Six Easy Steps

Why is Problem-Solving so Important for Leaders, Teams, and Organizations?

Problem-solving techniques in the workplace, better employee experience by using problem-solving tools from management 3.0, how do employees develop problem-solving skills, what skills make a good problem solver.

In the last few years, we have been living 100% in the VUCA world, with so many unpredictable and complex threats and challenges. As a result, organizations must create a sense of urgency to redesign their present business models and to rebuild the foundations for the future of work. 

All companies now need effective problem-solving skills and tools at all levels, starting with individuals and teams, and finishing with their leaders and managers. This new reality enables growth and success only for those well-equipped and empowered by effective problem-solving skills and tools. 

One of the behaviors of Management 1.0 style is to constantly look for ways to stop “fighting fires,”. Instead, the Management 3.0 style seeks to “find the root cause” of the problem, and then to refocus, improve, and plan a different way for fulfilling workplace tasks.

Management 3.0 provides effective tools and principles for building the system for effective problem solving. It provides us with techniques we can use to understand what is happening in our world, to identify things we want to change, and then apply everything that needs to be done to achieve the desired outcome. We live by the motto: fail fast, recover quickly, and learn from the failures.

The agile way of working does not mean being perfect, but instead it allows for failures and sees them as opportunities to learn, grow, and adapt . Perfection is useless if we do not provide value fast for our customers. That is why problem solving is the foundation for continuous improvement, learning, and collaboration, which leads to innovations and success in ever-changing economies and the new normal that we now live in. 

The definition of problem solving according to the Merriam-Webster Dictionary is: “The process or act of finding a solution to a problem.” Similarly, the Oxford English Dictionary describes problem solving as: “The process of finding solutions to difficult or complex issues.”

For me, Problem-solving is a process of understanding and owning the problem, constant pursuit for solutions and improvements, and putting into action the best option for the desired outcome.

Understanding context and interacting with our teammates are the essence of effective problem-solving. We must clearly understand the complexity of our environment and the specifics of the context because things continuously change and evolve. Here, the Complexity Thinking Guidelines may help you to better understand what is happening and how to navigate complex environments more effectively.

We must have a lens through which to see problems as opportunities to improve, and regard our teams as sources of knowledge and experience. We have to connect people and opportunities in ways that can facilitate the best solutions for the problems that we are handling. Try using the Personal Maps , an excellent tool for bringing teams together and fostering diversity, respect, trust, and collaboration.

Today, all innovations and solved problems are team efforts because teams constantly improve their toolbox and competencies. Teams want to create something that was not there before, and which maximize their knowledge and resources.

To accomplish that, they need to build a process in a few easy steps:

• Be present, observe what is happening in your world, and define the problem.
• Review where you are now and what influences that state.
• Constantly improve and change things by using creative tools and tactics.
• Seek solutions and alternatives to make changes more effective.
• Make team decisions about which tools and solutions should be used.
• Implement improvements, monitor the process, and constantly adapt!

At this stage, by following the Management 3.0 principle of “Improving the system,” you can use the tools Celebration Grids , combined with Yay! Questions , to best engage the team in the problem-solving process, while keeping track of what is working well, what can be changed, and what new options exist.

Documenting everything is an integral part of the problem-solving process. By using Celebration Grids, you are gamifying the process and keeping the team flow and energy on a higher level.

Also read: What type of problem-solver are you?

Problem-solving is crucial for everyone: individuals, teams, leaders, organizations, and ultimately for all stakeholders because it empowers us to better control the environment and everything that is going on in our world. Try using Delegation Poker so that teams can become more empowered to solve problems both alongside leaders and within their organization. 

Today, the speed of problem solving is important, and that is why organizations must give more power and authority on a team level , so employees can react quickly and even prevent problems. As a leading indicator, the Management 3.0 tool Problem Time can help you measure the time spent on uncompleted problem-solving tasks and activities; this is a valuable add-on to “lead and cycle time” lagging indicators, with which you measure the time taken on completed tasks.

Developing and refining problem-solving skills through constant practice and experimentation can refine the ability to solve problems and address issues with more complexities.

We may face various challenges in our daily work, and effective problem-solving can make a difference.

Make a Difference with Problem-Solving

• Problem-solving skills are important if you want to add more value . As an agilist, your objective is not to be perfect but to maximize the value you provide for all stakeholders. Start fast, deliver value early, manage failures and prioritize tasks by setting the urgency criteria.
• Problem-solving skills are important if you need to improve your results. You have to accept the complexity of success factors and better understand the need for changes and improvements in a continually uncertain environment. Results depend on your problem-solving skills!
• Problem-solving skills are important if you have to fix things that do not work. When your processes are not working as planned, problem solving will give you the structure and mechanisms to identify issues, figure out why things are broken, and take actions to fix them.
• Problem-solving skills are important when you have to address a risk. Sharpen your problem-solving skills to anticipate future events better and increase the awareness of cause-and-effect relationships. This enables you to take the right actions and influence the outcomes if issues do occur.
• Problem-solving skills are important if you work simultaneously on several projects. You should apply the same problem-solving techniques when you work on multiple projects, business functions, market segments, services, systems, processes, and teams. Standardize and scale!
• Problem-solving skills are important when you want to seize the day. Problem solving is all about innovation , building new things, and changing the system into a better one. This can help us to identify opportunities even in challenging times and prepare us for the future. You can visualize the process with the Meddles Game to better understand your ideas, solutions, and activities. It is a great way to engage your team as you can build the problem-solving concept and it is an effective tool for influencing all stakeholders affected by the problem. 

Also read: Collaborative Leadership explained .

Solving complex problems may be difficult, but problems will be solved when we use the right tools. Besides the powerful Management 3.0 tools I already mentioned, as a big fan of Lean and Liberating structures, I think you can find lots of problem-solving techniques to use in your daily business. 

Here is my short list of tools and techniques:

• 5 Whys – a great way to uncover the root cause is to understand the problem better. 
• Fishbone analysis – for visual analysis of the root causes of a problem. Easy to combine with ‘5 Whys’ or ‘Mind mapping’ to brainstorm and determine the cause and effect of any problem.
• Silent brainstorming – gives everyone a chance to participate in idea generation as not only the loudest people, but also the quiet ones, will participate equally. Everyone’s opinion has the same weight. 
• Mind maps – structured visual diagrams to share your ideas, concepts, and solutions the same way your brain does. You explain the problems quickly, then share fresh ideas, and finally come to a team consensus that can lead to an effective solution. 
• Six thinking hats – enable your team to consider problems from different angles, focusing on facts, creative solutions, or why some solutions might not work.
• Agreement certainty matrix – another tremendous visual tool for brainstorming problems and challenges by sorting them into simple, complicated, complex, or chaotic domains to later agree on what approach should be used to solve the concrete problems affecting a team.  
• Conversation café – enables the team to engage in productive conversations, with less arguing but more active listening, solving the problem in rounds of dialogues until reaching a consensus regarding the best problem-solving approach. 
• Design thinking – when you are struggling for fresh ideas, the 5-step process will help you empathize with the problem, then begin defining and developing new ideas, before prototyping and testing them. 

Edward Deming’s PDCA is the most known concept for continuous improvement and problem solving. You can gamify your events using the Change Management Game , a card game where PDCA will help you define the problem, take action, collect feedback, and adopt the new solution.

The “carrot and stick” approach, or in HR language, “pay for performance,” does not work anymore, especially for roles that require problem-solving, creativity, and innovative thinking. Creative people need a higher level of authority and empowerment to self-manage challenges and problem scenarios. When leaders and organizations create such systems, they foster intrinsic motivation and job satisfaction among these people. Creatives are seeking self-actualization through their careers.

This is one more case which calls for Management 3.0’s Delegation Poker to define the levels of authority in terms of problem-solving issues, as well as Moving Motivators to define key motivators for increasing productivity and employee satisfaction by changing behavior.

Improving Employee Experience with Problem-Solving

1. Use problem solving as a key motivator – have in mind Millennials and Gen Z creative workers ’ affinity towards tasks in which they feel challenged and have a sense of meaning. Provide them with big and tough problems to solve and use challenging tasks to keep them constantly engaged.

2. Continuous improvement can make a difference – creatives seek a sense of purpose and think outside of the box, so encouraging the ‘How can we execute this task better?’ mindset and problem solving become powerful tools for creating sustainable corporate culture.

3. Don’t connect solving problems with rewards – it can kill the perceived intrinsic value of the activity; it will disengage and dissatisfy employees. Autonomy, trust, respect, and gratitude will do the job. 

4. Apply the seven rules for creative managers – unleash the power of diversity , and cooperation, rely on merits, optimize exploration, open boundaries, keep options open, and update your workplace. 

We start solving problems from a very early age (the alphabet, learning to eat, driving a bicycle etc.). Then, everyday activities sharpen our problem-solving skills and enable us to solve more complex issues. 

As an adult, you can still develop your problem-solving skills by:

• Daily practicing of logic games, such as chess, and puzzles like Sudoku. 
• Video games can teach you how to deal with failure and persist in achieving your goals.
• Keep an idea journal or blog as a collection of all your ideas, thoughts, and patterns. 
• Think outside of the box – take a different perspective to understand the problem better.
• Practice brainstorming combined with mind mapping, working with your team.
• Put yourself in new situations – take on a challenging project at work.
• Start using the “what if” mindset in daily circumstances and test new approaches.
• Read more books on creativity and articles which cover your areas of interest. 

I also believe coaching can help build creativity and problem-solving skills, encouraging people to take greater ownership of their work and commit to corporate goals. A coach can provide clear guidance as to what is important at the moment; they help people better, focus, and move into action. By asking powerful questions and challenging others to think outside of the box, the coach removes their barriers and lets them see the situation from a new perspective.

Coaching can provide structure so people develop their own expertise and insights to contribute better when problems arise and the pressure to succeed is growing.

The interview is an excellent opportunity to research a candidate’s problem-solving skills, and STAR questions should be related to their previous experience dealing with problems. A candidate with good problem-solving skills can quickly embed in the team and become a valuable asset for the company.

In my Agility in HR workshops , we regularly discuss interview questions. Some popular STAR questions are:

• “If you cannot find a solution to a problem, how do you deal with the situation?”
• “How do you react when faced with unexpected problems or challenges?”
• “Describe an occasion when you had to adapt at the last minute. How did you handle this?”

Problem-solving requires the ability to identify a problem, find the root cause, create solutions, and execute them. All these steps are essential for achieving the desired results. 

Some of the skills that problem solvers must constantly sharpen are:

• Collaborative communication . Clear communication is essential when you explain the problem and the solution to your teammates. During brainstorming sessions, asking the right questions to determine the root cause , as well as synergic collaboration are needed.
• Active listening is important to prevent mistakes as  you can absorb the details your colleagues tell you about the problem. Use open-ended questions for clarification, and always be open to feedback and views that differ from yours.
• Coachability. The willingness to accept feedback and the ability to improve. Learning from more experienced people, being curious to ask many questions, constructively using your ego, skipping excuses and blaming others, and accepting Feedback Wraps from your coach.
• Decision making . Problems cannot be solved without risk-taking and bringing important decisions (including relevant data, levels of delegation, alternative solutions etc.) to the forefront.
• Critical thinking . Be 100% objective when you try to find the cause of the problem. Skip ego trips and personal biases. Identify your mistakes in the thinking process and show personal accountability .
• Research and data analysis . Proper research allows you to diagnose the actual problem, not just the symptoms. If the cause of the problem is not immediately apparent, you can use the power of data to discover the issue’s history, some patterns, future trends, etc.
• Persistence . Trust in the problem-solving process you have designed and follow every step with patience and persistence; even when you fail repeatedly, do not give up. Keep moving and remember Thomas Edison’s quote: “I have not failed. I have just found 9,999 ways that do not work.”

In the new VUCA world we now live in, problem solving is a crucial soft skill, and employers are actively seeking people with this skill set because they can prepare for problems before they arise. Problem solvers better identify opportunities, understand their environment, create a solution, and generate ideas that lead to great results and success.

According to a study made by LinkedIn Learning in August 2022 , future skills are rapidly changing, and problem solving is among the top soft skills employers search for from their candidates, as well as communication and leadership skills.

Using all aforementioned tools and practices from Management 3.0, following the guides, and sharpening your skills, will help you not only to be effective in resolving the problems that may arise, but also to solve them with enthusiasm and passion. They will create a higher level of engagement and collaboration in the team and help unleash people’s creativity and innovation. A win-win for everyone!

Photo by Parabol on Unsplash

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Six Steps to Effective Problem Solving Within Organizations

• Dr. Nancy Zentis
• March 20, 2015

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  Managers and their subordinates sometimes lack the problem-solving skills necessary to move things forward within their organizations. Luckily, OD process consulting focused towards problem solving training can be an effective antidote to this, as it helps in building critical skills to handle a possible deadlock.

Problem solving training is an intervention tool that helps managers and employees develop critical thinking skills to sharpen their logic, reasoning, and problem-defining capability. Problem solving training also helps develop abilities to evaluate causation, analyze alternatives, and select and execute solutions. This training is an integral part of organizational efforts to introducing quality management programs as it helps define a process to manage problems.

In this article, we will introduce the six-step problem solving process defined by Edgar Schein, so that teams trained in this can find the best solution to a problem and create an action plan.

Why Use a Problem Solving Process?

Since problems can be many and root causes hidden, it may take an extended period of time to come to a solution. Developing a team to help search for answers and formulating a decision is advantageous to improving organizational quality and efficiency.

OD Problem Solving Process based on Edgar H. Schein’s Approach

OD expert, Edgar Schein along with other OD experts suggested that a process that helps in problem-solving, steers groups to successful outcomes. Schein’s approach is presented in a model that investigates problem definition, brainstorming, group decision-making, idea development, action planning, and assessment.

As an OD consultant, you can use this process to improve communication,  strengthen group cohesion, and make effective decisions.

• Problem Definition .  Identify problems through  problem formulation and questioning. The key is asking the  right questions to discover root causes.
• Brainstorming .  During this process,  assumptions are uncovered  and underlying problems are further revealed. Also, this is an opportunity to collect and analyze data.
• Selection . Decisions are made within the group to  determine the appropriate solution and process  through creative selection .
• Development .  Once the group has formed solutions and alternatives to the problem(s), they need to explore the pros and cons of each option through  forecasting consequences .
• Action Planning . Develop an  action plan to implement and execute the solution process.
• Assessment . This final stage requires an  evaluation of the outcomes and results of the solution process. Ask questions such as: Did the option answer the questions we were working on? Did this process address the findings that came out of the assumptions?

​ This process makes group problem solving in projects and meetings agreeable, action-oriented, and productive. Without a process, it can become challenging for teams or groups to create the best solutions and establish a plan of action.

Do tell us about the problem solving methods you use within your organization. We would love to hear from you.

Reference: Schein, E.H. (2010). Organizational culture and leadership, (Vol 2). John Wiley & Sons.

About the Author:  Valamere S. Mikler is the founder and principal consultant of V.S.M. Professional Services and Consulting, a consulting firm providing organizational efficiency and administrative office management services. She can be reached at  [email protected] .

Additional Information: The Institute of Organization Development offers certification in OD Process Consulting. You can become certified as an OD Process Consultant and play an important role as a partner to make the organization more effective and help to align organizational changes with the strategy, culture, structure, systems, skills, and people. To learn more or register, please check out our website: www. instituteod.com or email us at [email protected].

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How to solve a problem like a leader.

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Often leaders will think they are driving a problem-solving culture by insistent, or even just encouraging, team members to utilize the tools and templates of problem-solving.

However, most organizations then respond with either sterile and uninspired efforts or at worse, malicious compliance. Shaping the culture of good problem-solving behaviors will naturally encourage people to pick up those same tools with the right intent.

After nearly three decades of coaching at every level, from entry-level employees to experienced CEOs of multi-billion-dollar corporations, author and advisor Jamie Flinchbaugh has worked with over 300 companies worldwide in Lean transformation, including Intel, Harley-Davidson, Crayola, BMW, and Amazon. In his new book, People Solve Problems: The Power of Every Person, Every Day, Every Problem , Flinchbaugh shifts the conversation and argues that organizations focus too much on problem-solving tools and templates and miss other critical elements that make a more significant difference: getting the right behaviors and building the right capabilities.

Problem-solving is not usually completed in a straight line, with fixed questions and predetermined ... [+] answers, say experts

Problem-solving is not usually completed in a straight line, with fixed questions and predetermined answers. Instead, it requires learning, agility, curiosity, and intuition. “This is certainly the case as problems are not puzzles. Whereas a puzzle may have a correct answer, a problem is often unbounded, requiring firstly, the need to understand its scope before exploring solutions, more accurately, different solutions”, says Lebene Soga of Henley Business School. While each problem may not be unique, each requires its own line of inquiry. And each situation solver cannot just follow a script but must leverage their strengths and overcome their weaknesses. “The formulaic approaches to problem-solving may be useful elsewhere but not when we are confronted with wicked problems.”

Attempting to solve or “solutionize” wicked problems requires an understanding of complexity, risks, and more importantly, people,” Soga adds. This is where the right coaching becomes necessary as you do not want leaders rushing to solve problems which often leads to more significant problems. The flexibility and personal engagement that coaching enables to make it the most powerful leverage point for improving problem-solving.

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In a similar vein, the head of the management discipline at the University of Newcastle Australia, Ashish Malik, reflecting on his two decades of research on the global information technology industry, noted, “the essence of leadership is to take decisions on a range of problems—which may vary on a continuum from simple to complex, for some there are known solutions, while for others there is no known solution or a script ready. Therefore, decision-making is a courageous exercise, and for the first-time leaders, it is a watershed moment.” Leaders often employ many systematic and less planned tools and techniques to solve complex problems, such as using evidence-based and metricized approaches to solving known and unknown issues. In his research, Malik, Sinha, and Blumenfeld found that the use of Six Sigma or Lean Six Sigma methodologies was very prevalent in offshore outsourcing call centers , BPOs , and IT Industry in India as a useful tool for approaching complex tasks operational and leadership problems.

Problem-solving is not a recipe with known inputs, established steps, and a predictable outcome. Curiosity allows us to enter problem-solving as a learning process because we must close our knowledge gaps before closing our performance gaps. Intuition is helpful because when trekking through uncharted territory, as most problem solving is done, it requires making essential adjustments such as when to go slower, when to start over, and even where to start. Analytical and data-driven methods are critical but insufficient when navigating such a journey as problem-solving.

In summary, excellent and practical tools help us perform better in most domains, and problem-solving is no exception, however, much like many of those exact domains, the skill, capability, and talent that we bring to the task far outweigh those tools in their impact on performance.

Disclosure:  One source mentioned in this article, Lebene Soga, is employed by the same University as this article’s author, though both reside on different campuses

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Why are problem solving skills in the workplace so important? Subskills, benefits, scenarios

Test your candidates' problem-solving skills with testgorilla.

The importance of problem-solving skills in the workplace can’t be overstated. Every business and job role has its problems. From entry-level hires to senior staffers, every one of your employees will face challenges that don’t can’t be answered by doing a quick Google search – or asking ChatGPT to come up with solutions.

That’s why employers must hire people with excellent problem-solving skills, especially for roles that require dealing with complex business challenges, tight deadlines, and changing variables – for example, when recruiting leaders .

But what are problem-solving skills? What role do they play in the workplace? 

And, most importantly, how can you evaluate candidates’ skills before you hire them?

Table of contents

What are problem solving skills, the benefits of problem solving skills: why are problem solving skills important , examples of problems at the workplace – and how problem solving skills can help, how to assess problem solving skills, evaluate problem solving skills and hire candidates who can think for themselves.

To fully understand the importance of problem-solving skills in the workplace, it’s important first to understand the broad skill set that we commonly refer to as “problem solving skills”. 

Generally, problem-solving refers to a person’s ability to successfully manage and find solutions for complex and unexpected situations. 

Candidates with great problem-solving skills have a combination of analytical and creative thinking. They’re comfortable with making decisions and confident enough to rise to challenges in the workplace.

These candidates possess a combination of analytical, creative, and critical-thinking skills – and a high level of attention to detail . As a result, they will quickly identify problems when they arise and identify the most effective solutions. 

They’ll also identify the factors and forces that might have caused the problem and instigate changes to mitigate future challenges.

There are six key problem-solving skills that you should look for when assessing job candidates: 

1. Listening skills

Active listeners are generally great problem solvers. 

They can listen to those around them to gather the information needed to solve the problem at hand. They also recognize the importance of valuing others’ opinions and experiences to help understand why the problem occurred and define the best course of action to remedy it. 

2. Analytical thinking skills 

Analytical thinkers can identify the logical reasons why a problem occurred, what the long-term effects of the issue could be, and identify how effective different solutions might be to select the most practical one. 

That’s why it’s essential to assess analytical thinking skills during recruitment.

3. Creative thinking skills

Creative thinkers can balance their analytical skills with creative approaches to challenges. Creative thinking skills enable individuals to uncover innovative and progressive solutions to problems. 

In this way, they’re able to provide new perspectives and provide imaginative and experimental solutions to all kinds of problems. 

4. Communication skills 

Problem solvers should also possess great communication skills . The ability to effectively relay complex information thoroughly yet succinctly is a huge benefit for employers working in fast-paced environments. 

5. Decision-making skills 

Those with problem-solving skills will also possess the ability to make decisions and be confident in them. This is important, because most problem-solving involves making firm decisions to reach a successful outcome. 

6. Teamwork

Although problem-solvers need to be independent thinkers, it’s also vital for them to work well as part of a team . 

Determining the best solution often requires collaboration, so it’s important that candidates can demonstrate how they can motivate others to come up with the best solutions and work with them to help develop and implement solutions. 

Problem-solving skills enable you to find candidates who are cognitively equipped to handle anything their jobs throw at them.

Problem solvers can observe, judge, and act quickly when difficulties arise when they inevitably do. Moreover, they are not afraid of the unknown, which is invaluable to employers who rely on their employees to identify and solve problems. 

There are several important benefits of problem-solving skills in the workplace. Below, we’ll go through five of the most significant ones that all problem solvers can bring to their roles and workplaces: 

1. Ability to organize their time intelligently 

Time management skills can often be underlooked as one of the benefits of problem-solving skills in the workplace. 

However, those with problem-solving abilities also typically possess stellar time-management skills. The ability to manage their time wisely and laser-focus on what’s important to the business will lead to better decision-making and business impact. 

2. Ability to prioritize, plan, and execute strategies

Problem solvers have no issue with carefully assessing customer and business needs and deciding how to prioritize, plan, and execute strategies to meet them. They can manage all moving parts and strategize to meet multiple unique demands.

3. Ability to think outside the box

Problem solvers can often identify hidden opportunities in problems. Thinking outside of the box is an important problem-solving skill in the workplace, because it can often lead to better outcomes than the originally expected ones. 

4. Ability to work under pressure

This is often one of the most important benefits of problem-solving skills in the workplace. Problem solvers often work well under pressure, for example when dealing with short deadlines and changing project requirements.

Depending on your workplace culture, you might prefer someone who can deliver quick solutions or someone who takes their time to identify the next steps. Both are valid and important problem solving qualities. 

5. Ability to address risk

Planning is an important problem-solving skill. Problem solvers are not just equipped to deal with the problem at hand but are also able to anticipate problems that will arise in the future based on trends, patterns, experience, and current events.

Let’s now look at some specific examples of problems that could arise at the workplace – at any workplace, really – and how employees’ problem solving skills can help address each issue. 

Below, you’ll find five typical scenarios where problem solving skills are essential.

Conflict between team members

Poor team dynamics or lack of a collaborative spirit might result in frequent workplace conflicts – especially within larger teams.

For example, members of cross-functional teams might disagree on the way they should address a particular issue or even on the priority they should give to it. 

How problem solving skills can help: 

Teamwork is essential when solving conflict – and a cornerstone of effective cross-functional team leadership .

For this, coworkers need to share a common understanding of the team’s goals and also be willing to work towards achieving them, even when they disagree on the specific approaches to each goal.  The ability to understand others’ perspectives, analyze information critically, and come up with a few different solutions is key to finding a common ground and making progress on the team’s objectives.

Inefficient processes

Outdated, inefficient processes can reduce productivity and frustrate employees.

Multi-step approval processes are a typical example of this. Having multiple layers of approval for routine decisions can significantly slow down team progress and lead to missed opportunities.

Analytical thinking skills are key in identifying inefficiencies and building better procedures. Employees or team leads can build flowcharts that speed up decision making without having to ask a supervisor’s permission at every step of the process. 

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Poor communication can lead to misunderstandings and lack of clarity and direction – which, in turn, can be detrimental to team performance. 

For example, if you’re a remote-first company, maintaining clear and effective remote communication can be challenging. 

The over-reliance on emails and messaging apps might make it feel like teams are communicating effectively and are always connected. However, the lack of non-verbal cues and face-to-face interactions might make it more difficult to build rapport and a positive workplace culture .

Listening skills are essential to solving communication issues – and good listeners are often excellent at solving problems by recognizing, understanding, and acknowledging others’ points of view. 

One-on-one meetings enable people to communicate more freely and effectively and solve challenges together, so consider encouraging team members to hop on a call each time they encounter a difficult challenge.

Additionally, you can help employees bond with each other with some remote team building activities to improve team cohesion. Plus, problem solving challenges can be excellent team building exercises.

Technological disruptions 

New technologies often disrupt the usual ways of doing things – and sometimes, this can be disruptive for entire teams’ work. 

For example, generative AI and automation technologies have revolutionized numerous types of work, including data analysis, marketing, customer service, and even content creation.

Creative thinking and cognitive flexibility are among the top 10 most important skills of the future , according to the World Economic Forum. Both are essential for adopting new technologies successfully – and finding ways to make the most out of each new tool to improve productivity. 

Insufficient onboarding resources 

Team members may struggle to do their best work if they haven't received proper training or resources.

For example, start-ups that experience rapid growth might hire a few employees at once – or even entire teams. 

If they fail to allocate sufficient time and resources to onboarding new hires, this might lead to lost productivity, a lacking sense of belonging, or increased turnover. That’s true not only for junior employees but also for newly hired senior leaders , as the Harvard Business Review points out.

Your leadership team’s analytical and decision-making skills are crucial in enabling them to distribute limited resources in a way that would give their teams the best chances of success. 

To build a solid onboarding process , you need leaders who are able to take ownership of it – and who have the right problem-solving skills.

Many organizations use problem-solving interview questions to identify the right candidates for their job openings. However, the most effective way to assess problem-solving skills is with pre-employment skills assessments . 

That’s because skills tests provide an objective way to quantify a candidate’s problem-solving skills in a way that isn’t possible during an interview.

How problem solving skills tests work

Tests like TestGorilla’s problem-solving skills test assist organizations in finding candidates who are able to quickly identify the key elements of the problem and work through the problem at speed without making mistakes. 

By presenting candidates with a wide range of questions related to typical problem-solving scenarios, hiring teams can rank their candidates based on an intensive assessment of each candidate’s skill level.

The test specifically evaluates whether a candidate can perform problem-solving tasks like:

Creating and adjust schedules

Prioritizing items based on a given set of rules

Interpreting data and applying logic to make decisions

Analyzing textual and numerical information to draw conclusions

As you can see, even the best interviewer would have trouble assessing each of these skill areas while still covering all the other questions that they need to ask. 

If you’re convinced of the importance of problem-solving skills in the workplace and want to build a team of employees that can think independently and solve their own problems without constant supervision, assess problem-solving skills during the hiring process. 

Problem-solving skills tests like ours are an excellent way to achieve this – especially if you combine them with other skills tests. Check out our extensive test library for other tests you can use in your talent assessment process to hire the best talent. 

Sign up for our free plan to start building your first assessment – or schedule a demo with one of our experts to see how to evaluate applicants’ problem solving skills quickly, efficiently, and without bias. 

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Why Problem Solving Skills are Important in the Workplace

Posted 26/10/2021 by Vicki Mann

You can read this in 8 minutes.

In the modern workplace, problem solving skills are no less than essential. Needless to say, the world of work is not always plain sailing. No matter what role or industry you find yourself in, challenging situations are not just likely, but to be very much expected. Every role imaginable will come with its own unique set of problems that need to be solved, but what ties these situations together is their spontaneity and their need to be met with problem-solving and creative thinking. Unforeseen circumstances that will continuously arise can only be approached with practicality, common sense and personal skill. Problem solving techniques are at the heart of these abilities, and they can be applied to just about every work-related task, from organisation to communication and collaboration, managing deadlines to maintaining interpersonal relationships with colleagues. Due to the necessity of problem-solving techniques in every workplace, it could not be more important that employers use cognitive ability tests when sifting through applications to optimise recruitment selection.  

What are problem solving skills?

So, what are problem-solving skills? Problem-solving in the workplace entails a range of techniques: working around unexpected new issues, managing changing variables, the confidence to approach a new task and the knowledge of how to solve interpersonal problems. It also includes certain intrinsic qualities, such as practicality and confidence: that is, the capacity to spot when something is going wrong and raise questions which might help to solve it in the workplace. A problem solver can confidently find and manage solutions for complex and unexpected situations. Problem-solving skills involve a balance of analytical thinking, creative thinking, and critical thinking skills. Analytical thinking skills are crucial when it comes to identifying a problem, and creativity is key in finding methods to solve it. Critical thinking enables somebody to see which solution might be the most effective. Problem-solving skills are useful both in the short-term and the long-term. A candidate with good problem-solving skills will ensure that obstacles are surmounted in the moment, and the best solution is found, but they will also be able to identify the variables that gave rise to the problem in the first place, and make changes to prevent similar issues occurring in the future. In this sense, problem-solving skills are the key to approaching most complex issues and finding more enduring solutions. A good problem-solver is an asset to any organisation, and is likely to perform their job more successfully. In order to make objective hiring decisions and select the candidates with the best problem-solving capacities, your organisation will need to test for specific skills. These skills involve the ways in which a person deals with real life situations, and may not be apparent from conventional techniques such as interview questions, which do not necessarily indicate how a candidate would solve a problem in the workplace. Pre-employment skills tests, on the other hand, are a bias-free solution, ensuring that your organisation hires the applicants best suited to their roles. When assessing an applicant's capacity for problem-solving, there are six key skills which are tested.  

1. Collaboration Skills

Although problem-solving is something which exists within each individual to a greater or lesser degree, it also determines how an individual is able to interact with a group and complete a task collaboratively. Reaching a good solution and setting it in motion often requires collaboration. A problem solver knows that working with others successfully (regardless of their  personality type ) is the best route to solve most of the challenges that crop up both in the workplace and in everyday life.  

2. Communication Skills

When problems arise in any organisation, it is important that employees can approach them calmly, communicate the situation to others in clear and succinct terms and work together to solve it. Complex problems require good communicators, those who can simplify the situation and express the main issues in order to come to an efficient solution.  

3. Decision-Making Skills

The capacity and confidence to make a quick decision and stick to it is a crucial problem-solving technique. In a complicated situation, coming to a level-headed decision quickly and committing to it is crucial to solving the issue.  

4. Analytical Thinking Skills

The analytical mindset is necessary in confronting any problem or task and reaching a solution. It is imperative that a candidate, when faced with an issue, is able to analyse the situation and identify what has gone wrong. Analytical thinking skills are also key in the ability to select the best out of a range of possible solutions.  

5. Creative Thinking Skills

Creative thinking is an important capacity when it comes to coming up with methods to solve a problem in the workplace. The potential to approach a complicated issue from a variety of angles, and to apply the imagination to overcoming a task makes it easier to solve a problem in an efficient way.  

6. Listening Skills

Problem-solving skills rely on the fundamental faculty of listening. Listening is the surest method to collect information about an issue, weigh up different perspectives and opinions, and begin to understand a problem in order to solve it. The facility to listen to coworkers in the workplace is also a way to prevent complicated and problematic situations from occurring in the first place! Needless to say, in the world of work today, these techniques are invaluable, and it is essential that employers use psychometric measures to test for problem-solving skills in order to improve recruitment. Knowing a candidate's ability in these key areas is important, and can prevent the risk of a bad hire. Recruitment tests are very important, as getting the hire wrong does not just cost money, it also results in a loss of time and loss of productivity. Pre-employment testing, particularly tests which measure an applicant's capacity to solve a problem, and decide on the best solution, are a cost-efficient means to improve the recruitment process and ensure your company's success and growth.  

How to assess candidates' problem-solving skills

We offer different pre-employment tests which accurately assess an applicant's strength in key areas and their technique in identifying good solutions to problems in the workplace.

Situational Judgement Tests

The  Situational Judgement Test  is a kind of psychometric test that measures soft skills such as common sense, non-academic behaviours, technique in identifying solutions and practical intelligence. The tests work in a realistic and practical way, presenting applicants with a variety of different workplace situations which they might encounter when performing the functions that the job requires. Undoubtedly, the capacity to see which course of action a prospective employee would take or which solution they would choose in a given situation gives the employer a valuable insight into their specific skill set, and how they might respond to the demands of the job.

Logic-Based Aptitude Tests

Our  logical reasoning tests  measure a candidate's non-verbal intelligence - their capacity to analyse situations, extract rules, and find the right solution using logical and abstract reasoning. This is an in-depth cognitive test and so it provides an accurate indication of how successful a candidate will be when faced with workplace problems which they have to solve. Unlike most aptitude tests, logical reasoning tests do not measure knowledge in a particular subject area, simply their thought problem-solving process. This means that it is a useful tool in the recruitment process for any employer to evaluate applicants in any field.

Bespoke Tests

The option to  create your own tests  tailored to the demands of your organisation is a successful means of guaranteeing the right hires and ensuring good job performance. At Skillsarena, we have the expertise to create a quiz or any other testing experience that will assess the problem-solving skills that are most necessary to your particular company.   The importance of problem-solving skills in the modern workplace cannot be overstated. In order to make sure that your company grows, it is imperative that employees have the analytical and creative skills necessary to solve any problems they might face in their jobs. Our  Situational Judgement Tests ,  Logical Reasoning Tests , and  Bespoke Tests  are the best method of guaranteeing a good hire, testing an applicant's capacity to solve a real problem in ways that can't be measured by interview questions alone. As an employer, you know which skills and problem-solving techniques are most important for your particular company. At Skillsarena, we help you evaluate these abilities in applicants, and in doing so we make sure that your organisation is productive and successful. Get started with Skillsarena today to bring out the best in your candidates. After taking a look through our test offerings,  create an account with our self-service system . This way, we can get you started with your Skillsarena profile as soon as possible. If you require any assistance, give us a call on 0203 693 2201 or send an email to [email protected] . We look forward to hearing from you!

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Organizational Leadership: What It Is & Why It's Important

• 24 Jan 2023

Leadership is essential to organizations’ success, but many struggle to implement the right training. According to job search site Zippia , 83 percent of businesses believe it’s important to develop leaders at every level, but only five percent successfully do.

If you want to become an effective leader, here's an overview of what organizational leadership is, why it’s important, and how you can make an impact on your company.

Access your free e-book today.

What Is Organizational Leadership?

Leadership is the ability to implement change by creating and communicating a vision to others. Organizational leadership is the qualities and skills required to run a company or one of its divisions. It’s greater in scale and scope than many other forms of leadership.

“Scale refers to the sheer size and magnitude of what you’re leading,” says Harvard Business School Professor Anthony Mayo in the online course Organizational Leadership , “how many people; how large a budget; and how many teams, locations, and operations you oversee. Scope refers to the range and diversity of what you’re responsible for—the range and diversity of the people, teams, business lines, locations, operations, and facilities you’re leading.”

Although leadership doesn't inherently require business acumen, it’s helpful for organizational leaders to have, so they can guide their organizations, drive innovation, and manage organizational change .

Organizational leaders must consider what’s happening outside and inside their businesses. They often don’t directly interact with everyone they lead—engaging in what’s known as capital “L” leadership.

The Capital "L" in Leadership

Many senior-level leaders hold capital "L" leadership roles. According to Organizational Leadership , those leaders no longer have direct contact with everyone in their organizations and must:

• Inspire and motivate their employees
• Lead their organizations into the future
• Anticipate and respond to internal and external threats
• Pursue opportunities that range from money makers to risky bets
• Handle crises quickly and assuredly

As your duties increase as a leader—overseeing or guiding those you don’t directly supervise—it's essential to learn how to communicate effectively and execute tasks. This is particularly important when considering the differences between organizational leadership and traditional management.

Organizational Leadership vs. Traditional Management

Leadership and management differ in several ways. At an organizational level, the two are highly intertwined but have three primary differences.

• Proximity to the team: Managers work closely with the individuals they oversee, whereas organizational leaders don't always have direct contact with those they lead.
• Scale: Like leadership, management is a broad term that can be big or small in scale, whereas organizational leadership involves managing larger populations.
• Role: Managers are hired for specific roles; organizational leaders oversee managers and ensure their companies’ visions are reflected in how they guide and align teams.

What Makes Organizational Leaders Effective?

Organizational leaders bring unique qualities, competencies, and practices to their roles. In Organizational Leadership , this is called a leadership constellation .

A leadership constellation includes:

• Qualities: The aspects of who you are as a person. They contribute to how others perceive you.
• Competencies: The skills and knowledge you've developed over time that enable you to fulfill responsibilities—either by yourself or by leading others.
• Practices: The routine actions you engage in to complete tasks, guide your team and organization, and enhance your and others’ skills.

According to Organizational Leadership , you can leverage these attributes in three ways:

• Leader as beacon: Creating and communicating a vision to your organization and embodying it in your conduct (i.e., leading by example)
• Leader as architect: Ensuring your organization can follow the direction you set, and creating value using the tools and resources at your disposal
• Leader as catalyst of change: Leading organizational change by encouraging and enabling it

To be an effective leader , strive to be proficient in each.

Why Is Effective Organizational Leadership Important?

Leadership is vital in business. Organizational leaders assume an additional role because they often set the tone for the directions their companies—and sometimes even their industries—will take.

Here are four reasons why effective organizational leadership is important.

1. Motivates Team Members

Leaders play a critical role in employee engagement. According to Zippia , 69 percent of employees say they would work harder if their efforts were better recognized. This is an important statistic to consider if you struggle to retain talent or want to boost team performance .

Motivated, engaged employees can lead to higher productivity. A Gallup analysis of employee engagement data shows that highly engaged employees resulted in a 14 percent increase in productivity compared to those who were less engaged.

Leaders focus on improving team morale and their companies. Those at higher levels face the challenge of improving employees’ motivation without direct lines of contact.

According to Organizational Leadership , you can improve employee morale by:

• Hiring for leadership: If you’re involved in the recruiting process, ensure you hire effective leaders for management positions.
• Creating a positive company culture: If your company’s culture is positive and encouraging, your employees will likely be more motivated.
• Structuring effectively: For your organization to deliver value, its structures, systems, and processes must align with its people and culture.
• Openness to feedback: Even if you're not directly responsible for leading every employee, making yourself available to them can go a long way toward ensuring they feel valued.

Related: 6 Strategies for Engaging Your Employees

2. Promotes Problem-Solving and Decision-Making

Leadership requires a large degree of adaptability. Many problems require creative solutions , especially when their causes are hard to identify. As a leader, you’re responsible for helping others navigate difficult situations and making decisions that benefit your organization.

Even if you don't encounter most of your company’s daily high-level problems, you can be a role model for other employees and establish a structured approach to becoming a creative problem-solver .

3. Fosters Open Communication

Communication skills are essential for leaders. Poor communication in the workplace can lead to a host of problems , such as stress, project delays, and decreased morale.

Organizational Leadership offers four ways to foster open communication in your company, including:

• Providing information about what's going on in a way that encourages and enables employees to act
• Explaining your organization's direction in a logical manner that appeals to employees’ emotions
• Ensuring employees know how their everyday tasks connect to your organization's overarching mission
• Accomplishing tasks with individual employees and groups, virtually and in-person

Neglecting these actions can hinder your company’s success.

4. Allows Leaders to be Goal-Oriented

Organizational leaders typically set the direction for their company and enable others to follow it. According to Organizational Leadership , a good direction must be:

• Clear: An unclear direction can prevent others from supporting it. Ensure you convey your expectations so they can be met.
• Compelling: Make sure it's a direction people are willing and eager to follow.
• Concise: If others in your organization can't understand the direction, they won't follow it.

Once the path forward is clear, exciting, and accessible, it becomes much easier to set and achieve organizational goals.

Taking the First Step to Becoming an Organizational Leader

To be a successful leader, it's crucial to continuously develop your skills. Identify which leadership style resonates with you and seek opportunities to grow and adapt.

Whether you're already an organizational leader or hoping to become one, you can benefit from pursuing educational opportunities that enhance your leadership knowledge and abilities.

Ready to take the next step in your career? Consider enrolling in Organizational Leadership —one of our online leadership and management courses—to discover how to lead at scale. To learn more about what it takes to be an effective leader, download our free leadership e-book .

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Problem solving teams: creating resilient organisations through managing complexity, this video content is for agile alliance members only.

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Abstract/Description

One reason many of us came to the field of software engineering or software development is because we enjoy solving problems. It exercises out mental muscles, and gives us a feeling of satisfaction to know we can add value to our organizations and customers by solving tough problems. However, as the organizations we work for get bigger, and the scope of work gets bigger, so too do the problems we need to solve. There comes a point where we can’t solve them alone, or even with the immediate team we work with. Some problems require a cross-organization, multi-function approach. When our goal is to be a more agile, lean-thinking organization, we need to develop approaches to solving these types of problems.

This is where Problem Solving Teams come into play. Problem Solving Teams are temporary structures that bring together leaders and team members from across the organization to focus on solving a specific problem. The benefits are many, including not just a solved problem, but also a more resilient organization, a stronger social network and a growing cohort of problem solvers with increased skills and abilities.

This approach draws from many influences, including complexity science, social network theory, military doctrine, flight crews, and emergency responders. We have been experimenting with this approach across several areas that involve multiple geographies and multiple functions.

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Top 3 Reasons you need problem solving in your organization

Who sees the benefits of problem solving?  Everyone – organizational performance and reliability will improve, a culture of prevention and ownership will result, and employees will be better equipped to deal with challenges.  In this article, we will explore just how organizational problem solving affects the bottom line AND the employees.

1. Problem solving drives positive results

An organization demonstrates the effectiveness of problem solving with the results that are achieved. When a problem happens, an organization must understand the cost of the problem and demonstrate the ability to improve how work is performed. This will give the organization confidence that the problem will not happen again.

People often think that in order to effectively solve problems, they need software or a complex methodology. In order to drive results, an organization needs problem solving based in the foundation of the scientific method. By using evidence-based cause-and-effect, problem solving allows the knowledge of each employee to drive the investigation, thereby improving your work processes, and driving results for how work is performed.

2. Problem solving is a career skill 

On a personal level, for each of your employees, problem solving is a career skill. It is something that aids an individual’s performance because that employee gains a deeper knowledge of the company’s processes and procedures.

Let’s say your organization is considering two candidates for a promotion. Both candidates have worked for the company for approximately 5 years. Both candidates have supervisory experience working with frontline employees and have technical expertise in your field. Now you ask each employee – what kinds of problems did you face and how did you handle them? Do you hire the employee who says – “I’ve never really had to deal with any problems?” Or do you go with the employee who shares an example of a time they faced a challenge and how they addressed it. Is it better to go with the employee who has avoided the problems or the one who takes them head on.

I’d assume that the majority of you will hire the problem solving employee. By having a problem solving method, you are not only improving how work is performed, but also giving employees the skills to advance within their field. Further, being able to change your work environment for the better is an empowering skill. If employees are given the opportunity to improve the processes around them, then they likely will.

 3. Problem solving creates a prevention-focused culture

Focusing on problem solving in your organization will demonstrate to employees that the organization is motivated to prevent future problems from occurring. Work process documentation is an asset to every organization and who knows the work process the best? If you answered “the people doing the work,” you are absolutely correct. So if they know the process the best, then who do you think is most likely to be able to fix the weak links in the process? Right again – “the people closest to the work.”

When someone doesn’t follow the procedure and an organization responds by firing that person, what does that indicate to the rest of the organization? It indicates that if an employee tells their manager about a problem, they are likely to get fired. This behavior results in people hiding or ignoring problems. This is the culture shift and people have to see this through problem solving. It is very easy to say “we have a prevention culture ,” but only through practice, can an organization actually have a prevention culture. By acknowledging problems, involving employees close to the problem in the investigation, and implementing best practices to avoid similar problems from occurring again in the future, you can achieve a robust prevention-focused culture.

The benefits of problem solving

If problem solving is implemented effectively, all three criteria above can be achieved. If you prove that solving problems can improve the work environment then people will want to do it. When many people within your organization start problem solving then you start moving toward preventing problems instead of reacting to them.

There are two ways to deal with problems. You can avoid them or try to solve them. Ultimately, solving them is better for your business and your employees.

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Transformations That Work

• Michael Mankins
• Patrick Litre

More than a third of large organizations have some type of transformation program underway at any given time, and many launch one major change initiative after another. Though they kick off with a lot of fanfare, most of these efforts fail to deliver. Only 12% produce lasting results, and that figure hasn’t budged in the past two decades, despite everything we’ve learned over the years about how to lead change.

Clearly, businesses need a new model for transformation. In this article the authors present one based on research with dozens of leading companies that have defied the odds, such as Ford, Dell, Amgen, T-Mobile, Adobe, and Virgin Australia. The successful programs, the authors found, employed six critical practices: treating transformation as a continuous process; building it into the company’s operating rhythm; explicitly managing organizational energy; using aspirations, not benchmarks, to set goals; driving change from the middle of the organization out; and tapping significant external capital to fund the effort from the start.

Lessons from companies that are defying the odds

Idea in Brief

The problem.

Although companies frequently engage in transformation initiatives, few are actually transformative. Research indicates that only 12% of major change programs produce lasting results.

Why It Happens

Leaders are increasingly content with incremental improvements. As a result, they experience fewer outright failures but equally fewer real transformations.

The Solution

To deliver, change programs must treat transformation as a continuous process, build it into the company’s operating rhythm, explicitly manage organizational energy, state aspirations rather than set targets, drive change from the middle out, and be funded by serious capital investments.

Nearly every major corporation has embarked on some sort of transformation in recent years. By our estimates, at any given time more than a third of large organizations have a transformation program underway. When asked, roughly 50% of CEOs we’ve interviewed report that their company has undertaken two or more major change efforts within the past five years, with nearly 20% reporting three or more.

• Michael Mankins is a leader in Bain’s Organization and Strategy practices and is a partner based in Austin, Texas. He is a coauthor of Time, Talent, Energy: Overcome Organizational Drag and Unleash Your Team’s Productive Power (Harvard Business Review Press, 2017).
• PL Patrick Litre leads Bain’s Global Transformation and Change practice and is a partner based in Atlanta.

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