Solving Problems Within Your Business System

Applying a system thinking approach to your business is highly beneficial. The tools and analysis used can help you increase your output by tweaking your input. Systems theory is particularly effective at pinpointing and solving the main problems in your business. In fact, this is one of the reasons people are encouraged to take up this approach. It can help you find answers and solutions that would otherwise escape your gaze.

The question is, how do you solve problems within your business system? How can this approach help you find the best outcomes? Here are a few things to keep in mind:

Understand the problem

The first step involves understanding if a problem can be solved using the systems thinking approach. Typically, problems need to be very important, ongoing, and repeatedly a thorn in your side. What this means is that solutions have been made, but to no avail. You may have experienced some minor success in solving an issue, only to have it come back around after a few weeks/months. When a problem ticks these boxes, it shows there must be an issue with your system. Something is going wrong at some point in the business process that creates this issue.

Get the full story

Secondly, you have to understand the full story behind the problem. Bring groups of your team together to talk about this specific issue. Hear from all four corners as you learn what the problem is and why people seem to have such a hard time with it. This is beneficial as you get input from different people who may have different experiences with an issue. Sometimes, this is all it takes to come up with a solution. A group of workers may all struggle with the same issue, but someone else pops up and explains why they're struggling. The case is closed, and a solution has been found. In most cases, this won't happen, but you still need the full picture to understand what to do next.

Create loop diagrams

The last thing to do is to make a loop diagram of the problem. Start small and slowly add different elements to the story. Each connection in the loop can reveal things that help you find an answer. Let's look at a common business problem; account management. Many companies struggle with their accounts as people get paid late, invoices are messed up, taxes aren't done properly, etc. By creating a loop diagram, you find out why these problems present themselves. It could show a simple reason that nobody is fully-qualified to deal with the Quickbooks accounting software you use. As such, you can solve the issue by learning how to become Quickbooks certified. You have dealt with the thorn in your side, so the problem ceases to exist. Apply this way of thinking to any problem you have in your business!

Consequently, you can solve all of your business problems without much difficulty. It's all about understanding the full story behind the issue, then slowly working your way through the various concerns.