Benefits Realisation

Problem Solving and Decision Making Problem Solving and Decision Making Creatively
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Transcript

Now we're going to take a slight diversion, to look at problem solving using benefits realization. As we've discussed throughout this course, problem solving and decision making creatively is about looking at things from different angles, different points of view. And with different thinking styles and benefits realization provides a useful tool to enable us to do that, instead of thinking about the problem, we think of the benefits that solving it will deliver. So benefits realization provides a great tool to work on a problem from the aspect of the benefits of a successful resolution. Benefits realization is a structured approach that involves stakeholders coming together to clearly define agreed outcomes, and using that information to resolve the problem and improve the process. So benefits realization offers a tool to think about problem solving differently.

As I said, right Rather than thinking of the problem, benefits realization focuses on the benefits that need to be delivered, and the changes that need to be put in place in order to provide those benefits. Essentially, we're solving the problem by ignoring the problem. And that's a good way if we're stuck in our thinking from using the other tools that we've discussed. And the way it works is by drawing a benefits map, which is an approach created by Sheffield University here in the UK. It's a team exercise and it involves customers, users, and other stakeholders of the service working together to define and agree the benefits that a service or a process should provide. The benefits map then links these defined benefits into the redesign of the process to allow the problem barrier or constraint to be resolved by focusing on the benefits and the outcomes required.

The benefits map connects the aims of a service or process to the benefits it must deliver and then identifies the enablers and the changes that need to be put in place in order to deliver those benefits. The benefits map comprises four elements as we can see here, the aims, the benefits, the enablers, and the changes. And it's a group exercise. As I said, we need to agree what lies under each of these elements in turn. Under the heading of aims, we define the aims of the process and the benefits, we define the benefits that must be delivered to achieve the aims under enablers. These are the critical success factors that will enable the benefits to be delivered.

And then under changes, we define what changes must occur in order for the enablers to be implemented, and therefore the benefits to be delivered. So we're not thinking about the problem at all. We're focusing on the benefits that the process should deliver and the changes that need to be put in place in the process. To allow those benefits to be delivered, and therefore, the aims of the process to be met. So the benefits realization model involves working through those four elements as four steps. So number one, we determine the aims of the process for the consumers and stakeholders.

Number two, as a group, we agree the benefits that the process must deliver to meet its aims. Number three, we identify the enablers in the process that will deliver those results and benefits. And number four, we determine what changes are needed to the current process to ensure that it delivers the agreed benefits avoids the problem, barrier or constraint. And the key to this working well is engagement with service users, with customers and with other stakeholders. The best way to understand the benefits realization model is to consider an exercise. So take fast co a specialized business which means factories and installed electrical equipment in medical, pharmaceutical and other laboratories.

The key to success for the business is fast response to ensure that customer equipment is not out of action for too long. However, fosco is beginning to lose out to its competitors. The company's prices are relatively high compared to its competitors, and its speed of response is not as far ahead of its competitors as it used to be. So let's look at the benefits map that the team at fast co came up with. Firstly, the aims of the activity are to profitably supply components that work well and are fitted promptly to minimize client equipment downtime. The benefits that this activity in process should deliver the delivery and installation of the components as quickly as possible to minimize client downtime.

The products must also be reliable with a low failure rate. The enablers The critical success factors if you like, to allow these benefits to be achieved our skilled engineers and installers able to reach all client premises within four hours of traveling a rigorous recruitment and training structure. Good quality product designs with high rail reliability, streamlines manufacturing process able to respond quickly to orders and the changes that are needed to put these enablers in place. And to thus deliver the benefits are number one to recruit and train freelance engineers to cover more remote areas. Number two to recruit and train additional employed engineers. Number three to streamline the manufacturing process and number four to review product designs to see if they can be simplified whilst maintaining their reliability and the problem solving team at fast co produced the following benefits map.

The aim there is We see as it was before profitably supplying components that work well and to fitted properly to minimize client equipment downtime. There are two groups of benefits firstly is reliable products with a low failure rate. The second is prompt installation of the product to minimize downtime. There are two enablers of critical success factors for the first benefit, which is good product designs with high reliability and the manufacturing process able to respond to orders quickly. And then for the second benefit of prompt installation, we also have two enablers. These are engineers and installers within four hours of the client, and secondly, a good recruitment and training practice for engineers and the changes that are needed to deliver these enablers and therefore the benefits are for the first benefit we need to review product designs in order to simplify them.

And we also need to review the manufacturing process for the second benefit If we need to recruit and train freelance engineers, for remote areas, we need to recruit and train permanent engineers to relieve pressure at busy times. So the benefits map has come up with a number of solutions that will help deliver and improve the response time of the company for its clients, and therefore reduce or remove the problem that it's facing from competitors. And the team has come up with those solutions without really thinking about the problem itself. But by focusing on the benefits that it should deliver, and the next steps then for fosco Well, the benefits map has highlighted the areas for action and the changes needed by focusing on the benefits that must be delivered rather than on the problems themselves. The benefits map has supported decision making and problem solving, bringing on the scene from a different angle.

And sometimes it can help not to focus on the problem to be solved, but to take a wider view of the issue. Looking for example at the benefits required for stakeholders. And here on the next slide, I present another benefits map that was developed for a business support provider. So this company had three sets of aims, which was to understand the issues in creating and running a business to create new businesses, and that they would have businesses that were still operating after one year. And the benefits to be delivered were awareness of key issues and starting a business. awareness of the requirements of running a business that registered businesses and tax entities would be created and that business revenues would be being generated and therefore taxes paid.

The enablers. The critical success factors that were needed for these benefits to be achieved, included discussion of the issues of running a business with clients, the provision of business guides and templates, access to specialist advisors and ongoing access Spiritist coaching and the changes that the company needed to make to its processes and activities to deliver these benefits included regular training and updates for their coaches and advisors to review and update the guides and templates that they provided to widen their pool of specialist advisors, and to review their training program with previous clients in order to make improvements. Again, rather than focus rather obsessively on the problem. We're focusing on the benefits that our activity or process should provide and developing solutions through that prison.

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