Problem solving and creative thinking

Question 1

Determine creative thinking.

Answer 1

Identifying a problem the consumer is not even aware of yet and solving that problem in a way no one else has.

Question 2

What’s intrepreneurship?

Answer 2

Helps to ensure that creative solutions to problems are found within the business.

Question 3

What are some problem solving techniques?

Answer 3

• Pros and cons chart
• SWOT analysis
• PESTLE analysis
• Decision Tree technique
• Value chain analysis
• Indigenous thinking

Question 4

What’s a pros and cons chart?

Answer 4

• Helps manager make decisions based off of (dis)advantages of specific options
• Weighs up/considers the advantages and disadvantages

Question 5

What’s the decision tree technique?

Answer 5

• Visual representation of different outcomes for a single event
• Helps decision maker look at various options and consequences of each

(google for reference)

Question 6

What’s a value chain analysis?

Answer 6

• The aim in a business environment should be to add value for the customer without losing profit
• Easy to see when value is added in a manufacturing environment:
  Raw material (input) –> transformed into a valuable product (output)
• ## The more value created, the more a customer is willing to pay (links to P6F power of buyer)

Question 7

What are the steps to a value chain approach?

Answer 7

1. Each activity that makes up the process/system where value is created is analysed.
2. Determine where the value is added and where insufficient value is added.
   If value can be added, helps to create competitive advantage by lowering costs and reducing wastage.
3. Activities that help add value retained, others scrapped. If it is an important activity but does not add value, should be outsourced (e.g. Mr P and City Logistics Couriers).

Question 8

What is the Delphi technique?

Answer 8

• In short, bringing in an expert, without necessarily engaging face to face
• Information is analysed and relayed to a panel for a second round of discussion
• Conclusions can be revised by panel
• Panellist’s opinions remain anonymous to eliminate bias/subjectivity

Question 9

What is indigenous thinking?

Answer 9

• Refers to having local knowledge
• Way of thinking that is unique to a culture or particular society
• Includes the skills/know how/experience/insight of a particular group of people, which can be applied to develop a sustainable product/service
• May help create competitive advantage and USP

Question 10

What is the SCAMPER technique?

Answer 10

A technique used to re-evaluate a product. COnsists of:
- S for substitute: replaces material, or process with something else
- C for combine: join elements/functions together
- A for adapt: modify to better suit a new purpose/person
- M for modify: enlarge, reduce, change shape etc
- P for put to another use
- E for eliminate: remove/simplify item
- R for reverse: turn it ‘upside down’ (e.g. reversible colour puffer jacket)