Today’s session (21 August 2017)

Hi everyone

Today we started by asking “how do you peel your banana?”

The usual way that I have always opened a banana is by tearing the stalk end of the banana and it appears that most students in the class do the same thing. However a few students have different techniques, including squeezing the opposite end of the banana to split the end open. This latter technique has some advantages over the former and it is something that I have tried myself in recent years.

The question of “how do you peel your banana?” may seem like a frivolous question but it has some quite revealing things to tell us about the way we approach problems and decisions. In my case, I have always opened the stalk end because that is what I was shown at an early age and all my friends and acquaintances used the same technique. In fact, this method became so familiar to me that I never stopped to think that there could be another way of doing it.

This example shows us how powerfully embedded some of our expectations and responses can be. In fact, if we take our own sets of experiences as our reference base, then it follows that our responses to problems may be heavily influenced by our existing biases, assumptions, preferences and perspectives. Seen in this light, it is worth asking ourselves how many things that we take for granted could possibly be done in other (maybe better) ways?

Leaving the banana behind, we moved on to a discussion about problems and decisions. In groups, we tried defining what a problem actually is and we noted several definitions:

* A desire to move from one state to another

* A barrier that needs to be overcome

* A matter or situation regarded as unwelcome or harmful and needing to be dealt with and overcome

* A perceived gap between the existing state and a desired state (or a deviation from a norm, standard, or status quo)

* A situation, person, or thing that needs attention and needs to be dealt with or solved.

We then tried grouping the ideas within these definitions into three key themes.

* States / things (e.g. gaps, barriers, obstacles, challenges which need to be addressed). This is the obstacle or hurdle metaphor where we need to move from somewhere or over / around something else.

* Perceptions / feelings (e.g. undesirability, dissatisfaction, imperfection that we want to change). This is the broken ladder metaphor where something needs to be fixed.

* Actions (e.g. transition, change, solution that we want to move towards). This is the ‘change ahead’ sign metaphor.

We then looked at how problems can be categorised depending on how difficult they are to solve. Under this schema, we have problems which range from tame (very simple and easy to address) through to wicked (difficult, complex and resistive to being solved). We also looked at super-wicked problems which may be inherently insoluble because of complexity or because they are beyond our ability to understand properly.

These discussions lead us to programmed and non-programmed decision making.

Programmed decisions are routine and almost automatic. Examples include:

* Managers making decisions which they have made many times before

* Situations where there are rules or guidelines to follow

* Examples such as deciding to reorder office supplies.

Non-programmed decisions relate to unusual situations that are not addressed very often. With non-programmed decisions:

* There are no rules to follow since the decision is new

* These decisions are made based on information, and a manger’s intuition, and judgment

* Example: Should the firm invest in a new technology?

We looked at some simple maths problems (e.g. what is 4x4?) to illustrate programmed problems and decisions which we have been trained to solve through repetition and practice.

As an example of a non-programmed problem / decision we tried counting matchstick squares in a 3x3 design. This is a simple exercise once we ‘programme in’ how the rules work and what we are looking for. However, the first time that we do this it is non-programmed and we can make errors through omission and misdetection.

We also spent a bit of time thinking about how problems can be dealt with. Generally, we think of problems being solved, but it is also possible to resolve or even dissolve them.

* Solve – optimum solution

* Resolve – ‘good enough’ solution

* Dissolve – remove the problem.

A good example of this is when we get hungry. We can solve the problem of hunger by eating a meal (which is the optimum or perfect solution). Alternatively, we can resolve it with a ‘good enough’ solution such as a handful of sweets to keep us going. Another solution is to dissolve the problem through a distraction such as kicking a football around.

Then we moved on to heuristics.

Heuristics are ‘rules of thumb’ which we use to get us through problem situations. We use these when we don’t have time or opportunity to make a more detailed analysis of a situation. Often, our heuristics are so familiar to us that they act as programmed responses. So, heuristics are:

* A resolution method

* Mental shortcuts

* Rules and strategies that are ‘mostly right’.

We then tried to find various heuristics that we use for simple tasks such as:

* Crossing a road

* Forecasting the weather

* Going to the supermarket.

More specifically, we looked at particular examples of various types of heuristics:

* Special: Limit of 3 per customer! (anchoring heuristic)

* We generally buy what we are use to (familiarity heuristic)

* If it is rare / expensive then it must be valuable / good (scarcity heuristic)

* If others buy it then I should buy it too (acceptance / endorsement heuristic)

* If someone I trust recommends it then I will try it (authority / trust heuristic).

After the break, we had a look at critical and creative thinking.

Critical thinking is typified by a logical, sequential, analytical and reasoned approach. We are looking for proof and for specific, quality answers to our questions. Reasoning follows 'if ... then' logic (‘if this happens then that will probably follow’).

Creative thinking is lateral, expansive, imaginative, innovative and disruptive. We are less interested in the probable answer and more interested in generating interesting possibilities (often the more the better).

While we sometimes think of these two types of thinking as being mutually exclusive, it can be useful to use them in tandem (and sometimes some problems may not clearly require one type of thinking over the other).

Some things may need critical thinking:

* If I sell 100 widgets at $100 profit each then how much money will I make? (Method: 100 x 100)

* Mondays are my busiest days at work. Should I roster more staff on Mondays? (Method: Number of customers? Ratio of staff to customers? Number of staff needed?)

* My bank manager tells me that interest rates will rise this year but my mother says that they will fall. Who do I believe? (Method: Who has access to the most accurate information?)

Critical thinking should result in sound decisions, based on evidence and logic. However, critical thinking also has its limitations. For instance, many routine decisions are NOT taken rationally, due to:

* Non-deliberative decisions (e.g. choices made without extensive thought)

* Missing information (e.g. lack of information)

* Mental errors (e.g. mistakes, assumptions, bias, etc.)

In contrast to this, some things may need creative thinking. For instance:

* What business shall I start?

* I want to show my customers that I care about them. How can I do this?

* A new supermarket is opening across the road from my supermarket. What should I do?

The answers to these questions may not be obvious and they may require some complex and non-linear thinking.

So, with all this in mind, we tried a practical exercise in which we used our thinking skills to find both critical and creative solutions to the business problem: ‘My profits are falling … what should I do?’

A critical thinking approach might suggest that we examine the data, sell more product, increase prices, cut costs or find more customers. A creative thinking approach might result in questions such as ‘what else can we do?’, ‘can we sell different things?’, ‘what about non-consumers?’ and ‘what do people buy / need?’

Most thinking is a combination of the two types (critical and creative) and the challenge can sometimes be to decide when (and why) we should use each type.

We then tried one more exercise, involving different ways to find a job. Most people tend to use rather straight-forward logic and they look for a job by using a job agency, looking at job vacancies or asking around. A more creative real-life approach can be found in the PowerPoint slideshow, where the job hunter hired a local person to scout out opportunities and use local knowledge to find employment for the job hunter.

Lastly, we tried using a combination of critical and creative thinking skills to find an alternative descriptive title for the Problem Solving and Decision Making paper. One possible solution is: Problem solving and decision making = Solution finding and option evaluation / selection.

Over the course of the next week, see if you can find some common heuristics. Also, returning to our discussion about the banana (at the start of the session today), try peeling a banana in a different way, during the week. You can also try looking for different (or better) ways of doing simple and familiar tasks (i.e. solve a familiar problem in a different way).

Finally, remember that Assignment 1 is due by 4:00pm on Friday 8 September 2017.

Cheers

Phil