A problem well defined is a problem half solved
A company wants to reduce its employee turnover. It uses the following five problem solving steps.
- Define the problem.
- Measure the current state.
- Analyze for the root causes.
- Implement solutions and achieve improvement.
- Plan and execute ideas to sustain the gains.
As a first step it sets up a project charter to define the problem. A Project charter is a one – page snap shot of the project.
A Project charter
A project charter contains
- The Business Case – Why this project?
- The problem statement – What is the problem faced?
- The goal statement – What is the goal of the project?
- Team members names.
- Team leaders name.
- Sponsor(s) name.
- Process owner name.
- Primary and secondary project metrics.
- Project completion timelines, financial and/or customer benefits and what will / will not be in scope.
Find below an example of a completed project charter focused on reducing attrition.
|PROBLEM SOLVING PROJECT CHARTER – REDUCE EMPLOYEE ATTRITION|
High attrition. It is more than the benchmark in our industry!
|Financial & customer benefits summary
Potential annualized savings of Rs. 57 lakhs PA.
Attrition, means loosing our employees, who are trained and skillful resource. When a trained employee leaves. Hard losses include:
Other losses include:
|Project completion – Start and End dates|
|Define the problem||September 2018||September 2018|
|Measure the current state||September 2018||September 2018|
|Analyse for vital causes||October 2018||October 2018|
|Improve the process||October 2018||November 2018|
|Control and sustain gains||November 2018||Till at least 3 months.|
|Project constraintsAchieve the solution without negatively impacting worker satisfaction, with least or ROI justifiable investments.||Executive sponser: Venugopal
Project sponser: Svaboda
Project Leader: AGM – HR
Project team members:
|In Scope / Out of scope – Category of employees – Workers|
|Goal statementReduce attrition to = or < 9%; Retention period of LSL = or > 90 days, Min target – 180 days.|
Primary: Worker retention in days, attrition in %
Secondary: Worker satisfaction