Tag Archives: problem to solve

How to decide what problem to solve.

An organization exists to solve a problem for people that have that problem. Organizations that seek to perform and grow are wise to be thoughtful about what problem to solve.

Specifically, it is easiest for an organization to grow if the problem it solves is Important, Pervasive, and Persistent. It also helps if the solution addresses a problem that is Nearby to other problems and/or that is a Small part of Bigger Problems.  Finally, the solution needs to drive a price that is Rational given its Costs and the Value it drives.

Figure 1: The Best Problems to Solve are Important, Strategic, and Persistent

Every customer likely has many problems but is constrained in how many can be addressed at once by limited resources such as: time, money, and manpower.  The best practice is to sort problems in priority order based on the lift in performance that comes with a solution and the drag on performance if not solved. Resources are then focused almost exclusively on the top few leaving others to be addressed down the road.
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