How To Solve Any Business Problem? Find a Model

In business, your job is to solve problems. Often it's like you're playing chess with ten grandmasters at the same time.

But, if you can't solve problems, there are many people who will. As John D. Rockefeller said, "The growth of a large business is merely a survival of the fittest". If you don't solve problems you may find yourself on the fast track to the business graveyard.

To become a problem solver, you need to maximize your imagination and creativity. Now that's tricky. How to be "creative" when you are solving a business problem (usually) under pressure? Simply. Find a model!

No. I'm not talking about a fashion model.

I'm talking about one of the most effective ways to find new, creative business solutions. 

Modeling means you find business that already solved a similar problem, and you simply do the same thing. It's nothing new. You use it your whole life. 

In most cases, there is no need to find breakthrough solution. You don't need to invent new technology unless there is no other solution. Why? Because, if you invest your time and money in something new, you will have test it, so it's possible it won't work at all. It's an unnecessary risk and waste of time. On the other hand, if you model someone else, it means he already solved the problem. He tested it for you. It's faster, cheaper, and safer.

Let we now discuss how to do this modeling thing. First, you need to find a model....

How To Find The Right Model

To find a model you need to know what you are looking for. So first, define your goal. I suggest you use good old SMART goal criteria. Take a piece of paper and write specific, measurable, achievable, realistic and time-targeted goal.

You may think, "but I have a problem, not a goal." Just translate it in a goal. Instead of, "we need to sell more or we are going down" say, "increase sales for 30% in the next twelve months." 

Now you just need to find someone who already achieved the goal. It's not that hard. Use Google. Talk to some friend. Send email to someone who know. Read some report. 

Let's say you have a bakery business. And your goal is to expand. You now have two bakeries, and you want to have ten of them, in 5 years. (This is a strategic goal, you will probably use modeling for tactical goals, but it's good for demonstration purposes).

Now you need to find some bakery chain with ten objects. So, you search. "List of top Bakery Companies". You just found several bakeries with +10 objects. 

How To Research?

Now you need to find all you can about them, and then separate the ones who are most similar to yours. How? Use questions.

• Who? 
• What? 
• When?
• Where? 
• Why? 

How they started? Where they started? Who was in charge? ... Use as much questions as you need. You can usually find a lot of information on their website, or some forum, magazine etc. You can also send them an email with questions. 

Let me play with this. I searched and found Bread Talk, company from Singapore. I'm far from Singapore, but they are one of the most successful franchises there, and Singapore is very competitive environment for food business. After more digging I found a lot about how they work. It's a whole new system. Their outlets consist of a huge see-through kitchen. They rented most of the best retail space. They introduce new products frequently. Ok. Now I dig about their history... And ask questions. 

You can take all your notes put them on index cards. In example of bakery, you can become franchise. Or you can use see-through kitchen. Or something else. (In case you didn't notice, i don't know much about bakeries)

What now? You are now ready for...

Action Plan

What you do here is you go over all the details you gathered very carefully and you try to find SMART answers for your goals. SMART answers are specific, measurable, achievable, realistic and time-targeted. So we translate all the facts we have to SMART answers for your problem/goal.

When you have SMART goal, detailed research and SMART answers for your problem, you can make a simple action plan.

Simply map out the path for achieving your goal. Step by step, what to do. A, B, C, BANG! It should be one page action plan, up to about 350 words at most.

Now, just do it. And that's the way you can use modeling to solve business problems.

Let's sum it all up:

1. You create a SMART goal.

2. You find a group of possible models.

3. You select one or two models and ask questions about them (research).

4. You make SMART answers.

5. You create an ACTION PLAN.

6. You take the ACTION PLAN and do what you need to do.

Do this! You can't lose! You just need a piece of paper and some time. And you can solve any problem, big or small.

What do you think about modeling?