The Importance of Problem-Solving and Why Managers Need to Know How to Do It

Picture this: You just launched a new product. You and your team have poured countless hours and resources into it, but for some reason, it’s not selling as well as you projected. You’re at a loss as to why. This is where implementing good problem-solving skills can make or break you. 

Most people think that problem-solving is a given to running a successful business or team, but that’s not always the case. Oftentimes, we tend to confuse overthinking and worrying with actually searching for solutions. The key to creatively finding answers to your problem (like not selling the product you thought would be a hit) is distancing yourself from these negative patterns and equipping yourself with the right skillset.

When faced with a challenge, a good leader immediately tries to find the source of the problem. In business, problems often stem from a variety of factors, so you’ve got to put your detective hat on and do a little sleuthing. Going back to our example - what’s causing your product not to sell? Perhaps your marketing campaigns missed the mark, or your sales team is having trouble connecting with potential buyers. Or maybe a competitor already got you beat with a similar product. Isolating each of these factors will help you focus your problem-solving skills on the areas that need your attention the most. 

Once you’ve broken down your problem into more manageable chunks and established the “whys” behind it, the next step is to search for actionable solutions. It’s great to sit down and develop a large-scale action plan, but I want you to think smaller first. If you can discover one or two small-scale solutions that can be implemented right now, you’re much more likely to keep a problem from snowballing out of control. Tom Puthiyamadam echoes this methodology in his article for Strategy + Business, writing, “The companies that will ultimately prevail are ones that focus on the best solutions that can be deployed in the shortest amount of time.” When correcting a problem, action is always more valuable than inaction. 

Problem-solving is where so many managers and business leaders unfortunately miss the mark. The good news is, it’s a skill that can be improved with time and practice. By prioritizing good problem-solving practices within your teams and management circles, you can help cut down on circular thinking, avoid stress, and get back to running a successful business. 

Throughout my career as a consultant, manager, entrepreneur, and founder I’ve developed my own unique problem-solving methodology to help leaders get “unstuck” and make it easier for teams to “buy-in.” DM me or email [email protected] if you’re interested in learning more.