MGT603 Systems Thinking - Laureate International Universities

Rich Picture, CATWOE and Root Definition Report

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Create a visual depiction of a multi-dimensional complex situation that represents differing views.

1. Rich Picture - Students are to create a Rich Picture of the problem they identified in Assessment 1

2. Root Definition report using CATWOE - A Root Definition report is a structured analysis and description of the system being investigated. A Root Definition report explains the what, how and why.

Problems:

Most people found the bad customer service, the customer always has to follow one proper direction, expensive delivery charges, for example, they don't have a proper way to deliver the product at customer's place. Apart from it, they don't have proper marketing strategies such as, most of the people of the city don't know about the IKEA stores.

Objective:
To solve the above Problems by using CAWOE Analysis and using Rich Picture.

1. Rich Picture:
Rich pictures are the ones which are used to represent a matter pictorially in a way that anyone can understand easily. There is no requirement of Artistic skill for this one.

2. CATWOE Analysis:

Customer/Client: Customers or clients play an important role in the growth of the business. The reviews that are given by the customers are very important for the growth of a business. Through the experience that was got by the customers brand loyalty will be developed, which is very essential for the sale of products. In business, the brand is having an important role as everyone prefers to purchase branded items as they are durable for longer periods of time even the cost of the product is more. That's why it is more important to maintain that brand loyalty among the customers because if one customer felt satisfied with the product the mouth talk of that customer is more than enough to get the fame of those products and regarding this the trust of existing customers is more important than the new customers.

Actors:

The actors that are included in the business are the ones that are involved in the situation and who can solve the problem. This group included the employees and others like Suppliers, agencies, and officials. To solve a problem it is necessary to consider every actor who is involved in the business. For Example, to attend to the customer's Customer care agencies and members have to be increased in order to attend the problems of the clients. In order to know about the store to everyone Hoardings has to be kept in main areas and care should be taken in a way that the main store should be in the Heart of the city.

Transformation Process:

This step is an important one to attain a solution in the CATWOE Analysis where we can analyze the problem and find a solution for it. In IKEA the Drawbacks we have observed in the first assessment are Bad Customer Service, Delivering the products lately, Expensive delivery charges, and no proper direction for the delivery of products. In order to solve these problems changes have to be done in its processes, for example, Customer service can be strengthened by maintaining more manpower who can attend for the customer problems and after taking the complaints one has to analyze them and take an effective decision to achieve customer satisfaction. Coming to the delivery charges as the product quality is good customer will not go back to take the product even the price of a product is more. So delivery charges can be reduced and that burden can be given on the product cost to satisfy the customer. Proper direction for the delivery of products has to be created in addition to the main store some sub-offices in the main areas have to be established form where they can deliver their products to customers easily and quickly.

World View:

Analyzing a problem from the world view is more important in order to avoid its long-lasting effects. Never we should underestimate a problem once the problem raised we should be able to think about its effects on the fame of business and it will help to handle a business in a proper way.

Owner

Here the owner refers to not the owner of the company but the person who is having the problem. Who can take ownership of that problem and can he give the solution to the Problem.

Environmental Constraints:

All the problems will have obvious solutions but the solutions cannot be put into effect due to some environmental constraints like time and budget. For example, if we take the solution for reducing the delivery charges for the product, solution by reducing the delivery charge can be taken easily but if the customer is from long distance to the store bearing transportation charges to deliver the product to the customer will be a loss to the company. In order to prevent this situation, delivery charges have to be kept on the customer based on the location of the customer from the store. If the delivery charge levied on all the customers is the same it will lead to the dissatisfaction of the customer who is living near to the store.

This final step is a crucial one as it will take the persons to reality in finding a solution to the problem. By analyzing a problem and by filtering all solutions from a realistic point one can approach to a proper solution to solve the problem efficiently.

It is not necessary that CATWOE analysis has to be applied for all small and the problems which come in a routine but this approach will help to analyze the problem from all sides and it will help to take a decision in a very efficient way. Also, some time and investment have to be kept on this CATWOE analysis but the result which we obtain from this analysis will have long effects which are appreciable as it contains a solution from six different perspectives.

Based on these 6 tools the two optimal solutions that we can consider the problems are To Establish the Main Store in the Heart of a city such that it will be in easy access to all the people around the city or else in order to make the people know the location of store Hoardings has to be kept in main areas of the city such that by seeing those hoardings everyone can know the address of Location.

Solution for the Second problem is maintaining more manpower in the customer care who can address the problems of the customers efficiently.

Solution for the Third problem is to reduce the delivery charges and to provide good delivery service delivery offices should be established in some main areas of the city where people can collect their goods or from where delivery of goods is done and the charges are based on the location distance of the customer from the office.

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