On Potential Problem Analysis: Under The Guidance of

Report
On
Potential Problem Analysis
Under the guidance of

Dr. CH. VENKATAIAH
By
Satya Siddhardha Kalidindi
Regd No: - 121824601021
POTENTIAL PROBLEM ANALYSIS
A potential problem analysis (PPA) is a systematic method for determining what could go
wrong in a plan under development. The problem causes are rated according to their likelihood
of occurrence and the severity of their consequences. Preventive actions are taken and
contingency plans are developed. The process helps to create a smooth, streamlined
implementation process.
The planning group should be briefed on the results of the vulnerability assessment, consider
the recommendations of this assessment, and begin planning.
Potential problem analysis (4) is a technique for identifying preventive strategies and
response and recovery strategies for problems that could arise in a given situation. Its value is
that it systematically breaks down a problem into its components. Applied to emergency
management, it can lead to innovative and effective strategies. The technique involves:
- Identifying a hazard or hazardous situation

- Listing potential problems
- Determining causes
- Developing preventive strategies
- Developing response and recovery strategies, and trigger events for these strategies.
Preventive strategies are ways of reducing the probability of the problem, thereby reducing
susceptibility. Response and recovery strategies are ways of reducing the seriousness of a
problem that does occur, thereby increasing resilience.
At least two things are required to initiate a response or recovery strategy: a trigger event, and
a person or organization responsible for initiating the strategy. The trigger event should
indicate when the strategy is required; it could be an alarm, a warning, or the emergency
itself. The responsible person or organization should be capable of initiating the strategy and
the responsibility should be predetermined. To take a simple example, when flood water
(hazard) reaches the 2-metre level at a particular bridge (trigger), a landowner (responsible
person) contacts three neighbours so that they can move their animal stock to higher ground
(response strategy).
A potential problem analysis can be performed by one person alone, but much better results
will be obtained by a planning group. The planning group will also have a greater
commitment to the strategies if it has been involved in their development.
WHEN TO USE POTENTIAL PROBLEM ANALYSIS TOOL?
Uses:
Prior to the implementation of a plan.

When a problem may occur.
When the schedule for the plan's completion is significant.
When there is a high cost of failure.
When working with a large or complicated plan.
PPA will help you identify what could go wrong and prevent the successful implementation
of a decision or plan. It enables you to identify potential problems and their likely causes, and
hence determine what actions are required to prevent the problem occurring, or at least
minimise their effect if they do occur. This will install confidence into everybody concerned
that they have done as much as possible to successfully implement the plan
HOW TO USE POTENTIAL PROBLEM ANALYSIS TOOL?
The Potential-Problem Analysis is a way of mapping out potential problems and making sure
you pro-actively deal with the most serious ones.
The method consists of 8 steps:
Step 1. Define the objectives
What are the things which absolutely must happen to successfully implement the solution?
Make a list of all objectives, without which the project will likely fail.
Step 2. Generate a list of potential problems

Identify everything that could possibly go wrong. What are some of the weak spots in the plan?
What are the moments where problems might occur? What could prevent you from reaching
an objective?
If you have trouble identifying potential problems, use thinking techniques to generate ideas.
You could, for instance, use the Time Traveller technique. Imagine yourself in the future,
looking back on the project. What went wrong?
Step 3. Identify the specific nature of each problem

For every potential problem you listed, answer the following four questions.
– What?
– Where?
– When?
– To what extent?
Step 4. Determine the amount of risk associated with each problem
For each potential problem, evaluate the potential seriousness and the probability that it will
occur.
Select problems that involve high or moderate risk. Low-risk problems can be ignored for now
(as it is rather impractical to take every tiny thing that could possibly go wrong into account).
Step 5. Search for possible causes of each problem

Use your experience and good judgement and write down what could cause the problems
you listed.
Step 6. Estimate the probability of occurrence
How likely is each undesirable event to happen? Look at the possible causes and estimate the
probability of each problem occurring. Use percentages.
Step 7. Develop means for preventing causes or minimising their effects

Generate solutions in advance. What can you do to eliminate the potential causes altogether?
Can you reduce the likelihood of the listed problems rearing their ugly heads? What is the
likelihood of each problem occurring after you’ve taken these preventive actions?
Step 8. Develop contingency plans

Even though you’ve described some preventive actions to be taken, it’s good to plan for
disaster. Do some worst-case planning and specify exactly what actions will be taken if the
problem occurs anyway. What will you do if your preventive actions are not entirely
successful?
Preventive actions are usually less costly than contingency plans, so never skip step 7 in favour
of step 8.
KEY STEPS
 Identify potential problems

 Determine likely causes
 Decide on preventative actions
 Decide on contingency actions
 Modify action plan
Expertise Required:
This tool is easy to use and requires little or no training.
Advantages:
Addresses causes, evaluates risk, and keeps preventive actions and contingency plans
separate.
Disadvantages:
Only identifies and addresses transparent problems.
EXAMPLE ABOUT AN ORGANIZATION THAT HAVE CONSIDERED
FOR THIS STUDY
Manufacturing Unit Uses This Tool In order To Estimate The Risk
Some people assert that the dynamics of organizations and people are not nearly so mechanistic
as to be improved by solving one problem after another. Often, the quality of an organization
or life comes from how one handles being “on the road” itself, rather than the “arriving at the
destination.” The quality comes from the ongoing process of trying, rather than from having
fixed a lot of problems. For many people it is an approach to organizational consulting. The
following quote is often used when explaining the organic (or holistic) approach to problem
solving.
“All the greatest and most important problems in life are fundamentally insoluble … They can
never be solved, but only outgrown. This “outgrowing” proves on further investigation to
require a new level of consciousness. Some higher or wider interest appeared on the horizon
and through this broadening of outlook, the insoluble lost its urgency.
A major advantage of the organic approach is that it is highly adaptable to understanding and
explaining the chaotic changes that occur in projects and everyday life. It also suits the nature
of people who shun linear and mechanistic approaches to projects. The major disadvantage is
that the approach often provides no clear frame of reference around which people can
communicate, feel comfortable and measure progress toward solutions to problems.
SUMMARY
Potential Problem Analysis is not a negative search for trouble. It is a positive search for
ways to avoid and lessen trouble that is likely to come in the future. As such, Potential
Problem analysis is one of the most rewarding activities engaged by a manager. It is a tool
available for bringing into focus today the best thinking of an informed management team
properly concerned with the future.

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Report

Under the guidance of

- Identifying a hazard or hazardous situation

Prior to the implementation of a plan.

Step 2. Generate a list of potential problems

Step 3. Identify the specific nature of each problem

Step 5. Search for possible causes of each problem

Step 7. Develop means for preventing causes or minimising their effects

Step 8. Develop contingency plans

 Identify potential problems

Manufacturing Unit Uses This Tool In order To Estimate The Risk

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