The document provides an overview of 7 management tools: Affinity Diagram, Interrelationship Diagraph, Tree Diagram, Matrix Diagrams, Prioritization Matrix, Process Decision Program Charts (PDPC), and Activity Network Diagrams. It defines each tool, explains how to use it through examples, and illustrates the tools with diagrams. The tools are designed to help structure thinking, simplify complex problems, improve analysis, and facilitate planning and decision making.

1. NEW 7 MANAGEMENT
TOOLS

2. WHY THE NEW SET OF TOOLS
To structure the brainstorming process
Simplify
Remove fear
To help create a comfort fit (minimal
dependence on statistics)
Improve penetration
Increase application

3. LIST OF TOOLS
Affinity Diagram
Interrelationship diagraph
Tree Diagram
Matrix Diagrams
Matrix Analysis
PDPC, process decision program charts
Arrow diagrams

4. AFFINITY DIAGRAM
Definition
An Affinity Diagram is a special type of
brainstorming process that is used for
organising large groups of information into
meaningful categories. It helps us to clarify
and make sense of a large or complex
problem

5. AFFINITY DIAGRAM
Process
Record each idea on cards or notes
Look for ideas that seem to be related
Sort cards into groups until all cards have
been used.

6. AFFINITY DIAGRAM
Example

7. INTER RELATIONSHIP
DIAGRAPH
Definition
This tool displays all the interrelated
cause-and-effect relationships and
factors involved in a complex
problem and describes desired
outcomes. The process of creating
an interrelationship diagraph helps a
group analyze the natural links
between different aspects of a
complex situation.
`

8. INTER RELATIONSHIP
DIAGRAPH
Process
Agree on the issue or question.
Add a symbol to the diagram for every element involved in the
issue.
Compare each element to all others. Use an "influence" arrow to
connect related elements.
The arrows should be drawn from the element that influences to
the one influenced.
If two elements influence each other, the arrow should be drawn to
reflect the stronger influence.
Count the arrows.
The elements with the most outgoing arrows will be root causes or
drivers.
The ones with the most incoming arrows will be key outcomes or
results.
`

9. INTER RELATIONSHIP
DIAGRAPH
Example

10. INTER RELATIONSHIP
DIAGRAPH
Example
The inference is that Potential causes for late delivery are:
‘Poor scheduling practices’ (6 outgoing arrows),
‘Late order from customer’ (5 outgoing arrows), and
‘Equipment breakdown (3 outgoing arrows).

11. TREE DIAGRAM
Definition
This tool is used to break down broad
categories into finer and finer levels
of detail. It can map levels of details
of tasks that are required to
accomplish a goal or task. It can be
used to break down broad general
subjects into finer and finer levels of
detail. Developing the tree diagram
helps one move their thinking from
generalities to specifics.

12. TREE DIAGRAM
Process
Develop a statement of the goal
Ask a question that will lead you to the next level of detail.
Brainstorm all possible answers. Write each idea in a line below.
Show links between the tiers with arrows.
Do a “necessary and sufficient” check. Are all the items at this
level necessary for the one on the level above?
Each of the new idea statements now becomes the subject: a
goal, objective or problem statement.
Continue to turn each new idea into a subject statement and ask
the question, till you reach a root cause
Do a “necessary and sufficient” check of the entire diagram. Are
all the items necessary for the objective?

13. TREE DIAGRAM
Example

14. MATRIX DIAGRAM
Definition
This tool shows the relationship between
items. At each intersection a relationship
is either absent or present. It then gives
information about the relationship, such
as its strength, the roles played by
various individuals or measurements. Six
differently shaped matrices are possible:
L, T, Y, X, C, R and roof-
shaped, depending on how many groups
must be compared.

15. MATRIX DIAGRAM
Example
A personnel department wanted to improve social activity within the company in order
to increase loyalty levels. A theory was put forwards that soft-skills training contributed
significantly towards this in-house socializing. The personnel manager consequently
decided to use a Matrix Diagram to investigate this. The steps taken were:
Objective: Investigate effect of soft-skills training on social activity.
Matrix: T-matrix, with people on main stem, in-house training courses to left,
attendance of social clubs to right, plus an extra column for years of service.
Comparison: In-house training - tick for attendance within last three years; social
clubs - three bands corresponding to under 30%, 30% to 70% and over 70%
attendance in the same period.

16. MATRIX DIAGRAM
Example

17. MATRIX DIAGRAM
Example
The resultant matrix, showed that people with higher levels of
social training also tended to be more committed members of
social clubs. It was also noticed that there seemed to be a
particular increase in commitment after going on the team-building
course. The length of service showed no particular pattern.
As a result, the training was expanded, and people were given
more encouragement to attend (particularly the team-building
course). This resulted in a steady increase in social activity and a
reduction in attrition rates.

18. PRIORITISATION MATRIX
Definition
This tool is used to prioritize items and
describe them in terms of weighted
criteria. It uses a combination of tree and
matrix diagramming techniques to do a
pair-wise evaluation of items and to
narrow down options to the most desired
or most effective.

19. PRIORITISATION MATRIX
Example
Problem
To identify the most important factors effecting motivation in
a team

20. PRIORITISATION MATRIX
Example

21. PDPC
Definition
A useful way of planning is to break down tasks
into a hierarchy, using a Tree Diagram. The
PDPC extends the tree diagram a couple of
levels to identify risks and countermeasures for
the bottom level tasks. Different shaped boxes
are used to highlight risks and identify possible
countermeasures (often shown as 'clouds' to
indicate their uncertain nature). The PDPC is
similar to the Failure Modes and Effects
Analysis (FMEA) in that both identify
risks, consequences of failure, and contingency
actions; the FMEA also rates relative risk levels
for each potential failure point.

22. PDPC
Process
From the bottom level of some activity box, the PDPC
adds levels for:
•identifying what can go wrong (failure mode or risks)
•consequences of that failure (effect or consequence)
•possible countermeasures (risk mitigation action
plan)

23. PDPC
Example
A dress production team at a clothes manufacturer was
improving the cutting-out process in order to minimize
material wastage. They decided to use PDPC on the work
breakdown structure to identify potential problems and ways
of avoiding them.
As the most expensive element is the material itself, they
defined a significant risk as, 'Anything that might cause the
cut cloth to be ruined', and viable countermeasures as,
'Anything that will reduce the risk, and which costs less than
100 pieces of cloth' .

24. PDPC
Example

25. PDPC
Example
As a result of this, the cutting was tested on cheaper
material, resulting in the material clamp being redesigned to
prevent drag, a start notch provided for the cutter and the
general area being inspected for sharp corners to minimize
snag problems. The cutting operator was involved in the
PDPC process and the subsequent tests, resulting in her fully
understanding the process. The final cutting process
thereafter ran very smoothly with very little error.

26. ACTIVITY NETWORK DIAGRAM
Definition
This tool is used to plan the appropriate sequence
or schedule for a set of tasks and related
subtasks. It is used when subtasks must occur in
parallel. The diagram enables one to determine
the critical path (longest sequence of tasks). (See
also PERT diagram.)
Two Types
•Arrow on Node
•Arrow on Arrow

27. ACTIVITY NETWORK DIAGRAM
Process
In the activity on arrow (AOA) diagram each
activity is represented by an arrow connecting two
circles (nodes)
The nodes represent transitions between activities –
referred to as events
The duration of an activity is written by the arrow
representing it.
Example shows activity (A), the duration of which is
four days, between events 1 and 2.

28. ACTIVITY NETWORK DIAGRAM
Process AOA
Time is denoted on AOA diagrams in the top and bottom right-hand quadrants
of the nodes, thus:
Earliest Start (ES) Time for any
activity leaving event 3
Event
Number
Latest Finish (LS) Time for any
activity entering event 3 (without
putting the project as a whole behind
schedule)

29. ACTIVITY NETWORK DIAGRAM
Process
In the activity on node (AON) diagram, each
activity is represented by a rectangular box – the
arrows merely indicate precedence.
AON networks do not need dummies to maintain
logic of precedence.
More information is normally included on the
AON diagram.
Most computer packages for project planning
and control tend to use AON notation.

30. ACTIVITY NETWORK DIAGRAM
Process AON
AON notations do vary, but below is the most commonly used
Earliest Earliest
Start time Duration finish time
Activity Number and Activity
description
ES d EF
Latest Total Float Latest Activity
Start time finish time
LS TF LF
Shorthand notation

31. Thank you