Explain what is a TREE DIAGRAM, its uses with examples and
a case study
OPERATIONS MANAGEMENT
JEYASREE SB , AUG - 2024
A Tree Diagram is a
hierarchical representation of
information that visually
displays relationships
between different elements
in a logical sequence.
It is alternatively referred to
as a hierarchy diagram,
systematic chart, or
analytical tree.
TREE DIAGRAM
Structured like a tree, starting from a central idea (root)
and branching into subcategories, called nodes
(branches and leaves).
It is a strategic and organizational tool employed for
systematically dissecting complex issues, gradually
segmenting overarching problems into more
manageable components.
Decision-Making and Problem-
Solving
Helps in breaking down complex
problems into smaller,
manageable parts.
Example: A person wants to go
on a weekend trip. A tree
diagram helps him visualise all
the options available.
USES OF A TREE DIAGRAM:
Project Management and
Planning
Work Breakdown Structure to
define main tasks, sub-tasks and
dependencies in a project.
Visual representation of project
structure.
Example: In software
development, divide the project
into design, coding, testing,
deployment, and maintenance.
USES OF A TREE DIAGRAM:
Risk analysis and failure analysis
Fault tree analysis– root cause
analysis.
Helps in evaluating different
options and their potential
outcomes.
E.g..: in an aircraft maintenance
project, a tree diagram can
identify possible causes of engine
failure and suggest preventive
measures.
USES OF A TREE DIAGRAM:
Quality Control and Process
Improvement
TQM and Six Sigma to identify
causes of defects in
manufacturing.
Identifying bottlenecks and
pinpoint areas of improvement.
E.g..: A company facing frequent
product defects can use a tree
diagram to analyse root causes.
USES OF A TREE DIAGRAM:
Brainstorming and Idea
Generation
During brainstorming sessions, a
tree diagram can help organize
and categorize ideas
It allows for a structured
approach to idea generation.
E.g.: Mind-maps.
USES OF A TREE DIAGRAM:
Probability and Statistics
(Mathematics)
Used to calculate probabilities in
probability trees.
Example: In a probability
problem, a tree diagram can
show the outcomes of flipping a
coin multiple times (Heads-Tails
branches).
USES OF A TREE DIAGRAM:
Background: A multinational FMCG company faced
supply chain disruptions due to delayed deliveries and
high transportation costs.
Problem Statement: The company needed to identify
the root causes of these inefficiencies and optimize its
supply chain.
Case Study: Tree Diagram in Supply Chain
Management
Supply Chain Issues
Transportation Warehousing Demand Forecasting
High
Cost
Delays Space
Dama
ge
Over-
stock
Stock-
out
Inefficient route
planning
GPS route
optimisation
Poor inventory
management
Just-in-time stocking
Incorrect sales
predictions
AI based tools
• Complexity: When dealing with extensive hierarchies
or many branches and sub-branches.
• Oversimplification: May oversimplify complex systems
or processes, potentially missing important details.
• Time-Consuming: For large-scale projects, it may
require significant effort to gather and organize the
necessary data.
• Maintenance: Keeping them current can be a
challenge.
• Difficulty in modification: Difficult to add new
branches in the middle, as it needs to move the total
structure to the lower levels of the tree.
Disadvantages of using tree diagrams
THANK YOU
https://www.mindmanager.com/en/features/tree-diagram/
#:~:text=A%20tree%20diagram%20allows%20users,it%20impacts
%20the%20entire%20outcome.
www.6sigmastudy.com/article?title=Tree-Diagram
https://sixsigmastudyguide.com/tree-diagram/
https://bgmcgroup.com/tree-diagram-example-and-procedure/

Operations Management - Tree Diagram.pptx

  • 1.
    Explain what isa TREE DIAGRAM, its uses with examples and a case study OPERATIONS MANAGEMENT JEYASREE SB , AUG - 2024
  • 2.
    A Tree Diagramis a hierarchical representation of information that visually displays relationships between different elements in a logical sequence. It is alternatively referred to as a hierarchy diagram, systematic chart, or analytical tree. TREE DIAGRAM
  • 3.
    Structured like atree, starting from a central idea (root) and branching into subcategories, called nodes (branches and leaves). It is a strategic and organizational tool employed for systematically dissecting complex issues, gradually segmenting overarching problems into more manageable components.
  • 4.
    Decision-Making and Problem- Solving Helpsin breaking down complex problems into smaller, manageable parts. Example: A person wants to go on a weekend trip. A tree diagram helps him visualise all the options available. USES OF A TREE DIAGRAM:
  • 5.
    Project Management and Planning WorkBreakdown Structure to define main tasks, sub-tasks and dependencies in a project. Visual representation of project structure. Example: In software development, divide the project into design, coding, testing, deployment, and maintenance. USES OF A TREE DIAGRAM:
  • 6.
    Risk analysis andfailure analysis Fault tree analysis– root cause analysis. Helps in evaluating different options and their potential outcomes. E.g..: in an aircraft maintenance project, a tree diagram can identify possible causes of engine failure and suggest preventive measures. USES OF A TREE DIAGRAM:
  • 7.
    Quality Control andProcess Improvement TQM and Six Sigma to identify causes of defects in manufacturing. Identifying bottlenecks and pinpoint areas of improvement. E.g..: A company facing frequent product defects can use a tree diagram to analyse root causes. USES OF A TREE DIAGRAM:
  • 8.
    Brainstorming and Idea Generation Duringbrainstorming sessions, a tree diagram can help organize and categorize ideas It allows for a structured approach to idea generation. E.g.: Mind-maps. USES OF A TREE DIAGRAM:
  • 9.
    Probability and Statistics (Mathematics) Usedto calculate probabilities in probability trees. Example: In a probability problem, a tree diagram can show the outcomes of flipping a coin multiple times (Heads-Tails branches). USES OF A TREE DIAGRAM:
  • 10.
    Background: A multinationalFMCG company faced supply chain disruptions due to delayed deliveries and high transportation costs. Problem Statement: The company needed to identify the root causes of these inefficiencies and optimize its supply chain. Case Study: Tree Diagram in Supply Chain Management
  • 11.
    Supply Chain Issues TransportationWarehousing Demand Forecasting High Cost Delays Space Dama ge Over- stock Stock- out Inefficient route planning GPS route optimisation Poor inventory management Just-in-time stocking Incorrect sales predictions AI based tools
  • 12.
    • Complexity: Whendealing with extensive hierarchies or many branches and sub-branches. • Oversimplification: May oversimplify complex systems or processes, potentially missing important details. • Time-Consuming: For large-scale projects, it may require significant effort to gather and organize the necessary data. • Maintenance: Keeping them current can be a challenge. • Difficulty in modification: Difficult to add new branches in the middle, as it needs to move the total structure to the lower levels of the tree. Disadvantages of using tree diagrams
  • 13.