Q 597. What is a Cause-Effect Matrix? How is it different from a Cause and Effect Diagram? Provide an example of Cause-Effect Matrix from your process or organization.

 

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Cause & Effect Matrix is one of the tools used in DMAIC methodology of for improvements. Generally in its Analysis phase to understand the impact of each variable input has on outcomes. So each inputs are treated as a possible Cause and impact on output is considered Effect.

Cause & Effect Diagram is a graphical representation of initial due diligence to categories them in different parts thus forming a tree or fishbone like structure leading to the outcome. As opposed to Cause & Effect Matrix which actually helps in priorities the focus areas.

Example: Below table shows some of the Cause as the reason for higher Transfer rates Where as Transfer Rate itself is the Effect.

Cause	Effect
Root Cause	Transfer Impact	Priority
Incorrect IVR Routing	15%	3
Associate Ownership	40%	1
Associate Limited Access	5%	5
Associate Lack of Knowledge	30%	3
Too many options in IVR	10%	4

 

A Cause-Effect Matrix is a tool used to prioritise potential causes of a specific problem. In contrast to the Cause and Effect Diagram, it uses quantitative logic to asses the priority of a cause.

Ratings are given to the causes in terms of Severity, Occurrence and Impact, similar to the FMEA tool. Basis the simple calculation of Severity multiplied by Occurrence, the priority is assessed considering the impact. Sharing below an example from one of my previous organisations.

Problem Statement: Customers complained of long waiting queue for chat response.

Potential Causes were identified and ratings provided post discussion with impacted users.

Below matrix was created with ratings on a scale of 1 to 5 (1 being low and 5 being high).

Potential Causes	Severity	Occurrence	Impact	Priority (Severity x Occurrence)
Process Complexity	3	2	3	6
Lack of Supervision	4	2	4	8
Inadequate Manpower	5	4	5	20
Lack of training	4	3	4	12
System Slowness	4	4	4	16

 

We focussed our efforts towards inadequate manpower and system slowness as these factors had the most significant impact on long waiting queues.

Differences between these Cause-Effect Matrix and Cause and Effect Diagram is indicated below.

Cause-Effect Matrix	Cause and Effect Diagram (Fish Bone)
Tabular view	Visual, typically fishbone shaped diagram
Quantitative Approach	Qualitative Approach
Primary objective to prioritise causes	Primary objective to explore potential causes

Cause and Effect Diagram

 

This matrix is generally known as a Fishbone diagram or Ishikawa diagram.

It is a visual tool which is used to analyze and display the related potential causes of a specific problem.

This diagram looks like skeleton of a fish.

 

 

Typically, it has structure around the main branches of the Fishbone. Which are here below.

 

·       People

·       Process

·       Equipment

·       Materials

·       Environment

 

When we generally visually mapping out these potential causes and their relationship in diagram format. It usually identifies the main root cause of the problem.

This is a great tool in problem-solving and process improvement.

 

 

Cause-Effect Matrix

 

This is generally a Six -Sigma valuable tool which is used to determine the Key Process Input Variables which are based on priorities of customer.

It is also known as X-Y diagram, prioritization Matrix and Correlation Matrix.

The main goal of this matrix is to mathematically compute the relationship between Key process input variable and Customer output.

 

Prerequisite of this matrix:

 

·       Process Map

·       Voice of customer

·       Cause and effect analysis

 

 

·       It generally relates process steps to input and correlates to process output.

·       Customer requirements are ranked by order of importance and then inputs and outputs are rated by their interaction impact.

·       It identifies key customer requirement.

·       Outputs are generally given a priority scores.

 

Inputs are rated based on the strength of their relationship with output variables as per below.

 

0 = No correlation

1 = Remote correlation

3 = Moderate correlation

9 = Strong correlation

 

Few major differences between Cause -Effect Matrix & Cause and effect Diagram are here below:

 

	Cause-Effect Matrix	Cause and Effect Diagram
Purpose	Primarily used to prioritize and quantify the potential cause of a problem	Used to visually brainstorm and categorize potential causes of a problem
Format	It is generally a matrix or table form which lists the potential causes in rows and criteria in a column.	It is a visual diagram that looks like a fish skeleton. A horizontal line representing the problem or effect and “bones” branching out to represent various categories of potential causes.
Analysis Method	It involves in quantitative analysis. It assigns numeric values	It does not assign any numeric values. It focuses on qualitative analysis and creative thinking.
Focus	It supports team to make data driven decision making.	This is a tool which generating ideas and promoting a better understanding about problem.

Pradeep Shukla has provided the best answer to this question. Well done!