Run Five Whys on a Margin Leak
Use Five Whys to find the process cause behind an interior design margin leak.
Expected net margin was 22%, but the project closed at 7% after repeated reselections and site visits. Use Five Whys to move from symptom to controllable process cause. The common trap is stopping at a person explanation: "The client was difficult." That creates frustration, not an operating improvement. Why 1 Why was margin low? Because design hours exceeded the proposal by 41 hours. Start with a measurable symptom instead of a feeling. Why 2 Why did hours exceed proposal? Because the team handled four extra reselection rounds and six extra site visits. Separate the overrun into specific activity drivers. Why…
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