Just a great graphic organizer to get your kids writing. I like to read a few short picture books and discuss the problems that the characters face (I recommend the Elephant and Piggie books by Mo Willems. I'm sure you've seen them. They're perfect because the problems are easily identifiable and the kids absolutely LOVE books in this series.)
Once you've discussed Problem and Solution, pass out your worksheet and explain how to use it. I recommend having the kids work on Character and Setting first in that order. Then, develop a Problem and a Solution. Enjoy!