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Testing the impact of different scenarios on your Strategy

Submitted by admin on Thu, 23/12/2010 - 4:33pm

Scenario-planning is a technique to test a strategy’s robustness against uncertainties in the environment. It includes a description of possible scenarios, as well as an assessment of the impact on critical aspects of the organization’s strategy. Scenario-planning might force organizations to review their strategy, if it turns out that they will not be able to create value under specific conditions.

Scenarios are a way to explore the impact of possible future developments and changes. We use the strategy map as a reference document to discuss, to analyze and to make explicit the impact of alternative scenarios. Further it stimulates managers to be future-oriented and it helps them build strategy formulation capabilities.

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Testing the impact of different scenarios on your Strategy

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