Project Scenarios-What if Analysis
Project conception and monitoring involve estimation risks. Estimates are uncertain. Expert judgement is used to quantify these.
However hard we plan, there would always be some random variations. Let us explore the “what if” in the forecast group at data tab. Scenario manager here is helpful in creating various project (probable) outcomes.
This concept is best understood using an example. Click here to download the workbook.
You need to solve it to get a grip over it.
Do the followings.
- Use “Goal seek” to create the various break-even quantities
- Use “data table” to vary two variables at a time
- Create a “Scenario Summary” with most likely, Optimistic and Pessimistic quantities.
- Run Monte Carlo simulation.
These tricks allow great possibilities to a problem solver. Your comments to simplify and further explore it are welcome.
This is an awesome post.Really very informative and creative contents. These concept is a good way to enhance the knowledge.I like it and help me to development very well.Thank you for this brief explanation and very nice information.Well, got a good knowledge.ReplyDelete