Scenario planning in Portfolio Planning

  • Release version: Washingtondc
  • Updated June 17, 2024
  • 2 minutes to read
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    Summary of Scenario Planning in Portfolio Planning

    Scenario planning in Portfolio Planning allows organizations to create, evaluate, and approve strategic scenarios that align with their goals and business outcomes. This process aids in visualizing different approaches and assessing their impacts, enabling informed decision-making prior to implementing live plans. It also helps anticipate potential challenges.

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    Key Features

    • Simulated Planning: Scenarios are simulated versions of plans that allow exploration of strategic approaches without affecting live plans.
    • In Plan Toggle: This feature helps prioritize or de-prioritize planning items, with default settings based on certain criteria (e.g., Planning state as Prioritized or Done).
    • Date Management: Start and End dates for scenarios are auto-populated but can be updated. If updated dates fall outside acceptable ranges, they are highlighted in yellow.
    • Comparative Analysis: Users can compare scenarios side by side to assess differences in goal alignment and trade-offs.

    Key Outcomes

    By utilizing scenario planning, organizations can identify the optimal scenario that best meets their strategic objectives. This structured approach enhances decision-making, ultimately driving better alignment with organizational goals.

    Create and evaluate strategic scenarios to explore different planning approaches. Approve the optimal scenario that aligns with the organizational goals and strategic priorities.

    Scenario planning overview

    Scenario planning in Portfolio Planning enables organizations to create, evaluate, and approve the best strategic scenario that aligns with their strategic goals and intended business outcomes. This process helps in visualizing different approaches, assessing their impacts, and making informed decisions before implementing the live plan. By utilizing scenario planning, organizations can anticipate potential challenges.

    What is a scenario

    A scenario in Portfolio Planning is a simulated version of a plan that enables you to explore a strategic approach without affecting the live plan. It provides a safe environment to prioritize items, adjust timelines, and evaluate the potential impacts of each approach.

    As compared to a plan, a scenario additionally has the following:

    Compared to a plan, a scenario additionally has the In Plan toggle, Start dates, and End dates
    • In Plan toggle: The In Plan toggle enables you to prioritize or de-prioritize the planning items in the scenario you’re creating. By default, when you create a scenario, the In Plan toggle is turned on for planning items that have all of the following field values:
      • Planning state as Prioritized or Done
      • Start and end dates within the portfolio plan dates.
    • Date fields: The Start date and End date fields for the scenario are automatically populated based on either the planned or actual start and end dates of the planning items. You can update these dates during the scenario planning process. Once the scenario is approved, the updated dates are recorded as the approved dates for the planning items. If the updated dates fall outside the acceptable range, they’re highlighted in yellow.

    By comparing scenarios side by side, you can assess the differences in goal alignment and trade-offs between each scenario. This comparative analysis helps identify the scenario that best meets strategic objectives. For more information on comparing the scenarios, see Compare scenarios in Portfolio Planning.

    Scenario planning workflow in Portfolio Planning

    Using the Scenario Planning feature in Portfolio Planning, you can perform the following activities:

    Prioritization tab: Adjust dates of the planning items and mark them in planRoadmap tab: Adjust schedule of planning items

    Scenario Planning workflow overview

    The scenario planning workflow involves an execution owner and a portfolio owner. The following illustration illustrates how scenario plans are created based on the planned or actual dates of planning items and how the In-plan toggle is adjusted based on the states of these planning items.

    Scenario Planning workflow overview

    For more detailed guidance on using scenario planning to enhance your Portfolio Planning process, see Optimizing planning with scenario planning in Portfolio Planning.