Budgeting & Forecasting | Scenario Planning
Base, best and worst, modeled in minutes.
Build base, best and worst cases off the working plan. Adjust a pricing lever, freeze a headcount tranche or slip a collection cycle and read the P&L and cash impact of each scenario side by side. When reality picks one, promote it to the working forecast with a single action.
What the system does
Capability, input, output.
| Capability | Input | Output |
|---|---|---|
| Scenario builder | Working plan + lever adjustments | Named base, best and worst scenarios |
| P&L impact read-out | Revenue, cost and margin drivers per scenario | Side-by-side P&L comparison against the plan |
| Cash impact read-out | Scenario P&L + AR, AP and payroll timing | Projected cash runway per scenario |
| Driver-linked scenarios | Price, volume, headcount and collections rate inputs | Every dependent line recalculates on lever change |
| Scenario promotion | Chosen scenario + approval | Working forecast updated in place, prior version archived |
| FX and multi-entity | Entity-level scenarios + exchange rates | Consolidated group view across all scenarios |
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Scenario builder
- Input
- Working plan + lever adjustments
- Output
- Named base, best and worst scenarios
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P&L impact read-out
- Input
- Revenue, cost and margin drivers per scenario
- Output
- Side-by-side P&L comparison against the plan
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Cash impact read-out
- Input
- Scenario P&L + AR, AP and payroll timing
- Output
- Projected cash runway per scenario
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Driver-linked scenarios
- Input
- Price, volume, headcount and collections rate inputs
- Output
- Every dependent line recalculates on lever change
-
Scenario promotion
- Input
- Chosen scenario + approval
- Output
- Working forecast updated in place, prior version archived
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FX and multi-entity
- Input
- Entity-level scenarios + exchange rates
- Output
- Consolidated group view across all scenarios
Standards + connections
Scenario models wired to the data that drives them.
Every scenario reads from the same ledger, the same driver table and the same AR and AP aging that the base plan uses. The numbers are comparable because the source is the same.
Regulations we work within
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IAS 1 going-concern
Multi-scenario cash projections support the going-concern assessment directors and auditors require under IAS 1.
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Board-level sensitivity disclosure
Best and worst cases feed the sensitivity disclosures boards publish in annual reports and investor presentations.
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Rolling forecast cadence
Scenarios integrate with the rolling forecast cycle so each re-cut tests multiple outcomes, not one.
Connects to
- Driver-Based Planning Lever inputs feed directly from the driver model
- Cash Flow Forecasting Scenario P&L flows into the cash runway automatically
- Accounts Receivable Collections rate and aging inform the upside and downside
- Rolling Forecasts Promote a scenario to the live forecast when reality decides
Scenario Planning FAQ
What buyers ask.
How do I build a scenario without changing the working plan?
Each scenario is a copy of the working plan with a separate set of lever adjustments applied on top. The base plan is never touched. You can create a price-increase scenario, a hiring-freeze scenario and a collections-slip scenario independently, compare all three on one view, and archive or promote any of them without affecting the others.
Which levers can I adjust in a scenario?
Any driver that feeds the model: revenue by product, price per unit, headcount by team, discretionary spend lines, collections rate and FX rates. Because scenarios are built on the same driver table as the base plan, a change to one lever flows through every dependent line automatically. You do not need to update each affected account by hand.
Can I see cash impact alongside the P&L for each scenario?
Yes. Each scenario projects both a P&L and a cash runway. The cash view reads the scenario P&L together with your AR and AP aging and payroll calendar, so a revenue shortfall scenario shows the week the runway tightens, not just a lower annual profit number.
What happens when the business moves in one direction and I want to adopt that scenario?
You promote the scenario to the working forecast. The prior forecast is archived with a version record so the change is auditable. From that point the promoted scenario becomes the new baseline for the next planning cycle and for budget vs actual variance.
More in Budgeting & Forecasting
Related features
Rolling Forecasts
Re-cut the forecast on a cadence, with elapsed months replaced by actuals and the horizon rolling forward.
See Rolling ForecastsCash Flow Forecasting
A direct 13-week cash runway built from live receivables, payables, payroll and tax due dates.
See Cash Flow ForecastingDriver-Based Planning
Tie revenue to units and price, headcount to cost, and cloud spend to usage. Change one driver and every dependent line recalculates.
See Driver-Based Planning
Build base, best and worst on your own numbers.
Connect your books and driver model. The first scenario runs on your working plan, your live AR aging and your actual cost structure, not a generic template.