How are corporate scenarios used in the development of an effective strategy?
Scenarios give the test runs for development of effective strategy. After planning the strategy is implemented and corrected by trial and error. Using corporate scenarios, company can test the strategy before implementation to save some time in that trial and error process. Corporate scenarios are made up of the relevant context of the strategy so they are reliable to be used to judge the strategy. Scenarios also offer the flexibility to reflect rapid changes in the industry. What-if scenarios test the strategy with different constraints and limits. The result is a list of identified strengths and weaknesses of the strategy. Moreover, since scenarios can be predicted to a certain degree, plan A, plan B and back up scenarios can be developed to strengthen the strategy. In short, the corporate scenarios provide strategy with a better reflection of the company and changes.