The use of scenarios in corporate planning—eight case histories |
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Authors: | Harold E Klein Robert E Linneman |
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Institution: | Dr. Robert E. Linneman is on the marketing faculty and Dr. Harold E. Klein in the Department of Management, both at the School of Business Administration, Temple University, Philadelphia, PA 19122, U.S.A. |
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Abstract: | In response to an increasingly turbulent environment, many firms are attempting to develop means to assess proposed strategies in the light of plausible alternative futures. Probably the most widely adopted technique for this purpose is multiple scenario analysis (MSA). The extent of MSA adoption among corporations varies considerably depending upon respective planning experience and top management's involvement and interest in MSA itself. The gamut of MSA adoption is examined among eight representative large U.S. corporations. It is clear that, while corporate interest is high, current formal scenario generating methodology is too complex or academic for practical corporate use. Instead, planners are using their own informal approaches to scenario generation. |
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