Competitive Advantage · Scenarios & uncertainty
Sensitivity Analysis
Sensitivity Analysis · Analysis method
You need to diagnose the situation, expand alternatives, or find a stronger solution.
Why use it
Structure diagnosis and choice while expanding the set of viable alternatives.
How to apply
- Define the specific management situation and desired outcome.
- Gather the minimum facts, constraints, and perspectives needed to use the tool.
- Apply Sensitivity Analysis, make key assumptions explicit, and compare the result with realistic alternatives.
- Record the decision, next owner or action, and a testable criterion for the next step.
Output
A structured diagnosis, stronger alternative, and next decision.