Connect costs, commercial assumptions and project viability with the decision you need to make.
Explore six connected areas. The business question defines the scope, the evidence and the depth of analysis.
Connect demand, technical requirements and project costs to examine an idea before a larger commitment.
Choose what to develop further and what evidence to obtain next.
Build a view of cost drivers and compare alternatives while considering quality, capacity and service needs.
Identify a small number of cost questions worth investigating.
Examine what customers value, how offers are priced and where discounts or delivery costs affect the economics.
Choose a pricing or offer question to validate with evidence.
Look beyond reported profit to the timing of receipts, payments, inventory and investment needs.
Clarify the timing and amount of resources needed for the option.
Compare how demand, price, cost or timing changes could affect the same option, and separate known information from estimates.
Identify the assumptions to validate before moving forward.
Bring the option, supporting numbers, uncertainties and next questions into a concise record that people can discuss.
Agree what is ready for discussion and what still needs work.
Illustrative study topics and possible documents. Scope, assumptions and specialist involvement are agreed with you.
Try a simple operating example. Move price, variable cost or volume to see how they connect with the monthly result.
This example is above its operating break-even point.
A simplified single-offer learning example, using constant unit prices/costs and monthly fixed costs. Price and volume move independently; no demand response is predicted. Tax, financing, initial investment and cash timing are outside this example. A project appraisal requires a separate agreed model.
Market, technical, operating and financial questions connect. The depth of the study should fit the next decision.
Connect the market need, technical possibility and an initial economic view before developing a more detailed case.
Connect with technical study maturityBuild an agreed set of assumptions for revenue, capital needs, operating costs and cash timing. Compare alternatives and sensitivities.
Connect with technical study maturityReview consistency, uncertainty and dependencies. Record what the model can support and what still needs checking.
Connect with technical study maturityUseful documents connect evidence with a decision. Format and detail depend on the agreed question.
| Possible document | What it brings together | What it helps discuss |
|---|---|---|
| Feasibility & business case | Commercial assumptions, technical inputs, capital/operating needs and cash-flow scenarios. | Whether to examine an option further and which assumptions matter. |
| Cost & margin review | Cost drivers, pricing logic, cost-to-serve and product or service economics. | Where to investigate a cost or profitability opportunity. |
| Assumption & sensitivity record | Evidence sources, ranges, dependencies and how changes affect the case. | What remains uncertain and what to validate next. |
Potential advisory study documents. Your team owns the business decision and the subsequent agreed actions.
A finished model is not required to start. One clear question and a view of the information available can define a useful first step.
What choice needs to be made, and by when?
Which project, offer, investment or improvement paths are being considered?
What demand, cost, technical or cash-flow information is already available?
Which uncertainties, constraints or specialist inputs need to be explored?
Yes. An early discussion can define the question, available evidence and the assumptions that need investigation. The depth of a study should match the decision stage.
The questions can apply to a product, service, operating choice or proposed project. Industrial options may also need technical and process information from our connected capabilities.
Start with the option, the decision you need to make and any available cost, revenue or operating information. We can first identify what is usable and what is missing.
A scope can compare options on a common basis, including their practical requirements, economics and uncertainties. The choices and criteria are agreed at the beginning.
Possible outputs include a scoped feasibility assessment, an assumptions-based model, an options comparison or a decision brief. Documents, detail and review arrangements depend on the agreed work.
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A lower-impact product may cost more at first. Understanding who pays, what changes over its lifetime and which benefits are supported by evidence makes the comparison more useful.
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