The variety of project management tools available on the market today is huge. Their capabilities may range from robust task management to orchestrating complex multi-project environments. This article reviews the functionality that enables data-driven decision-making, which is a crucial element of effective project management. Read further to learn more about scenario planning software.
What is Scenario Planning Software?
Scenario planning software is a tool that helps analyze different scenarios and make informed decisions. It’s based on the what-if analysis technique that shows what will happen to a project if some parameters change. Scenario planning software can analyze variables, create scenarios, and model the consequences of various changes. This functionality is based on predictive analysis and incorporated into project and resource management software.
Here are some of the capabilities of scenario planning software:
— Scenario modeling.
— Assessing the impact of changes.
— Sharing scenarios.
— Making forecasts.
— Visualization of scenarios.
Now, let’s consider how these capabilities are applied in the project management process, and what their benefits are. 
Applications of Scenario Planning Software
Data-driven decision-making
Scenario planning software provides you with the opportunity to analyze different scenarios, simulate changes, and compare their outcomes. This allows you to make reasonable decisions that are backed with data, not someone’s assumptions. For example, you can find ways to resolve a bottleneck, test the best ways to respond to a risk-bearing situation, analyze whether it’s reasonable to take on a new project (whether you have enough resources to complete it), etc.
Managing risks
Scenario planning software provides an opportunity to respond to risk-bearing situations in the most advantageous way. Risks can be both positive and negative, but it can be challenging to make the right decision regarding risk response—you simply don’t know the consequences of your decisions. The what-if analysis technique will help you test scenarios and come up with effective contingency plans. As a result, you’ll be able to minimize the consequences of negative risks and maximize the opportunities provided by positive risks.
Allocating resources
Resource allocation, especially in a multi-project environment with a shared resource pool, can be a demanding task. Scenario planning software can help you test different resource allocation options and select the one that will ensure optimum utilization of resources across projects. As a result, you’ll minimize resource waste, streamline project flow, and optimize costs.
Project planning
What-if analysis and scenario planning software can improve both project planning. As noted in the previous section, you can forecast resource bottlenecks or risks; this means that you can plan projects in such a way as to avoid bottlenecks and prepare responses to risk-bearing situations in advance. Forecasting resources’ capacity helps you establish manageable project timelines without overloading resources and avoiding bottlenecks.
Epicflow is an example of scenario planning software; it’s an AI-powered resource management tool designed to meet the needs of complex multi-project environments. Its scenario analysis functionality provides a variety of insights to reduce the uncertainty of multi-project and resource management and make the most reasonable management decisions.
Making the right management decisions is the key to successful project management. This is where scenario planning software can assist. Its key capabilities include scenario modeling, analyzing the impact of changes, making forecasts, scenario visualization, etc. This functionality makes scenario planning software applicable to the following project management processes: decision-making, resource allocation, project planning, and risk management. Leveraging scenario planning software gives you the upper hand when it comes to addressing uncertainties, managing risks, and making the right management decisions.
