Wouldn’t it be lovely if you could predict the future.
Well that ain’t happening but spreadsheets let you scratch the itch anyway, and may just be the best thinking buddy you know.
A well constructed model lets you play games, pushing you to ask, what if …
What if the revenue line kicked in three months early/late?
What if the funding came in here/there?
What if we half/double the sales and half/double the production capacity?
What if costs went up/down by 10%?
What if we couldn’t hire the right person until June/September?
What if this critical/unquestioned assumption was wrong?
It’s not that there’s any magic in the numbers, or that the answers have any more chance than usual of being right … it’s that the game forces you to ask the questions. And that’s good.
Skippy strategy: What if your assumptions were wrong?
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