What is the concept behind the funnel model in scenario planning?

Scenario planning aids in making predictions for possible future scenarios by allowing organizations to explore and prepare for several possible future developments. It involves creating a map or matrix that balances different strategic dimensions, including potential threats and growth factors. This process includes detailing as many aspects as possible to evaluate the likelihood of success or failure of various strategic alternatives. The idea behind this approach is that the farther we look into the future, the higher the number of probable developments. Therefore, scenario planning helps in preparing for many possible future scenarios rather than just one.

Scenario planning contributes to the success or failure of various strategic alternatives by allowing organizations to evaluate the likelihood of different outcomes. It involves creating a scenario planning map and a scenario planning matrix to balance different strategic dimensions and develop an agile response strategy. The idea behind this approach is to predict many possible future scenarios rather than just one, which helps in making informed decisions and mitigating risks.