Some examples from our extensive portfolio of custom decision model solutions:
Planning Models to Optimize Strategic Decisions
For multiple clients, we created and deployed customized “Flexible Planning Models” to enable executive teams to see implications for growth, cash flow, debt coverage, and full pro forma financial statements by exercising various investment and financing strategies in light of uncertain prices and execution outcomes. These “what-if” cases and scenarios are analyzed in real time with immediate results and enable executives to do true strategic planning with better forward visibility.
Recurring Decisions in the Energy Sector
We deployed a broad set of risky decision modules to support recurring decisions in the upstream oil and gas industry. The modules included decisions such as seismic acquisition, farm-in/farm-out, well design, workovers, and whether to add compression. These tools enable consistent analysis across the organization with rigorous probabilistic modeling, efficient peer review, and seamless funding authorizations.
R&D Portfolio Decisions
For the R&D arm of a consumer products company, we built an online tool to optimize their R&D funding choices. Each project was characterized by its technical risks, development costs and potential commercial value. Also included was each project’s demand on critical R&D resources over time, including clinical, regulatory, packaging and analytical support. Actual results post-launch were tracked so that the company could learn and continually improve its assessments around technical risk and commercial potential. We have built these R&D portfolio tools for numerous clients.
Energy Savings Calculator
For a startup in the energy efficiency space, we built an online decision tool to analyze energy savings resulting from our client’s air handling equipment installations. The tool accessed hourly weather data from around the world to model actual energy savings as well as recommend the optimal configuration and number of units. We included numerous constraints on the use of the equipment, including ensuring that more than 20 types of indoor pollution variables would be in acceptable ranges.
Multi-billion Dollar Capital Project Decisions
For an internal energy mega-project, we built custom tools to enable the owners to manage their workforce and schedule through COVID-19 changes. Constraints included isolation beds, testing and transportation to manage an international workforce in a highly uncertain environment. The model also encompassed detailed schedule analysis of critical and near-critical paths, allowing management to test their strategies and decisions against key objectives including startup dates and cost.
Cost and Schedule Risk Analysis for Major Capital Projects
We have conducted hundreds of cost and schedule risk analyses for some of the largest commercial projects all over the world. The process begins with building custom schedule and cost risk models, focused at the right level of detail to provide reliable results and insights and avoid common uncertainty modeling traps using off-the-shelf schedule risking software. These analyses provide senior management with better predictability into ultimate project costs and completion dates, as well as provide project leadership insights into risk mitigation strategies, saving both time and money.