MANAGEMENT

Detailed explanation-1: -Scenario planning is making assumptions on what the future is going to be and how your business environment will change overtime in light of that future. More precisely, Scenario planning is identifying a specific set of uncertainties, different “realities” of what might happen in the future of your business.

Detailed explanation-2: -Word: Scenario Synonym: Imagined sequence of future events Meaning: An outline of the plot of a dramatic or literary work.

Detailed explanation-3: -Scenario Analysis and Contingency Planning is a process that allows executives to explore and prepare for several alternative futures. It examines the outcomes a company might expect under a variety of operating strategies and economic conditions.

Detailed explanation-4: -Although the terms sometimes are used interchangeably, contingency planning is a specific type of scenario planning. Scenario planning usually anticipates gradual change, such as a loss of revenue over time. Contingency planning is for a sudden, drastic turn of events.

Detailed explanation-5: -Answer & Solution A contingency plan is a plan devised for an outcome other than in the usual (expected) plan.