Scenario Planning Stress Testing Tools and Techniques

Top 10 Scenario Planning and Stress Testing Resources

A guide to a range of scenario planning and stress testing resources to assist boards, management teams and risk managers plan for the future.

  1. Scenarios: Shooting the Rapids, Harvard Business Review, November 1985 (Article)

Strategic planning processes and frameworks including case studies from Pierre Wack, economist and former Royal Dutch/Shell Group executive.

https://hbr.org/1985/11/scenarios-shooting-the-rapids (Article)

  1. Scenario Planning: A Tool for Strategic Thinking, MIT Sloan Management Review, January 1995 (Article $)

A good overview of the strategic planning process and benefits from Paul .J.H. Schoemaker, academic and management consultant.

https://sloanreview.mit.edu/article/scenario-planning-a-tool-for-strategic-thinking/ (Article $)

  1. Using Scenarios to Plan for Tomorrow, Harvard Business Review, March 2012 (Article)

A seven-step process for undertaking scenario planning from academic and management consultant, Mike Rosenberg

https://blog.iese.edu/rosenberg/files/2011/12/Article.pdf

  1. Living in the Futures, Harvard Business Review, May 2013 (Article)

Practical advice and guidance on scenario planning from two former, Royal Dutch/Shell Group executives, Angela Wilkinson and Roland Kupers.

https://hbr.org/2013/05/living-in-the-futures

  1. Managing Financial Risk: The Role of Stress Testing and Downside Scenario Analysis, December 2019 (Article)

Article from the Creator & Founder of 52 Risks, Peter Deans outlining the benefits of stress testing and scenario planning in the corporate sector and how to undertake effective stress testing.

https://www.52risks.com/2019/12/24/managing-financial-risk-the-role-of-stress-testing-and-downside-scenario-analysis/

  1. Scenario Planning 101 for Directors, Company Director Magazine, February 2021 (Article)

Practical advice and guidance on scenario planning from Cheryl Durrant, a career defence specialist. The article has, in turn, a list of additional resources.

https://aicd.companydirectors.com.au/membership/company-director-magazine/2021-back-editions/february/scenario-planning-101-for-directors

  1. Stress Rehearsal, Company Director Magazine, December 2021 (Article)

Article from the Creator & Founder of 52 Risks, Peter Deans outlining contemporary current techniques to assess new threats such as climate change.

https://www.aicd.com.au/risk-management/framework/plan/stress-rehearsal.html

  1. Stress Testing for Nonfinancial Companies, McKinsey (Article)

A recent article on the use of stress testing in the corporate sector.

https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/stress-testing-for-nonfinancial-companies

  1. Good Practice Guide to Climate Stress Testing, United Nations Environment Programme (Document)

A detailed guide from the United Nations Environment Programme on climate change stress testing. Lots of diagrams, tips and advice on undertaking scenario planning and stress testing.

https://www.unepfi.org/wordpress/wp-content/uploads/2021/12/Good-Practice-Guide-to-Climate-Stress-Testing.pdf

  1. Shell Scenarios, The Shell Group (Website)

A website from The Shell Group, a pioneer in scenario planning in the corporate sector. The website outlines the Shell Group’s approach to the development of scenarios and documenting numerous scenarios.

https://www.shell.com/energy-and-innovation/the-energy-future/scenarios/what-are-scenarios.html