Mapa mental
Financial Modelling
Conteúdo do mapa
Financial Modelling
Feasibility
- Benefits
- Clarify modelobjectives
- Identify boundaries- what it will and will not do
- Estimate time and resources
- understand main risks
- broad data requirements
- confirm whether model should be built
- broad data requirements
- understand main risks
- Estimate time and resources
- Identify boundaries- what it will and will not do
- Clarify modelobjectives
- Problems Avoided
- Expectations differ
- model is rushed
- model does not mitigate risks
- solution is suboptimal
- model gets abandoned
- solution is suboptimal
- model does not mitigate risks
- model is rushed
- Expectations differ
- Should include
- Purpose and objectives
- users of the model
- initail thoughts on how the model will work
- level of risk
- time and resources needed
- signed agreement
- Payback period
- time and resources needed
- level of risk
- initail thoughts on how the model will work
- users of the model
- Purpose and objectives
- Benefits
Analyse
- Benefits
- Ensures Model Solves correct problem
- Forces developer and sponsor to think through problem
- common understanding
- makes testing easier and effective
- new undertanding of problem and more valuable outcome
- makes testing easier and effective
- common understanding
- Forces developer and sponsor to think through problem
- Ensures Model Solves correct problem
- Problems Avoided
- Building takes much longer
- frequent chnges introduce errors
- design may be haphazard
- other stages take longer
- model is discarded
- other stages take longer
- design may be haphazard
- frequent chnges introduce errors
- Building takes much longer
- Occam's Razor
- Define Model Relationships and Reports
- Bubble Diagrams
- Non descriptive
- Who will use reports
- Calculation Tables
- Useful
- Descriptive
- Take a long time to make
- Bubble Diagrams
- Benefits
Design
- Benefits
- Built in Correct software
- Calculations are easy to understand
- Appearance is usser friendly and professional
- Calculations are easy to understand
- Built in Correct software
- Problems Avoided
- Difficult to use
- Difficult to navigate
- Difficult to develop or amend
- Likey to contain errors
- Hard to test
- Likey to contain errors
- Difficult to develop or amend
- Difficult to navigate
- Difficult to use
- Choosing the Software
- Spreadsheets
- lots of numerical manipulation
- user interface
- copmplex report structures
- user interface
- lots of numerical manipulation
- databases
- data validation
- lots of data little calculation
- data validation
- Spreadsheets
- Golden Rules of Design
- One formula per row (column)
- Refer to left and above
- Use multiple worksheets appropirately
- Separate inputs, calculations, results
- Consistent use of columns
- Include documentation sheet
- Consistent use of columns
- Separate inputs, calculations, results
- Use multiple worksheets appropirately
- Refer to left and above
- One formula per row (column)
- Benefits
Maintain
- Model Must stand alone
- Developer may change jobs
- Model is not misused
- Developer may change jobs
- Back Up procedures
- Copy saved off site
- Control Change
- Change request forms
- Only one person makes changes
- Version number naming rules
- Only one person makes changes
- Change request forms
- Model Must stand alone
Implement
- User manuals and training
- Communicates how to use model
- Sensitivity analaysis
- Fluctuations in inputs affect outputs
- Monte Carlo 95% degree of certainty
- Include Exec. summary
- Recommendations and next steps
- Include Exec. summary
- Monte Carlo 95% degree of certainty
- Fluctuations in inputs affect outputs
- Scenarios
- Different Stories
- Possible Inputs
- Run trees
- Branches of changs with a summary report
- Comparator
- Run A, Run B, Run A-Run B
- Different Stories
- User manuals and training
Test
- Analysis
- Review Model reports
- Review calculation Tables
- Examine data inputs
- Review calculation Tables
- Review Model reports
- Unique Formulae
- Identify Unique Formulae
- Check unique formulae analysis
- Check referencing
- Check unique formulae analysis
- Identify Unique Formulae
- Numeric
- Check results to analysis example
- Idenpendently calculate results for seecond time
- Reconcile against exsisting report
- Idenpendently calculate results for seecond time
- Check results to analysis example
- Robustness
- Perform boundary test with sensible inputs
- Check zero, negative and large inputs
- Perform boundary test with sensible inputs
- Macro
- check macro buttons and hyperlinks
- try to brak macros with reasonable tests
- macros have error traps?
- try to brak macros with reasonable tests
- check macro buttons and hyperlinks
- Analysis