The Scenario Manager is a feature in what-if analysis and you can use this to enhance your forecasting in Microsoft® Excel®.
A scenario is a set of values that Excel saves and can automatically substitute in specific cells on a worksheet. You can create and save different groups of values on a worksheet, and then switch to any of these new scenarios to view results differently.
For example: Suppose you want to create a budget but you are uncertain of your revenue, you can define different possible values for the revenue and then switch between scenarios by applying any of the what-if analysis tools.
Note: You are welcome to download the workbook to practice.
Applies To: Microsoft® Excel® 2010 and 2013.
1. Click the Projection worksheet.
2. Set up the Best Case scenario:
- On the Data tab, in the Data Tools group, click what-if analysis.
- Click Scenario Manager, then click Add.
- Click in the scenario name text box and enter “2nd Quarter Best Case”.
- Click in the Changing cells text box and select the D6:D8.
- Press and hold down the Ctrl key then select D10:D11.
- Click OK.
- Enter values for the 2nd Quarter Best Case.
- Click OK.
3. Set up the Worst Case scenario:
- Click Add.
- Click in the scenario name text box and enter “2nd Quarter Worst Case”.
- Click OK.
- Enter values for the 2nd Quarter Worst Case.
- Click OK and then Close.
4. To view the scenarios:
- On the Data tab, in the Data Tools group, click what-if analysis.
- Click Scenario Manager and then click 2nd Quarter Best Case and click Show, Close.
- On Data tab, in the Data Tools group, click what-if analysis.
- Click Scenario Manager and then click 2nd Quarter Worst Case and click Show, Close.
5. To view a scenario summary.
- On the Data tab, in the Data Tools group, click what-if analysis.
- Click Scenario Manager.
- Click the Summary button then click OK.
As you can see, scenarios give you different views of the same data and also helps in simplifying your forecasting process.
