Enterprise risk & controls · Core

Scenario analysis

Also called: scenario assessment

ELI5

Analysis of outcomes under coherent alternative future conditions.

Used in conversation

“Can we separate the likelihood of scenario analysis from its potential impact?”

Pitch context

You will see “Scenario analysis” in board papers, contracts, policies, risk registers and compliance reports when the discussion reaches enterprise risk & controls.

Why it matters: In enterprise risk & controls, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Connected terms

Sources & evidence · 3

Direct term-level sources and supporting source families.