Good decisions rely on good analysis
Decisions made individually can sometimes rely on spontaneous, intuitive decisions. Collective decision making however require all decision makers to start with a consistent level of understanding and an agreement on decision criteria.
Economic valuation and “tried and tested” methodologies can support decision-making by providing depth or breadth of analysis. They also make decisions easier to explain, implement and generally integrate in best practice governance. Judicious facilitation can smooth the decision making process.
Our services include the following:
- Decision making framework development: our extensive experience puts us in a good position to help our clients design the best decision making framework for their needs, which includes appropriate criteria, level of engagement, analytical tools, governance and monitoring processes without creating undue administrative burden.
- Total economic value or externality analyses: externalities are those elements that are typically ignored in decision making because they have no market value: well being, the use of free environmental goods for example. Reintegrating externalities in decisions or determining the Total Economic Value of a decision or project ensures that implicit trade-0ffs or hidden costs are considered.
- Decision making under uncertainty: sometimes, uncertainty becomes a barrier to decision making and can lead to paralysis. Climate change is a case in point and for too long uncertainty around the timing and extent of the consequences has been a barrier to making investment decisions in this space. By using qualitative and quantitative tools (such as Monte Carlo scenario modelling), we are able to model uncertainty and provide some level of confidence to decision makers, allowing them to get over this hurdle.
- Portfolio evaluation: quantifying and valuing externalities and co-benefits of projects and interventions will soon be common practice, required by most investors. We use sound but innovative economic technique to provide a better picture of an investement portfolio or suite of interventions.
- See also Economic and financial modelling
In summary, our goal is to remove complexity and angst from decision making, while maintaining rigour and accountability, to help our clients progress and grow.
Please contact us to talk about any specific decision making issue you may be facing.