Thinking in Scenarios

Explore multiple futures instead of betting on one prediction.

<p>A structured introduction to scenario thinking, giving participants a method for exploring multiple possible futures rather than relying on a single prediction.</p>

Type
Explainer
Time
30 minutes
Group size
Any size
Best as
Group learning
In depth

A little more detail.

Thinking in Scenarios introduces one of the most widely used and well-evidenced tools in strategic foresight. It has its roots in the work done by Shell in the 1970s. Shell responded to the oil crisis more effectively than its competitors because it had already explored a range of possible futures and prepared for more than one outcome. That history is worth sharing briefly: it makes the case for the method without requiring a theoretical argument.

The key distinction the exercise establishes is between planning and scenario thinking. Planning typically asks: given our best estimate of the future, what should we do? Scenario thinking asks: what are the different ways this could unfold, and how would each one require us to act differently? This shift from a single forecast to multiple possibilities allows leaders to identify strategies that hold up across different futures, giving them a degree of confidence that more narrowly focused plans cannot provide.

The method works with two key uncertainties because this is the minimum required to generate genuinely distinct scenarios, and the maximum that most leaders can work with usefully in the time available. A good key uncertainty has two characteristics: it will significantly shape how the situation unfolds, and it could genuinely go in more than one direction. Identifying those two uncertainties is often where the most useful thinking in the exercise occurs, because it forces participants to distinguish what they know from what they are assuming.

The 2x2 grid generates four scenarios. The value lies in the quality of thinking and preparation the exercise produces, regardless of which scenario proves closest to reality. Leaders who have worked through multiple possibilities in advance respond to emerging change with greater confidence because some version of it is already familiar. The closing sharing step makes this visible: participants regularly identify implications they would not have reached through normal planning, which is the strongest possible demonstration of why the method is worth building into regular practice.

Outcomes

What you'll leave with.

Participants understand how to use scenario thinking as a planning tool and leave with at least two distinct scenarios mapped against a real challenge or question.

Facilitation notes

How to run it.

This introduces scenario thinking as a way to prepare for several possible futures. Establish the method with a short example, then build four scenarios from two key uncertainties and work through their implications.

one
10 minutes

Establish the distinction between planning and scenario thinking, using the Shell example briefly. The aim is to prepare for several possible futures. Make clear at the start that the value is in the conversation and preparation the exercise generates, and the point is to think through the implications of multiple possibilities, so leaders who have done this work respond to change with more confidence and less panic.

two
20 minutes

Identify two key uncertainties that will shape the situation and could genuinely go either way, then use a two-by-two grid to generate four distinct scenarios and work through the implications of each.

When to use it

Use Thinking in Scenarios when a team is leaning on a single prediction of the future and you want it prepared for several ways things could unfold. Two key uncertainties generate four distinct scenarios, and the group works through what each would demand.

Use it when

  • A team is over-relying on a single prediction of the future.
  • You want to prepare for more than one way things could unfold.
  • Leaders need a method for exploring uncertainty systematically.

Not the right tool when

  • The situation is genuinely stable and a single plan is enough.
  • There is no real uncertainty or question to build scenarios around.
Used in

Workshops that feature this tool.

Use it with your team

This tool works best in a well-facilitated room.

Using this tool with a skilled facilitator means that discussions are focused, time is used efficiently, and the group moves toward consensus, making the session productive and impactful.