What-if Models

Use Visier's What-if models to find out what will happen if a certain action is taken or change is made.

Overview

Traditionally, analytic technologies have focused on answering questions about what has happened in the past, what is happening today, and what is likely to happen in the future. Largely, analytic technologies have avoided addressing what will happen if a certain action is taken or change is made. If you've ever been in a strategy meeting with business leaders, you've probably heard questions like:

• How much will we save in labor costs if exchange rates decrease?
• What will our diversity distribution be at the end of the year if the hire rate for women is increased by 2 percent?
• What will our headcount be at the end of the year if the starts rate is increased by 1 percent?

With Visier's What-if models, you can now answer these types of questions by exploring different scenarios and comparing their likely outcomes. This will allow you to plan for the future, discover which factors have the greatest effect on the projection metric, and decide on the best course of action to achieve a goal.

A What-if model consists of several assumption metrics and a projection metric. The assumption metrics are variables that Visier experts have determined will impact the projection metric. Change different assumptions to get a projection for future time periods.

For more information, see What-if Analysis.

Visier's What-if models

The following What-if models are available in Visier People:

• Cost of Reduction in Force model: Determine how a reduction in force will impact revenue and productivity if you change the costs associated with layoffs and furloughs.
• Estimated Cost of Replacement model: Determine how you can reduce the estimated replacement cost if you change the rates of employee starts and exits.
• External Hires model: Determine how your headcount target can be achieved if you change the rates at which candidates apply and get hired.
• Women Ratio model: Determine how the Employee Ratio for Women changes if you change the rates at which women apply and get hired.
• Headcount model: Determine what your headcount will be if you change the rates of employee starts and exits.
• Headcount Walk model: Determine what the estimated Headcount will be if you change the rates of employee starts and exits, this model incorporates historical actuals, future known transactions, and future assumptions to reconcile Headcount.
• Hourly Pay & Overtime model: Determine what the total workforce cost will be if you change the amount each employee works, the amount each employee is absent, the ability to add more hours or replace absences at straight time, the average hourly rate, and the mix of overtime premiums (1.5, 2, and 3 times).
• Safety model: Determine the amount of time lost to injuries if you change the rate of safety incidences and the severity of injuries.
• Total Rewards model: Determine what the overall cost of employee total rewards will be if you change the components of compensation.

How to access the What-if models

The What-if models can be accessed through the Guidebook.

• The Cost of Reduction in Force model can be found in the Organization guidebook. Click the Crisis Management topic and look at the linked analysis titled What is the projected impact of headcount reduction (RIF) due to the COVID-19 pandemic?
• The Estimated Cost of Replacement model can found in the Visier People guidebook. Click the Discover topic or search for the business question: What is the estimated cost to replace future turnover? For further analysis, look at the linked analysis titled What is the projected replacement cost of future turnover?
• The External Hires model can be found in the Talent Acquisition guidebook. Click the Applicant Pipeline topic and look at the linked analysis titled What is the impact of changes in hiring outcomes on projected headcount?
• The Women Ratio model can be found in the Talent Acquisition guidebook. Click the Diversity topic and look at the linked analysis titled What is the impact of changes in hiring outcomes on projected employee ratio for women?
• The Headcount model can be found in the Talent guidebook. Click the Movement topic and look at the linked analysis titled What is the projected future headcount?
• The Headcount Walk model can be found in the Visier People guidebook. Click the Learn About Analytics topic and look at the linked analysis titled Learn About Visier's Headcount Walk.
• The Hourly Pay & Overtime model can be found in the Workforce guidebook. Click the Overtime topic and look at the linked analysis titled What is the projected cost of hourly work and overtime?
• The Safety model can be found in the Workforce guidebook. Click the Safety topic and look at the linked analysis titled What is the projected impact of injuries?
• The Total Rewards model can be found in the Talent guidebook. Click the Compensation topic and look at the linked analysis titled What is the projected cost of budgeted total rewards?

Conducting a What-if analysis

The What-if workflow involves the process of adjusting the assumption metrics in a model to see how those changes will affect the outcome of the projection metric.

1. Make assumptions for future data points. For more information, see What-if Assumptions.
2. Save your assumptions as scenarios. For more information, see What-if Scenarios.
3. Compare scenarios to see which combination of assumptions will meet your objectives. For more information, see Compare What-if Scenarios.