Global Consulting Team

7 Step Framework Training

Step 5: Conduct Analysis
What types of analyses can you use to prove or
disprove hypotheses • industry reports – research from people who have expertise in this area
• interview based work – qualitative information
What are the - phone interviews/surveys with customers/stakeholders

• scenario analysis
types of - models should be based on reasonable assumptions – only as good as what is put in

analysis that - provide range and sets of assumptions for particular situation to realize

• market research
you can do in
• analogous reasoning – sometimes need to look for something similar
order to - Does not necessarily have to be in the same field, just need to ensure that they share
similar characteristics (e.g. – compare bank v telecoms due to large customer base)
develop a
• benchmarks – e.g.: global best practices, public reports (financial
fact-based statements analysis)
answer? • media analysis
• sit down with client and observe at a more operational level – useful as
at a certain high level up, they can tell you what should be happening
but not what is happening
 Financial impact matrix
Financial viability

Low cost

Medium

High cost

Low Medium High

impact

3
Example analysis – ratio analysis (1/2)

• Often non-profits questions such as ‘What is the best way to raise funds?’
and ‘Which of our programs should we focus on?’

• To work out what activities an organisation should prioritise, one can

compare the benefit and costs of different activities within a group.

• Costs include both the direct costs (expenditure on an activity) and

indirect costs (e.g. value of labour hours spent on the activity).
Example analysis – ratio analysis (1/2)

• Example:
• Say an organisation has three main ways they raise funds:
1. Applying for government grants
2. Collecting money on the streets
3. Holding a fundraising ball
• In each case, calculate:
• (Money Raised) ÷ (Direct and Indirect Cost of Raising Money)
• The activity with the highest ratio should in general be prioritised
• Other examples:
• (Social Impact of the Program) ÷ (Cost of the Program)
• (Social Impact of the Type of Good) ÷ (Cost of Distribution)