Long-Range Forecast Planning

Long-range planning platform for portfolio assessment

A leading international biotech company wanted an adaptive platform that would provide a real-time depiction of the company’s financials based on the performance of 30+ product-indication combinations having a market worth of around $2B.

Viscadia was asked to design and build a scalable, dynamic long-range planning model that would aggregate product- and firm-level financials from cross-functional stakeholders to create an all–encompassing portfolio dashboard.

Challenge

Deal Structures

• Formulating a flexible and scalable design to accommodate inputs across varying deal structures and partnerships, including but not limited to royalty, milestone, upfront payment, cost sharing, etc

Asset Standardization

• Categorizing and incorporating the plethora of assets, each varying in aspects such as stage in the product life cycle, launch year, modeling complexity, etc., into a standardized template that can be leveraged to efficiently add/edit assets over time

Portfolio Management & Analysis

• Aggregating asset and firm-level dynamics while accounting for their respective interactions to create a singular yet comprehensive picture of the company portfolio

Approach

Asset Segmentation

• Classified and segmented the assets on the basis of their stage of development, deal structure, and forecast availability, and mapped the segments to a forecast approach and appropriate financial template

Profit Sharing

• Incorporated asset-specific profit-sharing deal structures to track revenue and expenses as a result of partnerships and support a clear depiction of the financial performance

Asset Templatization

• Built a base standard template to house asset-level financials and facilitate data collation and representation across all asset types – to ensure consistency and scalability

Central Repositor

• Created a one-stop repository for all the financial inputs related to different assets to make the user experience more streamlined and hassle-free

Portfolio Management

• Managed client’s complete portfolio through dynamic, individual asset-level modeling and aggregation that caters to different cross-functional needs

Analyses Support

• Provided frameworks to configure multiple scenarios across different financial elements, + Calculated portfolio specific KPIs (such as NPV) to measure the health of the business

Outcome

End Deliverables

• Long Range Planning model with a comprehensive set of insights and output views, including a comparator view that helped the user quantitatively compare changes between different models/scenarios with the help of waterfall charts
• User manual providing extensive documentation to facilitate and support easy knowledge transfer and refresh in subsequent LRP cycles

Key Highlights

• Enabled leadership to measure and reflect on historical performance and plan strategies for future years
• Established streamlined processes to manage inputs and outputs across cross-functional stakeholders

Impact

• Built an extensive model that serves as the heart and core of Long-Range Planning (LRP) planning cycles at the client’s end to date
• A self-sufficient automated framework that will continue to help the client add/edit any new/existing assets for the next 5-10 years