Dive deeper and position your organisation for financial resilience with scenario testing.
The Financial Resilience Model is a new, exclusive CIPFA product. Building on our Financial Resilience Index, it allows local authorities to amend their underlying data and adjust the key metrics that sit behind the indicators of financial stress. Appropriate for all areas of an organisation, the model aims to enable local authorities to plan for and simulate 'what if' scenarios.
As highlighted by recent global and national events, it's more important than ever to understand your organisation's financial health and identify the potential risks that need monitoring, or reviewing and/or any mitigation strategies that need to be put in place. This modelling empowers your team to implement measures to address high-risk areas, allowing you to maintain a strong financial position and resilience.
Why use CIPFA's bespoke Financial Resilience Model?
With increased scrutiny over decision making within local authorities made more complex by a range of potentially significant and unpredictable external factors, our comparative analytical tool has been designed to enable local authorities to plan for multiple scenarios, informing decisions and providing businesses cases to undertake certain actions.
Through CIPFA's bespoke Financial Resilience Model, users can run a number of scenario tests, simulating a variety of spending and income changes that could occur in the future, ranging from most likely to least likely. This capability will allow local authorities to forward plan and understand how their level of perceived financial risk is changing, shedding light on questions like, "If we lower social care spending by 10%, how does that affect our level of financial risk?".
Find out more
To learn more about how CIPFA's Financial Resilience Model can help support your organisation, or to request a demo, contact our customer services team: customerservices@cipfa.org.