A Survey of Users of Corporate Planning Models

Abstract

Why are over 2,000 corporations either using, developing, or planning to develop some form of corporate simulation model? What types of companies are using corporate planning models? How are they being used? Which resources are required? These are among the questions which were raised in a recent survey of 346 companies whose results are summarized in this paper. The paper also examines the costs and benefits to be derived from using corporate simulation models. Finally, drawing on the survey results, the authors speculate on future developments in the field of corporate modeling.

The art of company financial modelling

“…CFA) 3 Education at domestic universities 2 Education at foreign universities 1 The survey results are consistent with the observed and previous findings [37] regarding the general acceptance of CFMs among corporations. The sources are consistent with the noticed practical, rather academic inclination.…”

Real Options as an Instrument of Sustainable Growth in Banking and Portfolio Management

“…Importance of corporate planning and the creation of models for receiving business solutions were studied by Naylor and Schauland [1976], Traenkle, Cox and Bullard [1975], Grinyer and Wooller [1978], Hamilton and Moses [1973]. In research authors fairly indicate the needs of the accounting of such a factor as subjective judgment of the manager participating in the creation of strategic forecasts.…”

Operations research in the Netherlands

“…For examples, see [1,2,4,6,7,9,11,13,18,19,24,25]. It seems as if especially Americans are fond of this approach.…”

“…Many written questionnaires used the Fortune list of largest firms for a mailing list. They had responses like 16% [6], 19% [18], 23% [24] or 16% [251.…”

“…For examples, see [3,5,7,9,10,11,13,14,15,16,20,21]. On the other hand, one finds papers describing the application of operations research methods, based on empirical research and it turns out that a certain country has been implied, usually, of course, the U.S.A. For examples, see [6,18,19,24,25].…”