For each scenario cascaded down from the enterprise level, functional leaders need to diagnose and articulate the implications on two fronts:
Supply-demand. Review scenarios and understand how each might impact the organization’s demand for the function’s services. Consider how your function may need to increase or decrease its available resources in response.
Strategy-risk exposure. Determine the risks and opportunities a specific scenario creates. Consider whether those risks and opportunities significantly change the work that your function will do to support the enterprise strategy.
Once the implications, risks and opportunities are clear, adjust your function’s strategy, goals and projects or initiatives for a given scenario. Translate these into action plans by deciding which levers (e.g., people, processes, systems, budget) you should pull to meet business needs, manage risks and capitalize on opportunities.
Action plans should match the severity of the implications and tie back to your function’s core strategy.