Individual skill

impact-quantification

Estimate and communicate business impact of insights. Use when sizing opportunities discovered in analysis, calculating ROI of recommended actions, or prioritizing initiatives by potential impact.

05-stakeholder-communication/impact-quantification/SKILL.md

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SKILL.mdcore · 2,021 bytes
SKILL.mdcore · 2,021 bytes
assets/business_case_template.mddoc · 1,678 bytes
assets/impact_estimate_template.mddoc · 1,434 bytes
references/assumption_documentation.mddoc · 2,739 bytes
references/impact_quantification_framework.mddoc · 3,283 bytes
scripts/confidence_interval.pyruns · 3,146 bytes
scripts/cost_savings.pyruns · 4,048 bytes
scripts/revenue_impact.pyruns · 4,502 bytes

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# When to use

After an analytical finding surfaces a potential action, change, or opportunity. Use to produce a defensible numeric estimate that stakeholders can act on. Also use when prioritizing a backlog of initiatives — quantified impact is the primary ranking signal.

# Process

1. **Classify the impact type** — revenue growth, cost reduction, risk reduction, or efficiency gain. Each type has a different formula family (see `references/impact_quantification_framework.md`).
2. **Gather inputs** — collect baseline metrics, affected population size, expected lift/reduction, time horizon, and confidence level.
3. **Build the point estimate** — use `scripts/revenue_impact.py` for revenue/growth scenarios or `scripts/cost_savings.py` for cost/efficiency scenarios.
4. **Add uncertainty bounds** — use `scripts/confidence_interval.py` to produce low/base/high estimates. Never deliver a single number without a range.
5. **Document assumptions** — fill in `references/assumption_documentation.md` for every input that is estimated rather than directly measured; note the sensitivity of the output to each.
6. **Package the estimate** — complete `assets/impact_estimate_template.md` with the range, assumptions, confidence, and recommended action; optionally build the full `assets/business_case_template.md` for larger decisions.

# Inputs the skill needs