Economic & Financial Modelling,
and informed decision making
Framework has worked with numerous organizations as they create a new or adjust an existing business model to respond to market realities, new program development, new contracting models and/or new funding expectations. Framework’s experience and knowledge have guided organizations through the required steps to re-define their revenue and budgeting models including their cost allocation methodologies. Business modelling needs to meet the needs of both the organization and any regulatory reporting requirements.
Well-designed business models support the organization with meeting strategic goals, performance monitoring and effective decision making.
Framework not only helps organizations re-conceptualize their business model but also provides the analytical expertise to support the organization make the right decisions.
A Sampling of Our Experience
- Senior’s Care and Supportive Living - Worked with a regional industry group to re-develop the funding model for seniors care for parts of Alberta including complex inputs for unit-based costing including a cost allocation model.
Supported the development of redesigning the budgeting processes and cost allocation model for housing and seniors’ care at Bethany Care Society. The operating budget was approximately $70m.
Worked with program teams in developing/revising program-based costing and program measures to meet operating objectives and financial requirements. Examples of these are Adult Day Support Programs, Dementia Care, C3 (Comprehensive Community Care Program) etc.
- Capital and Operating Models - Led the development of the capital proforma, capital cost reporting and operating budgets for social service and seniors’ developments within Alberta. The organizations included Carewest, Aventa Addiction Treatment Center for Women, Bethany Care Society and Apex Developments.
- Alberta Association of Orthotists and Prosthetists - Supported this community wellness association in understanding service component costs, developing service delivery benchmarks, and developing a revenue model/fee guide as a basis for negotiation with provincial funders.
- Private Bulk Commodity Logistics Firm. NOVA Gas Transmission - Worked with the industry steering committee to review and re-conceptualize a capacity allocation and cost allocation model and formulate a new industry cooperation agreement.
- Facilitated the Products and Pricing team to re-conceptualize gas transmission service offerings and associated pricing across the province of Alberta from a competitive market perspective. Developed customer needs and market segmentation models that contributed to the development of fundamentally new concepts for services and rate design. Worked on the proposed concepts and designs through industry stakeholder consultation/negotiation process. Prepared two extensive rate design applications submitted to the Alberta Energy Utilities Board.
- TransCanada Pipelines - Worked with the Services and Pricing team at TransCanada Pipelines Ltd, initially to investigate alternative models for gas transmission service and pricing across Canada, and subsequently to develop a Transportation Services White Paper that introduced proposed new service and pricing concepts to industry stakeholders. Investigated the economic feasibility and developed a business case to support investment in offshore compressed natural gas transport.
- Canadian Association of Petroleum Producers (CAPP) - Prepared a strategic review of the five-year cost-efficiency incentive settlement between a pipeline and its customers on behalf of CAPP and its members. The review included the creation of a cost of service financial model to compare and contrast results with those achieved with the cost efficiency settlement.
- NrG Information Services Inc. - Developed a financial model and scenarios to support the assessment of alternative marketing strategies and future business direction for the natural gas e-commerce business.
- PinPoint Fleet Services Inc. - Developed financial model and ran scenarios to support successful funding and start-up in the e-commerce vehicle location and tracking services sector. The modeling efforts supported decision-making around structure, financial targets, pricing and cash requirements.
- Calgary Philharmonic Orchestra - Developed comprehensive revenue, cost and overall financial models that enabled the organization to examine various programming options and compensation schemes. The models – designed to support organizational restructuring, successful management/union negotiations and fundraising strategies – included complex timing schedules, seating capacities for multiple venues, fill rate scenarios, multiple fundraising options personnel planning, etc.
- Calgary French and International School - Developed financial models for the construction operation and fund development for a $12M private school. Models enabled the examination of multi-variable scenarios including interest rates, enrolment, construction costs, inflation, operational costs, multiple funding sources and payback timing.
- Imperial Oil Ventures Ltd. - Build the complete financial statements for tax purposes for the $3B division of Imperial Oil. Built a statistical sampling tool to enable Imperial to reduce its attest function by incorporating the probability of invoicing error per company with the dollar amounts associated. The group moved from 100% attest to using sampling with significant cost savings.