About the Author: Tristan Colgate is a Certified Master Anaplanner and Managing Director at Fidenda.
Hello, Anaplan Community!
One modeling challenge that we sometimes come across — especially when replacing a spreadsheet-based solution — is how to automatically goal-seek to calculate a result, when the calculation is circular. In Excel we have the goal-seek function, but this is clunky and manual. Our goal in Anaplan is to make the experience as real-time, automated, and easy to use as possible.
In this ‘How I Built It’ tutorial, I show you a technique I have used to automate the calculation of Residual Land Value. This is a concept from the real estate industry and is a calculation that determines the price that should be paid for a piece of land to achieve a certain profit margin. It’s circular because we calculate interest on a loan to fund the project, which impacts the profitability.
I would be really interested to hear from anyone who has other examples of where this technique can be used.
Questions? Leave a comment!
P.S. If you missed my first ‘How I Built It’ on solving the world’s hardest Sodoku puzzle, check it out here!
All ‘How I Built It’ tutorials can be found here.
