The Units & Currency dialog is a powerful dialog where you can set some basic parameters for your model. Specifically, you can:
- Select the currency display
- Define a Customer Unit (you can also do this on the Start tab)
- Define Alternative Customer Units
- Define Competitor and Offering Price Units
- Select precision display
You can access the Units & Currency dialog from the More button drop down or from the "more units" link that appears in Value Modeling on the Start tab and the Units & Prices tab.
The currency drop down selects the display currency for your model. Note that you can only have one currency per model, and toggling the currency display will not affect your model values (i.e. toggling the currency from US Dollar to Euro will change display from $6 to €6).
Customer units will be how you measure the differential value of your offering to your customer vs. the competitor. If the customer unit was initially set on the Start tab, it will appear here (see Units of Measure for more)
Alternative Customer Units
Alternative Customer Units provide flexibility later when calculating and presenting value. Alternate units must be calculated in terms of your base unit. If your base customer unit is year, and you establish an alternate unit of 10 years, then the alternate customer unit is expressed as 10 of your base customer units (10 individual years in one 10 year period). See Units of Measure for more.
Competitor and Offering Price Units
Price units are how the customer would purchase your offering or your competitor's offering or judge the value of your/their solution/process. Note that your price unit may be different from the way the customer would purchase your competitor's offering. You can add price units for you and your competitor on the Units & Prices tab in the value modeling module or in the Units & Currency dialog. See Units of Measure for more.
Precision Display (decimal places)
Each Customer Unit and Price Unit can have its own precision, meaning the number of numbers that appear after a decimal point. It's best practice to set each precision so that it aligns with the values of that unit. For example, if the customer unit is per year, and the economic value per year is $1,500,000.60, the number is so large that the 60 cents is not necessary and distracting. Conversely, if the customer unit is per part produced, and the economic value per part produced is $1.50, then the 50 cents is very important to the story.
Use the decimal places drop down to select an appropriate precision in his dialog.