Burk TechnoEconomics Blog

Tornado diagrams in technology development

Tornado diagrams are one of my favorite tools for visually representing the results of a techno-economic model. They highlight the most influential input parameters in a way that is clear and easy for anyone to understand. In chemical technology development and evaluation, they can be used to identify and target the process parameters with the greatest effect on profitability. They can also help identify risks, like a strong dependence on raw material prices. Technically speaking, the tornado diagram is a form of deterministic sensitivity analysis; that is, it compares the results of a number of discrete cases. To build a tornado diagram, you begin by listing the parameters that you want to

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