Perform Quantitative Risk Analysis.docx - 4 Perform...

This preview shows page 1 - 4 out of 23 pages.

4Perform Quantitative Risk AnalysisPerform Quantitative Risk Analysis is the process of numerically analyzing the effect of identified risks onoverall project objectives. The key benefit of this process is that it produces quantitative risk information tosupport decisionmaking in order to reduce project uncertainty. The inputs, tools and techniques, andoutputs of this process aredepicted in Figure 11-11. Figure 11-12 depicts the data flow diagram ofthe process.
Figure 11-11. Perform Quantitative Risk Analysis: Inputs, Tools & Techniques, and OutputsFigure 11-12. Perform Quantitative Risk Analysis Data Flow DiagramPerform Quantitative Risk Analysis is performed on risks that have been prioritized by the PerformQualitative Risk Analysis process as potentially and substantially impacting the project’s competing demands.The PerformQuantitative Risk Analysis process analyzes the effect of those risks on project objectives. Itis used mostly to evaluate the aggregate effect of all risks affecting the project. When the risks drive thequantitative analysis, theprocess may be used to assign a numerical priority rating to those risksindividually.Enterprise/OrganizationOProjectDocumentsP11.4PerformQuantitativeRiskAnalysiseRR7.1PlanCostManagement11.2IdentifyRisks11.1PlanRiskManagement6.1PlanScheduleManagementProject RiskManagementInputtsTools & TechniquesOuttputtsRisk managementplanCost managementplanSchedulemanagement planRisk registerEnterpriseenvironmental factorsOrganizationalprocess assetsData gathering andrepresentationtechniquesQuantitative riskanalysis and modelingtechniquesExpert judgment.1 Projectdocumentsupdates
Perform Quantitative Risk Analysis generally follows the Perform Qualitative Risk Analysis process. In somecases, it may not be possible to execute the Perform Quantitative Risk Analysis process due to lack ofsufficientdata to develop appropriate models. The project manager should exercise expert judgment todetermine the needfor and the viability of quantitative risk analysis. The availability of time and budget,and the need for qualitative or quantitative statements about risk and impacts, will determine whichmethod(s) to use on any particular project.Perform Quantitative Risk Analysis should be repeated, asneeded, as part of the Control Risks process to determine if the overall project risk has been satisfactorilydecreased. Trends may indicate the need for more or less focus onappropriate risk management activities.1Perform Quantitative risk Analysis: Inputs1risk Management PlanDescribed in Section 11.1.3.1. The risk management plan provides guidelines, methods, and tools to beused inquantitative risk analysis.

Upload your study docs or become a

Course Hero member to access this document

Upload your study docs or become a

Course Hero member to access this document

End of preview. Want to read all 23 pages?

Upload your study docs or become a

Course Hero member to access this document

Term
Spring
Professor
PROFESSOR ABDULLAH SYAIH
Tags
quantitative risk analysis

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture