Risk matrix terminology , Project Management

Assignment Help:

Risk Matrix Terminology 

It is a term where table used in risk analysis in which rows show the risks and columns show their likelihood (probability) of occurrence and their impact. We learnt in the previous section the process involved in risk. We should analyse the risk in three different terminologies. 

?  Pessimistic: The risk and impact are high and you think you will not be able to meet the expected duration. 

?  Expected:  It is the time structure you originally estimated without worrying about risk. 

?  Optimistic: The risk and impact are low and you think you may be able to overcome the „expected?. 

In the risk matrix, high, medium and low denotes risk rankings. In general high is over 50 percent probability and priority, medium is less than 50percent probability and moderate severity and low is less than 10 percent probability and low impact. 

Table : Compare the terms from your Risk Matrix and PERT analysis

56_Risk matrix and Pert Analysis.png

 The risk matrix approaches described in PMBOK and similar sources of risk management information multiply the probability of occurrence of the risk with the impact from the risk to produce a risk index. 


Related Discussions:- Risk matrix terminology

How to measures defect ratios for the product, Defects found after product ...

Defects found after product delivery per function point Defects found after product delivery per LOC Pre-delivery defects: yearly post-delivery defects Defects per functio

Explain the objectives of a procurement development model, Problem: (a)...

Problem: (a) Explain the objectives of a Procurement Development Model. (b) Explain one Procurement Development Model you are familiar with. (c) "In certain organisation

Equity valuation, a) Provide a detailed evaluation of an equity investment ...

a) Provide a detailed evaluation of an equity investment decision in the current economic climate. Your briefing should include: i)  A review of the 'top-down' analysis tha

Different strategies that lg use to manage the conflict, LG, the Managing D...

LG, the Managing Director of NWP Company, recently announced to the workforce that the Board had agreed to the establishment of a set of new working practices which should lead to

Greater possibility of space utilization, Greater Possibility of Space Util...

Greater Possibility of Space Utilization There will be a greater productive utilization of the floor area under this type of layout. Due to lesser need for temporary storage o

Network, charateristics of a good network

charateristics of a good network

Evaluating initial architecture, o Are the goals and philosophy of the arch...

o Are the goals and philosophy of the architecture explained? o Are assumptions and dependencies influencing the architecture identified? o Are architecturally significant re

What are the steps towards managing change, Question 1: (a) Outline so...

Question 1: (a) Outline some of the management principles that Project Managers need to adopt while managing a project team. (b) Resistance to change is inevitable, and th

Customer value - measure for project management value, C ustomer value ...

C ustomer value There is a considerable debate within the business world on whether the companies will have to deliver value for the shareholders or the customers. There are m

Strategy for project implementation, A strategy for project implementation ...

A strategy for project implementation Projects involving  small number  of  activities,  resources,  constraints  and inter-relationship can be visualized easily by the human m

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd