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

Risk.., explain what is meant by scope risk

explain what is meant by scope risk

Describe the various organisational systems, Question 1: Using the "Mat...

Question 1: Using the "Matrix" system of authority and responsibilities, describe the various organisational systems which may be applied to the management of projects. Disc

Audits, A udits Audits are independent examinations to determine wheth...

A udits Audits are independent examinations to determine whether processes and procedures achieve the specified objective. They are an essential tool to identify problem areas

PMP, critical analysis of the pmp

critical analysis of the pmp

Evaluation of the prototype, At this stage of design the designer will...

At this stage of design the designer will invariably by under tremendous pressure to quickly finish the design and pass it on for production. This is so because even w

Inventory management, I nventory management: This refers to the met...

I nventory management: This refers to the method in which tangible resources and materials are handled by businesses in order to make sure resources are readily available f

Areas of key risk in project management, Areas of key risk in Project Manag...

Areas of key risk in Project Management Companies believe that the most critical risk they face is market or competitive risk. There are various other risks faced by organisati

Define project evaluation review technique, Question 1: As a Business d...

Question 1: As a Business development Officer, how you will bring business to a CRO? Responsibilities and roles of Business development Officer in a CRO Method and Tec

PERT Network Analysis, Solve the following CPM/PERT Network Analysis proble...

Solve the following CPM/PERT Network Analysis problem: Given the following network and activity time estimates, determine (ES, LS, EF, LF) earliest and latest activity times, slac

Benefits of implementing quality by design, The primary benefit of impleme...

The primary benefit of implementing quality design techniques is a significant decrease in time to market. Other benefits of quality by design techniques are: 1. Faster

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