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 management in the tqm framework, Risk Management  in the TQM Framewor...

Risk Management  in the TQM Framework   Total  Quality Management (TQM) is one of the widely used project management technique or approach. TQM mainly concentrates on process m

Project charter for a bookshop, write a project charter for a bookshop mana...

write a project charter for a bookshop management project

Total quality management approach within 2jn, 2JN is a large manufacturing ...

2JN is a large manufacturing organisation which is structured with a number of supervisors every responsible for their own work production unit. Supervisors report to a team of sen

Product development cycle, The product development cycle starts with th...

The product development cycle starts with the assessment of the customers needs and ends when the design is finally released for bulk production. The main steps in th

Arena model, The Arena model has been designed to simulate the workflow of ...

The Arena model has been designed to simulate the workflow of the emergency room as accurately as possible. It has one top-level model and two sub-models. Create Models In

Wood, what is the maniipulated variable in a wood experiment

what is the maniipulated variable in a wood experiment

Describe the contents of a project initiation document, Describe the conten...

Describe the contents of a project initiation document. Contents of a PID (project initiation document): • Terms of reference for example the concept of the report • Scop

Goal-strategy process, Goal A goal is a statement of where the organiza...

Goal A goal is a statement of where the organization wants to be at a specified time in the future. The purpose of goals is to provide direction to the organization. The steps

How are conceptual skills required for a successful manager, How are the co...

How are the conceptual skills required for a successful manager? Conceptual skill is the capability to observe the organization as an entire, to recognize inter-relationships i

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