Quantitative Project Risk Register

Using @RISK's Monte Carlo simulation to overcome qualitative risk analysis weaknesses and flaws in project risk analysis

This course starts by explaining traditional qualitative risk registers and risk matrices. We explain why this methodology of listing risks for a project or company is full of weaknesses and flaws, in its attempt to use frequency and severity components to build a risk analysis. By comparison, we will carefully build a case for quantitative risk analysis for a project, using an @RISK’s Monte Carlo simulation approach. Along the many lessons, we carefully add all the components on how to build a robust risk register, able to build probabilistic contingencies on a project. We add proper distributions for dealing with frequency and severity, simulation techniques, correlation, scenario analysis, and optimization of mitigation strategies. At the end, we compare qualitative and quantitative risk analysis powered by simulation.