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ProPM Logo Perform Qualitative Risk Analysis    
   
   
   
   
   
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The Perform Qualitative Risk Analysis process prioritizes risks;

  • For further analysis.
  • Or further action.

By assessing & combining their;

  • Probability of occurrence.
  • Impact.

Performing qualitative risk analysis is usually a rapid and cost effective means of;

  • Establishing priorities for Plan Risk Responses process.
  • Lays the foundation for quantitative risk analysis, if required.

Qualitative risk analysis is done regularly throughout the project life cycle;

  • As defined in the risk management plan.
  • Can lead directly to forming risk responses or to quantitative risk analysis.

The key benefit of performing qualitative risk analysis is that it enables project managers to;

  • Reduce the level of uncertainty.
  • Focus on high priority risks.

Performing qualitative risk analysis assesses the priority of identified risks using;

  • The risk's relative probability ( likelihood ) of occurrence.
  • The corresponding impact on project objectives if the risks occur.
  • The time frame for response.
  • Organization's risk tolerance associated with the project constraints of; 
    • Cost.
    • Schedule.
    • Scope.
    • Quality.

These risk priority assessments reflect the risk attitude of;

  • The project team.
  • Other stakeholders.

Effective qualitative risk assessment requires;

  • Explicit ID and management of the risk approaches of key participants in qualitative risk analysis.
  • If someone’s approach introduces bias into assessment, it should be ID'd and corrected;
    • Establishing definitions of the levels of probability & impact can reduce the influence of bias.
    • The time criticality of risk related actions may magnify the importance of a risk.
  • Evaluate the quality of data in the risk log to determine & clarify the assessment of the risk.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
           
   
   
   
   
   
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Risk Management          
Plan execution          
Perform Qualitative Risk Analysis          
           
           
Process Inputs          
Risk Mgmt Plan          
Scope baseline          
Risk register          
enterprise environmental factors          
organizational process assets          
           
           
Tools and Techniques          
Risk Prob.& Imp. Assessmen          
Prob. & Imp. Matrix          
Risk data quality assessment          
Risk categorization          
Risk urgency assessment          
expert judgment          
           
           
Process Outputs          
Proj. doc. updates          
           
           
Process Benefits          
Qualitative risk analysis organizes identified risks, thus reducing the level of uncertainty about total risk. Qualitative analysis thereby helps the project team focus on high priority risks.          
         
         
         
         
         
         
         
   
   
   
   
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