Risk Chart question

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remerson risk analysis
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Joined: Wed Feb 07, 2007 1:55 pm
Location: Ottawa, ON

Risk Chart question

Post by remerson risk analysis » Tue Nov 03, 2015 4:15 pm

One of our divisions started using RiskyProject and it seems to provide all the standard monte carlo analysis reports. You also have a risk chart view, it looks interesting but we are not quite sure how we can use it to communicate the results to management.

Intaver Support
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Joined: Wed Nov 09, 2005 9:55 am

Re: Risk Chart question

Post by Intaver Support » Tue Nov 03, 2015 4:17 pm

The Risk chart as shown at the project level provides a visual depiction of the amount of relative cost and schedule risk that each activity has. It is not designed to tell you why the tasks have the amount of relative risk, but rather these are the activities that you should be flagged for additional scrutiny.

The risk chart has the base cost or duration values on the y axis and the risk on the x axis. The risk is displayed in measures such as standard deviation ranges etc, which can be selected at the bottom of the charts. The charts follow a familiar traffic light color coding to indicate relative levels of risk for each task. In the example below, on the left we can see the Cost risk view and the Duration risk view on the right. Task 19 and 13 are lying out the right and indicate that they have more relative risk. From the comparison of the two, it appears that most of what is driving this is schedule risk. We might also infer that the schedule risk is probably driving cost risk as well due to time dependent resources assigned to these tasks.

Does this tell you how to manage these tasks. Not in isolation, but in conjunction with the sensitivity analysis, crucial task analysis (to see how often the tasks are critical) and risk ranking in the risk register, you should have a better understanding of how to manage these tasks and reduce the impact they may on your project objectives.

Intaver Support Team
Intaver Institute Inc.
Home of Project Risk Management and Project Risk Analysis software RiskyProject

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