This forum includes discussion about project risk analysis and risk management theory: Monte Carlo simulations, Event Chain Methodology, schedule and cost risk analysis. Please submit questions and case studies about your experience with our project risk analysis software.
Moderator: Intaver Support
- Posts: 6
- Joined: Sat Aug 19, 2006 6:04 am
What is the formula to calculate sensitivity coefficient and what is the threshold for display tasks of risks with very little sensitivity coefficients?
- Posts: 876
- Joined: Wed Nov 09, 2005 9:55 am
RiskyProject uses Spearman rank order correlation coefficient to calculate project parameter’s sensitivity to variance in inputs such as cost or risk events. This formula returns a coefficient that is between -1 and 1. The higher the value the stronger the correlation is between the two variables. Perfect correlation equals 1. Perfect inverse correlation would equal -1.
You can minimize the number of activities or risks in the Sensitivity view by modifying the sensitivity threshold. Any results that have a correlation below the threshold will not be visible. To modify the sensitivity threshold, go to Schedule, Project Options > and modify the value in the Minimum Sensitivity Coefficient box.
Intaver Support Team
Intaver Institute Inc.
Home of Project Risk Management and Project Risk Analysis software RiskyProject