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Quantitative risk analysis

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Farid Alsakkaf Ships Projects Manager| ADNOC Abu Dhabi, United Arab Emirates
I came across the following question:

Question
The output of quantitative risk analysis is:
A. Identifying risks with a close time proximity
B. The probability of achieving your project schedule and cost objectives
C. Provides trend information of qualitative risk analysis
D. Shows the likelihood of achieving your project risk objectives

Answer as per the question issuer :
B. The probability of achieving your project schedule and cost objectives

But I think the answer is :
"C. Provides trend information of qualitative risk analysis"...because Risk is not necessarily on Schedule or Cost.. it could be on Reputation or Environment or Safety or on Social relationship etc.

What you think colleagues ?
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Anupam India
Answer 'B'

It show the probability of meeting cost and schedule objectives
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Farid Alsakkaf Ships Projects Manager| ADNOC Abu Dhabi, United Arab Emirates
But the question didn't specify if the analysis is on cost or time
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1 reply by Anupam
Oct 06, 2016 2:16 AM
Anupam
...
Yes. You have to choose the best answer.

As per PMBOK 5th Ed Page# 309 -

11.4 Perform Quantitative Risk Analysis—The process of numerically analyzing the effect of identified risks on overall project objectives.
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Anupam India
Oct 06, 2016 2:05 AM
Replying to Farid Alsakkaf
...
But the question didn't specify if the analysis is on cost or time
Yes. You have to choose the best answer.

As per PMBOK 5th Ed Page# 309 -

11.4 Perform Quantitative Risk Analysis—The process of numerically analyzing the effect of identified risks on overall project objectives.
avatar
Farid Alsakkaf Ships Projects Manager| ADNOC Abu Dhabi, United Arab Emirates
If you refer to page # 334 of the PMBOK it states what means that "quantitative risk analysis works to prioritize risks that were previously analyzed qualitatively". To prioritize you need to make a trend relationship and this agrees with the answer in "C". Furthermore, project objectives are not exclusive for time and cost efficient results as among others there are the quality, the safety, the environmental and even the political objectives.
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1 reply by Anupam
Oct 06, 2016 5:16 AM
Anupam
...
"Perform Quantitative Risk Analysis is performed on risks that have been prioritized by the Perform Qualitative Risk Analysis process as potentially and substantially impacting the project's competing demands.

The Perform Quantitative Risk Analysis process analyzes the effect of those risk on project objectives.

It is used mostly to evaluate the aggregate effect of all risks affecting the project. When the risks drive the quantitative analysis, the process may be used to assign a numerical priority rating to those risks individually."
avatar
Anupam India
Oct 06, 2016 2:35 AM
Replying to Farid Alsakkaf
...
If you refer to page # 334 of the PMBOK it states what means that "quantitative risk analysis works to prioritize risks that were previously analyzed qualitatively". To prioritize you need to make a trend relationship and this agrees with the answer in "C". Furthermore, project objectives are not exclusive for time and cost efficient results as among others there are the quality, the safety, the environmental and even the political objectives.
"Perform Quantitative Risk Analysis is performed on risks that have been prioritized by the Perform Qualitative Risk Analysis process as potentially and substantially impacting the project's competing demands.

The Perform Quantitative Risk Analysis process analyzes the effect of those risk on project objectives.

It is used mostly to evaluate the aggregate effect of all risks affecting the project. When the risks drive the quantitative analysis, the process may be used to assign a numerical priority rating to those risks individually."

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