Introduction to Qualitative Risk Analysis for the PMP.pdf
- 1. Introduction to Qualitative Risk Analysis for the PMP® Exam
- 2. What is Qualitative Risk Analysis and How to Perform this PMP® Process Setting priorities and determining action plans related to risks is crucial to your success as a project manager and the overall health of your projects. Performing qualitative risk analysis is one PMP® exam process that can help you evaluate risks and assess where your time and effort are most needed.
- 3. What is Qualitative Risk Analysis and How to Perform this PMP® Process Projects need to follow established processes that ensure success. This includes risk analysis, which analyzes the probability and impact of risks. Positive and negative risks are opportunities and threats, also known as "opportunities" and "threats." However, due to resource limitations, you most likely won't be able to spend effort on every risk. Quantitative-focused risk analysis allows you to identify urgent risks that require attention while reducing the level of overall uncertainty in your project.
- 4. Inputs required to perform qualitative risk analysis PMP® You should use a variety of inputs to inform your qualitative risk assessment. These inputs include project management plan, project documents, enterprise environmental factors, and organizational process assets. Project management plan inputs can include the following: Your company can learn how to effectively manage risks. Our risk management plan will guide you through this process and help you improve your project's success rate. A cost management plan can help you be more efficient. A plan helps you understand how to avoid project risks and get better results. We help you understand the schedule and identify risks. We also make it easy for you to track the progress of your project throughout its life cycle for more efficient management.
- 5. Project documents that can contribute to qualitative risk analysis can include: Project risk register: used to track and report on project risks. You can use the Project Risk Register to document priority levels for risks and organize any other relevant information identified. Assumption log is a list of assumptions made related to your project. Making too many assumptions or assumptions on bad information can complicate risk identification and other activities. Develop a project register: a directory of project-related individuals whose risk tolerances, appetite, and opinions you should consider. Understanding your project register may also uncover sources of bias to help you assess risks more objectively.
- 6. Environmental factors include organizational culture, marketplace conditions, the geographic distribution of facilities and resources, and legislation. They should be constantly assessed to help ensure that your project runs smoothly. Some examples of environmental factors include: Industry studies Commercial risk databases Product, quality, and government standards Current events
- 7. The input of performing a qualitative risk analysis After performing a qualitative risk analysis, you will have updates for various documents, such as your assumptions log, risk register, risk report, and more. You can enter the results from your qualitative risk analysis into these documents to help you prepare in case a risk event occurs. Perform Qualitative Risk Analysis: Inputs, Tools and Techniques, and Outputs Each time you reassess and reprioritize project risks, you should also update the relevant project team members with the latest information. This step will keep everyone on the same page regarding what risks to keep an eye on and who is in charge of various risk responses.
- 8. Tools and techniques for qualitative risk analysis You should know the following tools and techniques related to qualitative risk analysis for the PMP® exam and performing qualitative risk analysis for your projects: Expert judgment Data gathering, interviews, and meetings Data analysis: Risk data quality assessments Risk probability and impact assessment Interpersonal and team skills Risk categorization using the risk breakdown structure Data representation: Probability and impact matrix Bubble charts or other hierarchical outputs Risk register
- 9. You may be asked to identify how to use these tools or techniques for the PMP® exam, so you should be familiar with them and how they relate to this process.