The primary purpose of qualitative risk analytics is to rank, prioritize, and categorize risks for the purpose of determining and assessing if further analysis is justified to clearly articulate and quantify the risk. In this week’s assignment you are requested to qualitatively assess the three risks you identified in the week two assignment and assess if they could potentially require further quantitative analysis. If you are not happy with the risks you previously identified I give you the option to change. See Figure 17.4 in the textbook for a good mix of risks for a new product introduction in a competitive environment.
You are requested to provide a two page summary of how you would qualitatively assess these risks using Scenario Analytics (Chapter 22) and Industry Fusion Analytics (Chapter 17). I am not expecting you to perform a detailed qualitative risk assessment. In this class we are more concerned with the analytics-based methods and techniques used in risk identification, assessment, and mitigation. I would only request that you summarize what steps you would take or have hypothetically taken to assess the likelihood and impact for each of your three risks using the conceptual techniques described in the chapters. It is important for you to conclude, by risk, if there is a need for further quantifiable analysis.
Please make sure that at least one risk must be eligible for further analysis using quantitative analytics techniques which we will study in week four and will be the subject of the future weekly assignment. I would suggest that you also read Chapter 18, Interpretation of Statistical Analysis (these are short chapters) to determine if your chosen risks would be appropriate for quantitative analysis, including predictive modeling.
After selecting and qualitatively assessing your three risks you should update and also submit the risk treatment and response plan provided in the week two assignment. If applicable, you should include an explanation as to why one or more of these risks are considered candidates for further quantitative analysis. These documents will evolve as we proceed with the class.