Perform Qualitative Risk Analysis is usually a rapid and cost-effective means of establishing priorities for Plan Risk Responses and lays the foundation for Perform Quantitative Risk Analysis, if required.

Question

BlackTom AI · Accepted Answer

Start by identifying what the statement is asking: the relationship between Perform Qualitative Risk Analysis and subsequent steps in risk management. 
Option 1: True. This option reflects the standard understanding that qualitative risk analysis is typically quicker and less costly, providing a prioritization of risks and informing which risks may need further, more rigorous quantitative analysis if necessary. In many project environments, qualitative analysis uses a risk matrix or scoring to rank risks by probability and impact, helping to focus planning efforts and resource allocation. It also serves as a foundation for Decide-on-the-need for Quantitative Risk Analysis by highlighting which risks warrant deeper numerical modeling. 
Option 2: False. This would assert that qualitative analysis does not rapidly establish priorities or that it does not lay groundwork for quantitative analysis. Common project risk frameworks explicitly describe qualitative analysis as a fast, cost-effective first pass that helps prioritize risks and determine whether quantitative methods are warranted. If someone claims this, they are overlooking the practical and formal role of qualitative analysis in guiding subsequent risk response planning and analysis depth. 
In summary, the described sequence aligns with standard risk management practices: qualitative analysis is the initial, efficient step that identifies and prioritizes risks and signals whether quantitative analysis should follow. The alternate view would contradict these widely accepted roles by denying the speed, cost-effectiveness, or the preparatory function of qualitative analysis.

PJM6015.20760.202525 PJM6015_Week 3_Test Your Knowledge (TYK)

Perform Qualitative Risk Analysis is usually a rapid and cost-effective means of establishing priorities for Plan Risk Responses and lays the foundation for Perform Quantitative Risk Analysis, if required.

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