Risk Analysis

Quantitative Analysis

For a quantified analysis, a risk model would be constructed, probably with the use of a Monte-Carlo simulator, from which the numerical risk would be determined for each consequence of interest.

The main output of the identification stage is a risk register, which documents the description of the risk, candidate risk reduction measures, risk ownership and risk manageability; as well as the results of the assessments for likelihood and consequences. It is the risk register that provides the most robust instrument for risk management as it can be used to keep an auditable record of risk management actions designed to reduce the individual risks identified.