An example posted to our old forum by
I have been applying Flying Logic to my favorite Risk Management book. If you have a different approach or variation I’d like to hear about it.
The book: Proactive Risk Management by Preston G. Smith and Guy M. Merritt Productivity Press © 2002
There are two groups in the attached file:
Risk Management Process - Book Summary
This is just my outline of the basic process and some to the techniques—recommended by the book—that could be used during the process.
Running example from the book . . .
This is my version of the book example in Flying Logic. It does not match the books visual model, but I believe it does capture all intended elements of the process.
The “impact probability” X “Risk probability” is easy to simulate. (But not really necessary since these values and the Total Loss can easily be analyzed on a spreadsheet).
I look forward to learning other approaches to this subject.
Risk Analysis.xlogic (113.1 KB)