Quantitative Risk Analysis Inputs

C.

In the scenario presented, you are the project manager of the GGH project in a functional organization. Before beginning the quantitative risk analysis process, you need to identify the necessary inputs. Quantitative risk analysis involves using numerical data and statistical methods to analyze the likelihood and impact of identified risks on the project objectives. The purpose of this analysis is to help decision-makers determine the best risk response strategy for the project.

Answer A: This answer is partially correct. The risk register and risk management plan are necessary inputs for the quantitative risk analysis process. The risk register contains a list of identified risks and their characteristics, such as their likelihood and impact on the project objectives. The risk management plan describes how risk management will be implemented throughout the project life cycle. Permission from the functional manager may also be required, depending on the company's organizational structure. Additionally, any relevant organizational process assets should be included as inputs.

Answer B: This answer is also partially correct. In addition to the risk register and risk management plan, outputs from qualitative risk analysis are necessary inputs for quantitative risk analysis. Qualitative risk analysis involves assessing the probability and impact of identified risks using subjective methods such as expert judgment and probability distributions. The results of this analysis can be used to prioritize risks for further analysis and response planning. Any relevant organizational process assets should also be included.

Answer C: This answer is incorrect. While the risk register and risk management plan are necessary inputs, the cost management plan and schedule management plan are not required for quantitative risk analysis. The cost management plan describes how costs will be estimated, budgeted, and controlled throughout the project life cycle. The schedule management plan describes how the project schedule will be developed and controlled. These plans are not directly related to the quantitative risk analysis process.

Answer D: This answer is incorrect. Quantitative risk analysis can occur in any organizational structure, including a functional structure. The project manager is typically responsible for leading the risk management process and ensuring that quantitative risk analysis is conducted according to the project's risk management plan.

In summary, the necessary inputs for the quantitative risk analysis process in a functional organization include the risk register, risk management plan, outputs of qualitative risk analysis (optional), permission from the functional manager (optional), and any relevant organizational process assets. The cost management plan and schedule management plan are not required inputs for this process.