For which kind of quantitative risk analysis chart can a tornado diagram represent values?

The correct answer is A. Sensitivity analysis. A tornado diagram is a specialized bar chart used in sensitivity analysis to compare the relative importance of different risk variables on a project outcome. Each bar represents a variable, and bars are sorted from longest (most impact) to shortest (least impact), creating the…

Predictive, Plan-Based Methodologies

Question

For which kind of quantitative risk analysis chart can a tornado diagram represent values?

Options

ASensitivity analysis
BMonte Carlo analysis
CExpected monetary value analysis
DDecision tree analysis

How the community answered

(28 responses)

A
96% (27)
B
4% (1)

Explanation

A tornado diagram is a specialized bar chart used in sensitivity analysis to compare the relative importance of different risk variables on a project outcome. Each bar represents a variable, and bars are sorted from longest (most impact) to shortest (least impact), creating the tornado shape. It visually shows which risks or uncertainties have the greatest potential effect on the project objective, helping prioritize where to focus risk responses.

Topics

#Quantitative Risk Analysis#Sensitivity Analysis#Tornado Diagram#Risk Management Tools

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