The company board is concerned about potential legal action from a high-risk project. What technique can be used to justify risk response decisions taken on this project?

The correct answer is D. Decision tree analysis. Decision tree analysis is the appropriate technique here because it provides a visual, quantitative framework for evaluating different risk response options and their expected outcomes (including expected monetary value). This makes it ideal for justifying decisions to stakeholde

Perform Targeted Risk Analysis

Question

Options

AInterviews
BNominal group technique
CBrainstorming
DDecision tree analysis

How the community answered

(42 responses)

A
2% (1)
B
17% (7)
C
10% (4)
D
71% (30)

Explanation

Decision tree analysis is the appropriate technique here because it provides a visual, quantitative framework for evaluating different risk response options and their expected outcomes (including expected monetary value). This makes it ideal for justifying decisions to stakeholders, legal teams, or a board-it shows the logical, data-driven rationale behind each choice. Interviews (A), nominal group technique (B), and brainstorming (C) are risk identification tools and do not provide the quantitative justification needed for legal scrutiny.

Topics

#Decision tree analysis#Quantitative risk analysis#Risk response justification#Risk response selection

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