Analysis - 1
8. Conduct sensitivity study
- Test sensitivity of major cost elements
- By changing input values and assumptions
- Examine effects of changing schedule or sequence
- From the study, identify which assumptions, cost drivers and elements are affected most by the changes
9. Conduct uncertainty & risk analysis
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Characterize risks associated with each WBS element
- Determine probability and impact for each main risk
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Calculate minimum, most likely and maximum ranges
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Hence, identify confidence level of estimate total
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Determine contingency needed for a risk adjusted total
- Recommend plan for tracking and mitigating risks