‘What if’ scenario analysis is a simulation method that compares and measures the effects of different scenarios on a project schedule. It uses Schedule Network Analysis to determine the effects of various scenarios on a project schedule from delayed activities, strikes, bad weather, late resources and other adverse situations. This analysis is used plan for the risks posed in these scenarios and allows project personnel to:
- Evaluate the feasibility of completing the project under unfavorable conditions,
- Prepare contingency and response plans to project risks,
- Mitigate the impact of any schedule risks
The most common simulation technique used in ‘What-if’ scenario analysis is Monte Carlo. Monte Carlo is used to run many simulations to calculate a distribution of possible outcomes for the total project where early start/early finish, late start/late finish dates.
AcqLinks and References: