PMI Risk Management Professional Practice Exam

What aspect can a qualitative risk analysis consider that a quantitative analysis cannot?

1. Urgency of response

2. Impact of event if it were to occur

3. Comparability to risk tolerance

4. Probability of occurrence

The correct answer is: Urgency of response

Qualitative risk analysis focuses on subjective assessment and prioritization of risks based on their characteristics, such as urgency and perception. One of the key aspects it evaluates is the urgency of response needed for different risks. Understanding how quickly a response is needed due to the nature of a risk helps prioritize actions and decision-making in risk management. In qualitative analysis, risks are often categorized based on their significance and the immediacy of the threat they pose to project objectives. This subjective nature allows teams to effectively address the most pressing risks first, ensuring that resources are allocated efficiently to mitigate immediate impacts. In contrast, quantitative analysis relies on numerical data and statistical methods, quantifying risks through probability and impact metrics. While it provides a detailed examination of risks based on numerical values, it does not inherently incorporate the urgency of response, which is more of a qualitative consideration. Thus, the urgency of response is a unique focus of qualitative risk analysis.