Teaching Risk Management in Projects Using Monte CarloSimulation and Excel
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Wolfgang Tysiak [1]
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[1] University of Applied Sciences and Arts Dortmund
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- Localización: Research & Education in Project Management. REPM 2018 Proceedings: Proceedings of the 1st International Conference on Researchand Education in Project Management / José Ramón Otegi Olaso (ed. lit.), Nerea Toledo Gandarias (ed. lit.), Ianire Taboada Puente (ed. lit.), 2018, ISBN 978-84-697-9972-7, págs. 34-36
- Idioma: inglés
- Texto completo no disponible (Saber más ...)
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Resumen
Although the term ‘risk management’ on the first sight suggests only the management of negative effects,it comprises all kinds of uncertainties, let them be chances or risks. The treatment of uncertain eventshowever quickly becomes too complex to be handled analytically. As a project is complex by definition,this always holds true especially in this context. Monte Carlo simulation on the other hand offers theadvantage to capture probabilistic behavior and allows to estimate key statistics that cannot be derivedanalytically. Furthermore, a lot of students developed a high level of expertise in the use of spreadsheets,which leads to the very fruitful combination of using Excel as a tool to introduce Monte Carlo simulationinto risk management in projects.
