Qualitative analysis is a risk management technique, and according to Project Management a systems approach to Planning by Harold Kerzner qualitative risk analysis uses the probability approach and consequences of occurrence scales together with a risk (mapping) matrix to convert the values of risk levels.
This week’s reading pointed out several techniques that can be used with qualitative risk. Data quality assessments, is a technique that evaluate the degree to which the data about risks is useful for risk management. Data quality assessments examines the degree to which the risk is understood and the accuracy, quality, reliability, and integrity of the data about the risk.
One of the downsides that our team noted was the potential for overextension-new products may cannibalize sales of older ones, or your resources may be disproportionately siphoned off for slower-moving products. Of course, that's where the principle of planned obsolescence comes into play. It's no accident that each time Hewlett-Packard and Canon introduce the latest incarnations of their desktop printers, the older models with fewer features become less desirable and eventually obsolete.
A real-world project management example when using the qualitative risk analysis techniques is based around a popular burger restaurant chain that wants to introduce a new food item. One could measure the risk of something like this through defining a ranking scale on the categories of risks and any other type of specific risks. The example is the risk one business will take to ahead of the competition therefore perhaps they start adding different condiments or toppings to the burger allowing them to set the tone for future patterns of burgers in that area. The rating system is usually from 1 to 5 and the likeliness of the risk is ranked from very low to very high, therefore this example could be a rating