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Study on risk scenarios of project failure based on Monte-Carlo simulation

  • Yan Mei Lin*
  • , Xing Pan
  • *Corresponding author for this work
  • Beihang University

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Project failure is a common outcome in complex large-scale project system because of the extensive risks. In this paper, risk scenario, which is one of the fundamental parts in risk analysis, is proved useful to estimate project failure risk. Based on the scenario theory in product system, this paper provided a methodology for identification of project risk scenario in project system. An approach based on Monte-Carlo simulation is used to generate scenarios and their frequencies. Besides, the importance measure for project risk scenarios was defined at a normalized way in the simulation environment. At last, a computational study was given to illustrate the approach, in which schedule and cost risks were taken into consideration.

Original languageEnglish
Title of host publication2011 IEEE 18th International Conference on Industrial Engineering and Engineering Management, IE and EM 2011
Pages1291-1295
Number of pages5
EditionPART 2
DOIs
StatePublished - 2011
Event2011 IEEE 18th International Conference on Industrial Engineering and Engineering Management, IE and EM 2011 - Changchun, China
Duration: 3 Sep 20115 Sep 2011

Publication series

Name2011 IEEE 18th International Conference on Industrial Engineering and Engineering Management, IE and EM 2011
NumberPART 2

Conference

Conference2011 IEEE 18th International Conference on Industrial Engineering and Engineering Management, IE and EM 2011
Country/TerritoryChina
CityChangchun
Period3/09/115/09/11

Keywords

  • Important Measure
  • Monte-Carlo
  • Project failure
  • Risk Scenarios

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