Ranking indices for mitigating project risks

Abstract

The goal of project risk management is to mitigate the impact of risks on project objectives such as budget and time. A popular approach to determine where to focus mitigation efforts, is the use of so-called “ranking indices”. Ranking indices produce a ranking of activities (or even better, risks) based on their impact on project objectives. In turn, this ranking can be used to determine the risks that are to be mitigated. Different ranking indices, however, produce different rankings. Therefore, one might wonder which ranking index is best? In this chapter, we provide an answer to this question.