Expected Monetary Value Analysis

A statistical technique that calculates the average outcome when the future includes scenarios that may or may not happen. A common use of this technique is within decision tree analysis. Modeling and simulation are recommended for cost and schedule risk analysis because it is more powerful and less subject to misapplication than expected monetary value analysis.

Reference:

PMBOK

Previous <  |  > Next
D < | > F
Enter your search query for glossary: