A Methodology for Providing a Quantifiable Comparative Risk Analysis for Evaluating Business Alternatives

This paper explores an extension of a risk analysis procedure used in many United States (US) government agencies (e.g. DOT, DOE, FAA, and DOD) and by commerce to perform program management, particularly in software development. The approach takes the analysis beyond the subjective and qualitative, into a more rigorous and quantitative procedure that can be flexibly used as parameters change when evaluating the alternatives envisioned. Further, the paper will show how this rigorous analysis approach was used in transportation related studies for the United States Air Force (USAF) and for the United Kingdom (UK) British Ministry of Defense (MOD), Royal Air Force (RAF).