@RISK Modeling Tips
Palisade Software Plays Major Role
In 2012, MegaFon increased and formalized its level of qualitative analysis and forecasting, as well as put in place a process that would integrate risk management with its budgeting and investment planning. The aim was to provide the management team with insights that enabled informed decision-making to increase its capital expenditure efficiency.
This Russian telecom giant has also used @RISK and TopRank to help make informed decisions regarding major construction projects. Each year MegaFon needs to plan for the continuous upgrading of its network. Projects include building new antenna, installing the latest equipment and laying fiber optic cable. In 2012, MegaFon made the decision to invest in a large construction project with the aim of minimizing its operating costs and improving network quality and control over technical operations. @RISK allowed MegaFon to use graphs to show easily how NPV and cash flows could change over time, and the probabilities of those changes occurring, rather than the static number that they would have had to rely on without the risk analysis tool.
It doesn't stop there, future plans for MegaFon’s risk management programme include developing it to enable the company to analyze various risks through modelling. For example, as part of an exchange rate risk mitigation plan, MegaFon plans to analyze the different derivatives they can purchase by simulating different scenarios and exchange rates to provide a clearer picture of potential losses and gains.
Palisade's decision support software is a
Dr. Li gives two examples on how the software is used in his teaching and research. One of which involves a study of pricing risk and decision-making when introducing a new product to the market. The second example involves Dr. Li's use of the software in his course work. He demonstrates how the software can be applied when determining the influences of various factors on tolerances in car engine design.
» Download the example model
Einführung zur Risiko - & Entscheidungsanalyse mit
Introduction a l’analyse des Risques et décisions avec
Introduction to Risk & Decision Analysis using
The Cure for the Flaw of Averages, Using Palisade DecisionTools Suite to Visualize Risk and Uncertainty
©2014 Palisade Corporation, visit www.palisade.com
798 Cascadilla Street, Ithaca, NY 14850 USA, +1 607 277 8000 firstname.lastname@example.org
Av. Presidente Vargas 435, Sala 501, Centro, Rio de Janeiro CEP 20071-001, +55 (21) 2586-6334 email@example.com
Palisade Europe UK Ltd
31 The Green, West Drayton, Middlesex, UB7 7PN, UK, +44 1895 425050 firstname.lastname@example.org
Palisade Asia-Pacific Pty Limited
Suite 404, L4, 20 Loftus Street, Sydney NSW 2000 Australia, +61 2 9252 5922 email@example.com
Palisade Asia-Pacific, Tokyo Office
〒 150-8512 東京都渋谷区桜丘町 26-1 セルリアンタワー15F 電話 03-5456-5287 firstname.lastname@example.org