Modeling

The Estimated Project Cost Distributions and the Final Project Cost

The Estimated Project Cost Distributions and the Final Project Cost

This entry is part 2 of 2 in the series The Norwegian Governmental Project Risk Assessment Scheme

The growing use of Cost Risk Assessment models in public projects has raised some public concerns about its costs and the models ability to reduce cost overruns and correctly predict the projects final cost. We have in this article shown that the models are neither reliable nor valid, by calculating the probabilities of the projects final costs.

Read More →

Read More →

The role of events in simulation modeling

The role of events in simulation modeling

This entry is part 2 of 2 in the series Handling Events

The need for assessing the impact of events with binary outcomes, like loan defaults, occurrence of recessions, etc. arises often in economics and other areas of decision making.

Read More →

Read More →

Distinguish between events and estimates

Distinguish between events and estimates

This entry is part 1 of 2 in the series Handling Events

Large public sector investment projects in Norway have to go through an established methodology for quality assurance.

Read More →

Read More →

The risk of planes crashing due to volcanic ash

The risk of planes crashing due to volcanic ash

This entry is part 4 of 4 in the series Airports

When the Icelandic volcano Eyafjallaj√łkul had a large eruption in 2010 it lead to closed airspace all over Europe, with corresponding big losses for airlines.

Read More →

Read More →

The Most Costly Excel Error Ever?

The Most Costly Excel Error Ever?

This entry is part 2 of 2 in the series Spreadsheet Errors

Efficient computing tools are essential for statistical research, consulting, and teaching. Generic packages such as Excel are not sufficient even for the teaching of statistics, let alone for research and consulting

Read More →

Read More →

Working Capital Strategy Revisited

Working Capital Strategy Revisited

This entry is part 3 of 3 in the series Working Capital

As levers of financial performance, none is more important than working capital. The viability of every business activity rests on daily changes in receivables, inventory, and payables …

Read More →

Read More →

Top