In Week 8, you narrowed down your alternatives to create a new product or service to the option that provides the highest ROI. The next step is to review your choice to minimize its chance of failure. The risk analysis will provide insight into factors that could affect your new product or service. For those that you can influence, the prudent course of action is to create a risk management plan. For those failure modes that you cannot control, the sensitivity analysis provides a hedge in terms of your projected ROI, NPV, and Payback.
- Conduct a sensitivity analysis based upon the non-controllable failure modes.
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