Palisade Risk 6 Review: A Powerful Tool for Risk Analysis and Decision Making
Palisade Risk 6 is a software add-in for Microsoft Excel that helps you make better decisions through risk modeling and analysis. It does this using a technique known as Monte Carlo simulation, which computes and tracks many different possible future scenarios in your risk model, and shows you the probability of each occurring. In this way, Palisade Risk 6 shows you virtually all possible outcomes for any situation, and helps you avoid likely hazards and uncover hidden opportunities.
In this review, we will look at some of the key features and benefits of Palisade Risk 6, as well as some of the drawbacks and limitations. We will also compare it with some of the alternatives in the market, and give our verdict on whether it is worth buying or not.
Key Features and Benefits of Palisade Risk 6
Palisade Risk 6 has a number of features and benefits that make it a powerful tool for risk analysis and decision making. Some of them are:
100% Excel Integration: Palisade Risk 6 integrates seamlessly with Excel's function set and ribbon, letting you work in a familiar environment with results you can trust. You can use any of Excel's built-in functions, charts, and tools, as well as Palisade's own functions and graphs, to create and analyze your risk models.
Monte Carlo Simulation: Palisade Risk 6 uses Monte Carlo simulation to sample different possible inputs, calculate thousands of possible future outcomes, and show you the chances they will occur. This helps you understand the range of possible results, the likelihood of achieving your goals, and the factors that drive your risks.
Sensitivity Analysis: Palisade Risk 6 identifies and ranks the most important factors driving your risks, so you can plan strategies and resources accordingly. You can see how changing one or more inputs affects your outputs, and how much uncertainty each input contributes to your model.
Scenario Analysis: Palisade Risk 6 lets you compare different scenarios or cases in your model, such as best case, worst case, or base case. You can see how each scenario affects your outputs, and how likely each scenario is to occur.
Risk Registers: Palisade Risk 6 allows you to create risk registers to document and track the risks in your project or organization. You can assign probabilities, impacts, mitigations, owners, statuses, and other attributes to each risk, and generate reports and charts to communicate them.
Data Analysis: Palisade Risk 6 provides various tools for data analysis, such as descriptive statistics, histograms, scatter plots, correlation matrices, regression analysis, hypothesis testing, and more. You can use these tools to explore your data, find patterns, test assumptions, and validate your models.
Data Fitting: Palisade Risk 6 helps you fit probability distributions to your data using various methods, such as maximum likelihood estimation (MLE), method of moments (MOM), or chi-squared goodness-of-fit test. You can choose from over 40 continuous and discrete distributions to represent your uncertain inputs.
Risk Optimization: Palisade Risk 6 enables you to optimize your model by finding the best combination of input values that maximizes or minimizes your output value or objective function. You can use various optimization methods, such as genetic algorithm (GA), evolutionary algorithm (EA), or OptQuest.
Drawbacks and Limitations of Palisade Risk 6
Palisade Risk 6 is not without its drawbacks and limitations. Some of them are:
Cost: Palisade Risk 6 is not a cheap software. The standard edition costs $1,495 USD per user license (as of April 2023), while the professional edition costs $2,995 USD per user license (as of April 2023). There are also additional costs for maintenance contracts, training courses, consulting services, etc. For some users or organizations, this may be too expensive or not worth the investment. 061ffe29dd