The continuous uniform distribution represents a situation where all outcomes in a range between a minimum and maximum value are equally likely. From a theoretical perspective, this distribution is a key one in risk analysis; many Monte Carlo software algorithms use a...
The expansion of global supply chains has meant an exponential growth of the risk of disruptions to those networks. Organizations around the world are turning their eyes away from decision making processes based on single-point estimates, and viewing their risks and...
The recent blog positing on best practices in Excel modelling could be thought of as providing a reasonable and robust set of principles for building static Excel models. When building simulation models for risk analysis in Excel (for instance, with @RISK Monte Carlo...
This blog briefly posts some fairly standard (but not fully accepted, and more often simply not implemented!) “best practice principles” in Excel modelling. A later blog discusses a related topic as to whether risk modelling (when building Monte Carlo simulation...
This is the second in a series of postings about correlation modelling. In the first posting we discussed the idea of correlation as representing a proxy model of dependency between random variables. In this posting, we discuss the idea the often overlooked concept...
