ABSTRACT
Chance of Failure – What Is It?............................................................................275 Failure of a Risk Component ................................................................................276 Chance of Failure That Does Not Affect an Input Distribution...........................277 Incorporating Chance of Failure in a Plot of Cumulative Frequency..................278 Another Reason for Chance of Failure .................................................................280 The “Inserting 0s Work Around” ..........................................................................282 COF and Multiple Output Variables .....................................................................284
There is no more common cause for spurious risk assessments and misinterpretation of risk-model results than the exclusion of chance of failure from the analysis. It will be illustrated in this chapter that consideration and integration of chance of failure, when appropriate, is crucial.
