When is it best to perform a qualitative analysis?

Performing a qualitative analysis is particularly advantageous when evaluating unknown or low-frequency events. In contexts characterized by rarity or uncertainty, there may not be enough historical data or quantitative evidence to effectively use numerical methods. Qualitative analysis allows for the consideration of expert opinions, scenarios, and contextual factors that quantitative analysis might overlook. This approach provides a structured way to assess risks where numerical data may be limited or absent, allowing organizations to make informed decisions based on a broader understanding of potential impacts.

Utilizing qualitative analysis in these circumstances helps capture the nuances and complexities surrounding less common events, facilitating a more comprehensive risk assessment. Furthermore, it can guide further explorations or data collection efforts by identifying critical areas of concern that may require more attention in quantitative analyses later on.