Modeling the cost, time and risk of the VVT process can also yield qualitative and quantitative information about potential risks associated with a given VVT strategy. Specifically, the test engineer can observe the type of risks associated with any particular VVT strategy as well as their estimated probability. Such information is valuable for avoiding critical risks that may occur during the VVT horizon (in our case during the system development stage) as well as for obtaining a reasonable idea about future risk scenarios (in our case, during system production, use/maintenance and disposal).

Identifying expected costs of potential future impact risks is valuable in designing a VVT strategy. First, the VVT strategy itself can be altered in order to decrease the likelihood of such events. Second, either resource can be set aside for these eventualities or insurance can be purchased. The purpose of this section is to demonstrate this aspect of the model using the IAI/Lahav system and quality data.

8.3.1 Avoiding Critical Risks

Based on the risk scenarios defined as part of the VVT quality cost model, we can ascertain the nature of risks and their lifecycle occurrence phase. Specifically, during the planning of the pilot project, we can increase the level of VVT performance when potential risks are considered unacceptable. Table 8.25 exemplifies some risk scenario impacts associated with their expected monetary impacts in cost units ...

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