Which analysis method examines the potential consequences of identified risks?

The analysis method that examines the potential consequences of identified risks is qualitative risk analysis. This method focuses on assessing risks based on their characteristics, such as likelihood and impact. The key here is that qualitative risk analysis is about understanding risks in terms of their severity and the nature of their potential effects on project objectives or organizational goals.

During qualitative risk analysis, risks are typically prioritized based on their probability of occurrence and the impact they would have if they occurred. This helps organizations focus their efforts on the most significant risks. This method often employs tools like risk matrices and expert judgment to evaluate and categorize the risks without involving detailed numerical data.

In contrast, the other analysis methods mentioned serve different purposes: quantitative risk analysis relies on numerical techniques to evaluate risks and is concerned with the statistical modeling of potential outcomes; cost-benefit analysis examines the financial implications of decisions rather than focusing strictly on risks; and impact analysis investigates the broader effects of changes or issues but does not specifically center on risk consequence evaluation. Thus, qualitative risk analysis is the appropriate method for examining the potential consequences of identified risks.