Continuing as the newly assigned project manager to a major IT upgrade project in your global company, what would happen if risks were not fully understood before beginning to perform your Qualitative Risk Analysis? Have you ever experienced this actually occurring? if so, please explain?

Your project sponsor recommends that you not bother with determining the probability and impact for the risks you have identified. What do you say to convince the sponsor this is an important step and worth the effort to perform?

What is probability and impact and why is it important and necessary to assess them for each project risk?