What is Black Swan and Perfect Storm?

What is Black Swan and Perfect Storm?
Photo by Richard Sagredo / Unsplash

The terms 'Black Swan' and 'Perfect Storm' are used to describe events that are unexpected and have a significant impact. Black Swan events refer to the reaction that is completely unknown and off the radar of the risk analysis. These events can be known to some but unknown to others, and they can also be judged to have negligible probability of occurrence. For instance, the release of poisonous gas in Bhopal in 1984, which was the world's worst industrial disaster, is an example of a Black Swan event. Even after 30 years, the effects of this tragedy can still be seen in the local community.

On the other hand, a Perfect Storm is a situation where all possible things that can go wrong coincidentally happen at the same time or on the same project. These failures are not related but can have a significant impact. For example, the lack of technological growth and low-security systems in organizations can cause heavy disasters such as loss of passwords and confidential data. The emergence of big organizations like Google and Outlook with their competitive ideas has made it hard for long-existing companies to survive in the market. Understanding project management trends and discussing the ways that quality management and Six Sigma identify and control project variations are the key to working towards a Perfect Storm. While it is impossible to predict the future, we must be prepared for the unexpected and work towards minimizing the impact of these events.

REFERENCES

http://www.theatlantic.com/photo/2014/12/bhopal-the-worlds-worst-industrial-disaster-30-years-later/100864/

https://books.google.com.au/books?id=iFcXAwAAQBAJ&pg=PA95&lpg=PA95&dq=%27Black+Swan%27+and+a+%27Perfect+Storm%27+example&source=bl&ots=reIgr-b55o&sig=7O0an2IlxEjmVvlq44AmFvg6HCg&hl=en&sa=X&ved=0CEwQ6AEwBmoVChMIgKeasdGtxwIVZhmmCh0PYQGL#v=onepage&q='Black%20Swan'%20and%20a%20'Perfect%20Storm'%20example&f=false

http://www.investopedia.com/articles/trading/11/black-swan-events-investing.asp    

http://c2.com/cgi/wiki?PerfectStorm