How is Monte Carlo simulation used for schedule risk analysis?

Monte Carlo schedule risk analysis: (1) Model schedule with duration ranges (triangular or beta distributions) based on risk assessment, (2) Assign correlation between related activities, (3) Run thousands of simulations randomly sampling from distributions, (4) Analyze results - probability distribution of completion dates, sensitivity analysis identifying high-risk activities, (5) Determine confidence levels (e.g., 80% probability of completing by date X). Tools: Primavera Risk Analysis, @RISK, Safran. Results inform contingency requirements and identify activities needing risk mitigation. More realistic than deterministic critical path analysis.