Probabilistic analysis is a method used to assess the likelihood of various outcomes in uncertain situations. It involves using mathematical models to estimate probabilities, helping to make informed decisions based on potential risks and benefits. This approach is commonly applied in fields like finance, engineering, and environmental science. By incorporating randomness and uncertainty, probabilistic analysis allows for a more realistic understanding of complex systems. Tools such as Monte Carlo simulations and Bayesian inference are often employed to analyze data and predict future events, making it easier to navigate challenges and optimize strategies.