Risk Assessment

A risk assessment may be required prior to proceeding with the opportunity.  The risk assessment is needed if any of the conditions are met:

 

Criteria about the opportunity:

 

• New Technology not used before
• High numbers of users > 50
• Process does not fit current data model format
• High security requirements - unfriendly environment
• Very short time frame < 2 weeks from proposal date

 

The above criteria may necessitate an immediate no bid.

 

Other criteria:

 

• Resource availability > 2 months out
• Testing cannot be done with client systems
• Cost expectations too low (margin < 20%)
• Too much Pre-Sales resources required (Sales cost > xx%)
• Sales timeframe too far out - (Cash flow breakeven > 3 months)
• Any impact to current commitments to clients

 

(this is also a place for a more standard risk assessment technique)

 

Risks will be documented in the opportunity report.  If the decision to proceed with a proposal, and a project is being proposed, the risks will be entered on the risk log and formally tracked.   For non projects, the risks will be reviewed at the time the proposal is reviewed and authorised.

 

The managing director will authorise 'Prepare Proposal' when a decision to proceed is required.