Risk management to avoid unpleasant surprises!

If you run a business, you are in the procurement or project manager, this article might interest you.

In preparing your invitations to tender unidentified risks become potential additional costs, by increasing delays, poor quality or any other deviance.

In recent months, Canada Post has made headlines for the second generation of mailboxes that have been installed. The first generation did not have a significant locking problem. Undoubtedly during the tender of service the requirements were not specific enough. The new generation was awarded to a Texas firm, which is unfamiliar with winter conditions.

The locks of a large part of the million new boxes have to be replaced, where they are installed. An operation that will be expensive, who will have to suffer the costs of this replacement?

The identification of the risks associated with the use of such boxes should have identified this problem. This would have made it possible to choose an action in the face of risks. Several scenarios would have avoided such a situation, for example:

— Define the context of usage of the mailboxes so that the manufacturer is then responsible for the non-performance of the product.

— A technical requirement of the lock with specifications such that the problem cannot exist, Canada Post would then be responsible for choosing the right specification.

If you have any questions, please contact me.

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