A risk audit is a systematic process of identifying, analyzing, and evaluating the potential threats and uncertainties that may affect the success of a proposal. A risk audit can help you to plan ahead, mitigate risks, and increase the confidence and credibility of your proposal. Learn about the best tools and methods for conducting a risk audit for a proposal.
A risk audit framework is a set of guidelines and criteria that define the scope, objectives, and methods of the risk audit. A risk audit framework can help you to organize and structure your risk audit process, ensure consistency and completeness, and align your risk audit with your proposal goals and requirements. You can use existing risk audit frameworks, such as the PMBOK Guide, ISO 31000, or COSO ERM, or develop your own customized framework based on your proposal context and needs.
Begin by assembling a diverse team with varied expertise to ensure comprehensive risk identification. Conduct brainstorming sessions and utilize tools like SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) to surface potential internal and external risks. Evaluate identified risks based on their likelihood and impact, prioritizing them to address the most critical ones first. Document these risks in a risk register, detailing mitigation strategies and assigning responsibilities. Engage stakeholders to gather diverse perspectives and validate findings. Finally, continuously monitor and update the risk audit throughout the proposal process to adapt to any changes or new information.
Tools that help you to generate and collect information about the possible risks that may affect your proposal help make risk audits easier. Risk identification tools can help you to uncover risks that are not obvious or evident, and to involve relevant stakeholders and experts in the risk audit process. Some of the common risk identification tools are brainstorming, interviews, surveys, checklists, SWOT analysis, PESTLE analysis, and risk breakdown structure.
Authenticity of best value. Know the risk; manage the risk; find the weakness and share it with others; reinvent your uniqueness; and don’t let your head be your downfall. Laugh and don’t let adversity into your model. Accept that you are human and make mistakes and surround yourself with good people who share similar l knowledge, skills, and abilities. When you fall pick yourself up. Brace yourself for success.
It's great to have tools and methodologies, but sometimes, it's best to just have a conversation with those involved in the process. Having open dialogue can help uncover many risks that wouldn't have otherwise been considered.
To assess and quantify the likelihood and impact of the identified risks on your proposal you must analyze the risks. Risk analysis methods can help you to prioritize and rank the risks, and to estimate the potential consequences and costs of the risks. Some of the common risk analysis methods are qualitative analysis, quantitative analysis, sensitivity analysis, scenario analysis, and Monte Carlo simulation.
Risk evaluation criteria are standards that help you to compare and judge the risks based on your proposal objectives, constraints, and expectations. Risk evaluation criteria can help you to determine the acceptable and unacceptable levels of risk, and to decide which risks need further attention and action. Some of the common risk evaluation criteria are risk appetite, risk tolerance, risk threshold, risk exposure, and risk score.
Actions and plans that help you to address and manage the risks that may affect your proposal are key. Risk response strategies can help you to reduce or eliminate the negative effects of the risks, or to exploit or enhance the positive effects of the risks. Some of the common risk response strategies are avoid, transfer, mitigate, accept, exploit, share, enhance, and ignore.
Risk monitoring and control tools techniques help you to track and measure the performance and progress of your risk audit and response activities. Risk monitoring and control tools can help you to identify and report any changes or deviations in the risk situation, and to adjust and update your risk audit and response plans accordingly. Some of the common risk monitoring and control tools are risk register, risk dashboard, risk reports, risk audits, and risk reviews.
Frankly, the only "risk" is are we competative or not, can we credibly compete? Other risks are all secondary to expending money in pursuit of "we can be". OK, sometime swing for the fence, but that is the only real risk, wasting time otherwise