| There is no better way to convince a
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| | words, those that are inherent to the
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| potential customer that yours is the
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| | nature of the job.
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| right company for the job than to
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| | To drive this concept home, let's use an
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| demonstrate a true understanding of the
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| | analogy of a woman going through
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| risks the program will be up against and
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| | pregnancy and childbirth. Let's say that
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| to come up with plans to mitigate those
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| | there are things that educated pregnant
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| risks upfront. But in many proposals, the
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| | women know to do to maximize their
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| risk management section ends up as a
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| | chances of success, such as going to the
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| missed opportunity to shine at best and a
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| | doctor for exams, not smoking, and
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| setback at worst. Rather than showcasing
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| | getting good nutrition. Then, there are
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| a real knowledge and understanding of the
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| | also risks that could possibly occur due
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| program and proposed solutions, the risk
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| | to the nature of the process, such as any
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| section falls flat or actually does harm.
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| | number of medical complications that are
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| It happens for two reasons. One reason is
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| | common to pregnancy and childbirth that
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| that many proposal teams fail to put
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| | could affect the cost (medical bills),
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| enough time and consideration into
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| | schedule (carrying the baby to term), or
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| developing a solid risk section. They
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| | performance goals (giving birth to a
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| assign one author to write it and then
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| | healthy child). If a woman were to put
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| shift their focus to other work. What
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| | together a risk matrix for a proposal to
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| they do not realize is that great risk
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| | become pregnant, documenting the risks of
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| sections are usually born from hours of
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| | what would happen if she did not have
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| intensive brainstorming and input from
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| | timely medical exams or smoked would
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| every key player who truly understands
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| | usually imply her irresponsibility.
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| the program. Instead, the process by
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| | Documenting possible medical
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| which most risk management sections are
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| | complications inherent to the nature of
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| written leaves little room for success.
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| | pregnancy, such as gestational diabetes,
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| It is impossible for a single author to
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| | would demonstrate a thorough and
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| draw out and evaluate all of the
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| | thoughtful understanding of the risks.
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| program's risks.
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| | There are only three categories of risks
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| The second reason is that the wording of
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| | that should be presented in proposals:
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| many risk statements fails to represent
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| | 1. Risks caused by lack of information or
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| the company as an expert, and instead
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| | knowledge about the project that could
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| hurts the company's chance of winning.
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| | only be gained in the process of project
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| Often risk statements tend to follow this
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| | execution;
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| train of broken logic: "If we fail to
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| | 2. Risks caused by lack of control or
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| provide such and such (with "such and
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| | resources to deal with external events or
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| such" standing for something that is
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| | authorities; and
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| expected from any good company doing well
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| | 3. Risks caused by lack of time to
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| in this line of business), this horrible
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| | complete tasks sequentially and
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| thing will happen." For example, "If no
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| | methodically.
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| Customer Satisfaction Survey is
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| | If a company is bidding to perform a
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| established, there will be no feedback on
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| | project at a facility where no site
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| Service Desk performance, which may lead
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| | survey has been completed, an example of
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| to undetected systemic problems resulting
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| | a good risk statement would be that the
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| in lower customer satisfaction." Then,
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| | "Existing facility is not large enough to
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| the risk mitigation strategy is to
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| | support the required number of personnel
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| "Establish a Customer Satisfaction
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| | for the Service Desk function, which
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| Survey." This type of risk and mitigation
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| | could lead to inability to provide the
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| statement reads like an exercise in
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| | required services." The mitigation would
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| shooting oneself in the foot.
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| | then be identifying an alternative to the
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| Essentially, it says to the customer, "If
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| | existing facility in case the survey
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| we do not know what we are doing and we
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| | findings confirm this risk instance. "Not
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| fail to do what any decent company should
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| | getting environmental licenses and
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| do if it wins the bid, then we will
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| | regulatory approvals in time because of
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| fail." Do not offer a risk like this and
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| | the issuing agency's notorious scrutiny"
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| then couple it with a mitigation such as,
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| | is another example of a well-identified
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| "But we do know what we are doing."
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| | risk. A good mitigation could talk about
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| Consider another example where the risk
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| | expert bodies, relationships with the
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| is of "Equipment not identified early
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| | regulators and local authorities, and the
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| enough or critical equipment items not
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| | ability to design and build in accordance
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| identified," and the mitigation is
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| | with every possible standard.
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| something as rudimentary as "Ensure early
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| | It is critical to remember that the only
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| identification of long-lead items." Think
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| | way to come up with solid risk and
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| about this from the standpoint of the
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| | mitigation content is to collaborate as
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| customer. If the customer is choosing an
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| | an entire team, rather than tasking a
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| expert logistics company, and one of your
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| | single author. Even if there is no
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| company's key programmatic risks is that
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| | requirement for a separate risk section,
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| someone will fail to identify equipment
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| | risk analysis is still all-important.
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| in advance, what kind of image are you
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| | Discussion of applicable risks and
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| projecting?
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| | mitigation strategies also should be
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| The examples of "risks" cited above do
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| | included in each section, to showcase
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| belong in the proposal, but only as
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| | your understanding of the job at hand. In
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| elements of the technical or management
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| | your brainstorming session, it is a good
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| approach, and not as components of the
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| | idea to have a mediator who can point out
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| risk section.
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| | the holes and flaws in your risk ideas. A
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| A good "do" for risks is to avoid
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| | mediator will also ensure that you avoid
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| representing as a risk anything that is
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| | the pitfall of inadvertently stating as a
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| within your company's control as well as
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| | risk that your company is unfit for the
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| anything that any reasonably good company
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| | job, and then stating for the mitigation
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| would do in this line of business. The
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| | that your company is - go figure - fit
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| kinds of risks you need to show in your
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| | for the job. Make your risk statements
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| proposal must be those external to the
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| | work for you, since they can be pivotal
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| company's own abilities to plan and
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| | in convincing the customer that yours is
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| manage the program well, or, in other
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| | the right company for the job.
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