Navigation

last updated: 14th July 2011
Action
Risk Solutions
Unrealistic costs estimated for the project

- Wrong amount of funds allocated

- Project not funded because costs are too high

- Funds miss-allocated to project that could be used elsewhere

- Wrong competitive procurement process followed leading to risk of challenge under EU procurement rules

- Use the Whole Life Costing Model to explore and identify the operating and end of life costs of the proposed purchase.

- Prepare an outline business case and an options appraisal that explores the likely costs and benefits of the procurement

- Ensure the value of proposed projects follow the valuation methods published in the procurement legislation
Consideration not given to future costs associated with the procurement - Insufficient funds or other resources (staff etc) available to ensure the best use is made of the goods or services

- Inefficient use of the procured goods or services

- Funds are wasted
- Use the Whole Life Costing Model to explore and identify the operating and end of life costs of the proposed purchase.
Need not challenged - Unnecessary or inappropriate purchase made and funds used that could have been put to better use - Ensure that questions are asked when a requirement is proposed. The level of challenge should reflect the value and complexity of the procurement.
Alternative solutions not considered - Unnecessary or inappropriate purchase made and funds used that could have been put to better use - Ensure that questions are asked when a requirement is proposed. The level of challenge should reflect the value and complexity of the procurement.
Outline Business Case not prepared - Alternative solutions not identified or considered

 

 

- Opportunity of a better solution is missed or a purchase made when it was not necessary

- An outline business case and an options appraisal should be completed for all procurements above a stated value. The detail in both reflecting the value and complexity of the proposed procurement

- The Do Nothing options should always be considered in order to identify if there is a genuine need for the proposed goods or services
Investment Appraisal not completed - Alternative solutions not identified or considered

 

 

- Opportunity of a better solution is missed or a purchase made when it was not necessary

- An outline business case and an options appraisal should be completed for all procurements above a stated value. The detail in both reflecting the value and complexity of the proposed procurement

- The Do Nothing options should always be considered in order to identify if there is a genuine need for the proposed goods or services
Rating:
0
Your rating: None

Comments Comments