26.1 Contract negotiation steps

26.1.2 Conduct a risk analysis

Identify potential project risks based on the selected proposal(s) and the RFP requirements. This will help to ensure that you have covered all areas to take to the negotiation table. You will include them in the final negotiation strategy. The second tab of Appendix A, Risk Mitigation Worksheet, provides a valuable tool for ensuring a comprehensive look at possible project risk areas to negotiate around. Such areas include but are not limited to the following:

  • Commonwealth and/or VITA technology strategies, standards and dependencies affecting a successful project might include:
    • Network, internal architecture, major application and/or server upgrades
    • Interface issues
    • Lacking requirements in the statement of work (SOW)/functionality/business processes
    • Phased development/growth/enhancement
    • Schedule (interdependencies on other applications/systems/hardware/software components/subcontractors/partners/data availability, etc.)
  • Price (requirements analysis/customization/data conversion/scope creep)
  • Spending risks/out year budgets
  • Changes
  • Supplier accountability/viability
  • Supplier customer service experience from references
  • Supplier product/service/performance limitations
  • Licensing restrictions/issues
  • Supplier assumptions/exceptions to technical/functional/business requirements
  • Supplier assumptions/exceptions to terms and conditions
  • Supplier assumptions/exceptions to other areas
  • Unclear proposal statements