Risk and opportunity management
Bennco Engineering’s goal is to manage risks and opportunities in a proactive and effective manner. This increases the likelihood of positive business outcomes, protects, and creates value, and assists Bennco Engineering in meeting our obligations to shareholders, customers, clients, subcontractors, suppliers, employees, and the community. Bennco Engineering’s Risk Management Standard outlines risk appetite statements and tolerances approved by the Board.
Risk management at Bennco Engineering has three priority focus areas and we have reviewed each of these to consider how they can be enhanced.
The Bennco Engineering Standard, Bennco Engineering’s Integrated Management System, provides the policy framework and ensures consistency in our risk management processes. Significant work has gone into The Bennco Engineering Standard over the past few years. The Bennco Engineering Standard is a comprehensive IMS; however, Bennco Engineering is committed to continuously improving and refining it.
Tendering and delivery execution is also a priority area. At Bennco Engineering, the Delivery Management Methodology prescribes the requirements for all stages of a project’s lifecycle.
In relation to Opportunity & Bid Management, we have multiple gates and hold points that must be followed. The intention of these gates is to filter suitable opportunities and then ensure that our “5 Cs” are considered and re-assessed throughout the tender phase.
The 5 Cs are:
- Capacity (Do we have the resources?)
- Counterparty (Is our client reputable?)
- Capability (Is the work within our technical expertise?)
- Contract (Is the risk allocation balanced?)
- Compensation (Are we valuing our work appropriately and will the contract support our Group EBITA target?).
These considerations help determine whether an opportunity fits within Bennco Engineering’s risk appetite.
Major opportunities are overseen by the Tenders & Contracts Committee, which meets at least twice a week to review tenders.
