What is the risk assessment tool?
The Risk Assessment Tool is a high level indicator of the potential risks that can occur on government projects.
It uses a standard set of criteria relating to:
It is important to remember that the tool is not a comprehensive risk analysis model; but it can be the platform for starting a risk assessment.
- The project’s definition and scope
- The impact the project will have on Government services
- The impact the project will have on the public/community
- The capability and capacity of the agency to deliver the project
When to use the risk assessment tool?
For Gateway Reviews
The Risk Assessment Tool is the first step in the Gateway Review process.
As part of the process for the development of the State Infrastructure Strategy, government agencies are required to submit for Gateway Review all procurement proposals for projects that meet the following criteria:
Business Case Gate
- For projects with an estimated total cost over $10 million and commencing
in years 2 – 4 of the upcoming forward estimates period, or
- For all projects proposed for State Infrastructure Strategy publication or other public statement.
- If requested by Treasury for all projects with an estimated total cost over $1 million, or
- For all projects with an estimated total cost over $10 million and commencing in the upcoming budget year.
Projects with an estimated total cost of $10 million to $50 million, risk assessments are to be reviewed by Treasury NSW. For projects with an estimated total cost over $50 million Treasury will formally sign off on risk assessments for proposals assessed as low risk.
How to use the tool?
There is only one model which covers construction, goods and services, ICT and property development.
The tool covers 6 key elements; Base information, Program/Project Definition, Government Impact, Public Impact, Capability and Submitting for Gateway Review.
To begin, select an option from the menu that best describes the program or project. The criteria are designed to be self explanatory and are in the form of a series of yes/no questions. Each section must be completed before a new section can be started. A profile should take no more than 15-20 minutes to answer.
Saving a risk profile
Once completed, the tool will generate a risk rating based on a traffic light system, at this point the risk profile can be saved for an agency’s internal use or submitted to Gateway to notify of an upcoming review.
It is important to note that a risk assessment must be completed for each project that is going to Gateway for review.
A new assessment must be undertaken for all programs and projects being reviewed at both the Strategic and Business Case Gates.
For more information on Gateway or government procurement
All enquiries can be forwarded to firstname.lastname@example.org