22.214.171.124 Proposal Risk.
This refers to the risk associated with the offeror's proposed approach to meet the Government cost, schedule, and performance requirements. The evaluation of proposal risk includes an assessment of proposed time and resources and recommended adjustments. This assessment should be performed according to the definitions and evaluation standards developed for the source selection. Proposal risk is, in essence, a moderate expansion of past evaluation processes. Historically, evaluators selected contractors who demonstrated that they understood the requirements and offered the best value approach to meeting the Government's needs. The expansion on this concept is the specific consideration of risk.
Technical and schedule assessments are primary inputs to
the most probable cost estimate for each proposal. It is important to estimate
the additional resources needed to control any risks that have moderate or high
risk ratings. Offerors may define them in terms of additional time, personnel
loading, hardware, or special actions such as additional tests. However,
whatever the type of the required resources, it is essential that cost estimates
be integrated and consistent with the technical and schedule