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dominant. 30. The tender and the

contract related to this tender contain a high degree of unusual risks.

- When the tender and the contract related to this tender contains a high degree of unusual risks, there will be a search for the degree in which these risks can be managed.

- When the tender and the related contract contains a high degree of unusual risks which can be managed by the business unit, there is a high priority for this tender with a high degree of unusual risks. This high priority is mainly a result of the fact that by managing these unusual risks it is possible to distinguish themselves from the competitors.

- When the tender and the contract related to this tender contains a low degree of unusual risks, this will have no effect on the priority level of the tender.

- A high priority for the tender will positively affect both the allocation of an extensive tender team on this tender.

In line with the risk attitude of BAM Wegen Zuidwest.

- When the tender and the contract related to this tender contain a high degree of unusual risks, a high priority level for this tender by BAM Wegen Zuidwest should be explained by an elaborated management plan. - For tenders with high degrees of

unusual risks no additional discount on total execution costs will be offered to the client.

No issues.

31. It isn’t possible to manage the unusual risks

- When a tender contains a high degree of unusual risks and there are possibilities to manage these risks by our business unit, there is a high priority for this tender because of the possibilities to distinguish ourselves from the competitors. By distinguishing ourselves from the competitors, this will positively affect the probability of winning the tender.

- High priority levels for tenders with high degrees of unusual risks are underpinned by extensive management plans in which the effectiveness of the measures are described.

In line with the risk attitude of BAM Wegen Zuidwest.

- When the tender and the contract related to this tender contain a high degree of unusual risks, a high priority level for this tender by BAM Wegen Zuidwest should be explained by an elaborated management plan.

No issues.

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Table 18: Overview of risk appetites or risk attitudes which are related to the tolerances/ thresholds of BAM Infratechniek Telecom

Selection heuristics

Id: Description of risk threshold:

Risk attitude of BAM Infratechniek Telecom: Risk appetite of BAM Infratechniek Telecom: Risk appetite of BAM Infratechniek: Strategic issue for the BAM Group: 1. Outside the geographical boundaries of the region’s or business unit’s working area.

Only bids are placed on tenders outside the geographical boundaries of the region of BAM Infratechniek Telecom when a private invitation for tendering of the client is received. Next to that, only bids are placed on tenders outside the geographical boundaries of the region when the cost price for the execution of the contract is covered completely and a financial result of 4% of the turnover can be realized.

In line with the risk attitude of BAM Infratechniek Telecom.

In line with the risk appetite of BAM Infratechniek Telecom.

No strategic issues.

2. Activities prescribed within the tender documents are not in line with activities described within the OP.

There is a focus on the execution of core-activities, which are described within the Operational Plan of BAM Infratechniek Telecom. Only for these core- activities there is a focus on growth, in terms of margin and turnover.

Only bids are placed on tenders for which the majority of the prescribed activities are in line with the core-activities as described within the operational plan of BAM Infratechniek Telecom.

When a small part of the prescribed activities within the tender specifications aren’t in line with the core activities of BAM Infratechniek Telecom and there are other business units within the BAM Group or extern partners who can perform these activities, only a bid is placed on the tender when a cooperation with these companies is possible.

In line with the risk appetite of BAM Infratechniek Telecom.

No strategic issues.

3. Not enough time available for determining the cost price for the tender.

Only bids are placed on tenders when there is enough time available for determining the cost price for the execution of the contract. This cost price is determined on the available information related to the tender. So in order to determine if there is enough time for determining the cost price for the execution of the contract, BAM Infratechniek Telecom determines if there is enough time to collect and search through the information related to the tender.

Only bids are placed on tenders for which there is enough time for determining the cost price for the execution of the contract. This decision is founded on a perception about the available time for collecting and searching through the information related to the tender.

N/A No strategic issues.

4. Imbalance between the bonus- and penalty arrangements within the tender specifications.

- Only bids are placed on tenders for which the penalty arrangements within the tender specifications are not dominant over the bonus arrangements.

- BAM Infratechniek Telecom always tries to exclude the bonus- and penalty arrangements within the contract specifications in order to minimize the impact of risks and opportunities, during the execution of the contract, on the financial result of the contract won.

In line with the risk attitude of BAM Infratechniek Telecom.

N/A No strategic issues.

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Outline

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