How can my company minimize its risk with respect to glass melting furnace projects?
• Write a detailed scope of work or scope of supply. Studies have shown that there is an inverse correlation between the spread in pricing and the completeness of the scope of work/supply (i.e. the more detailed the scope, the narrower the range of pricing). The point of this scope document is to clearly indicate what you, as the customer, expect to be done and/or supplied with a special emphasis on responsibilities at critical areas of interface. A preferred supplier can be helpful in creating the scope of work/supply. • Select an experienced supplier. • Select a supplier that has “in-house” capability in the required areas of expertise, with a particular emphasis on project management. This is a way to ensure that you have committed and experienced people working with you. • Select a financially stable and credit-worthy supplier.
