No.

Risk Heading

Definition

Allocation

public sector

private sector

shared

3.1

Latent defects in new build

Latent defects to the structure of the building(s), which require repair, may become patent.

3.2

Change in specification initiated by procuring entity

There is a chance that, during the operating phase of the project, the procuring entity of the services will require changes to the specification.

3.3

Performance of sub-contractors

Poor management of sub-contractors can lead to poor co-ordination and under-performance by the contractors. This may create additional costs in the provision of services.

3.4

Default by contractor or sub-contractor

In the case of default by a contractor or sub-contractor, there may be a need to make emergency provision. There may also be additional costs involved in finding a replacement.

3.5

Industrial action

Industrial action by the staff involved in providing facilities services would lead to higher costs and/or performance failures.

3.6

Failure to meet performance standards

There is a risk that facilities management (FM) will not provide the required quality of services. This may be costly to correct, and the operator may incur financial penalties.

3.7

Availability of facilities

There is a risk that some or all of the facility will not be available for the use to which it is intended. There may be costs involved in making the facility available.

3.8

Relief Events

An event of this kind may delay or impede the performance of the contract and cause additional expense.

3.9

Force Majeure

In the event of Force Majeure additional costs will be incurred. Facilities may also be unavailable.

3.10

Termination due to force

There is a risk that an event of force majeure will mean the parties are no longer able to