ModelRisk MasterClass - Is Your Bid Contingency Actually Enough? : Using Risk Registers to Support Bid Review Decisions

Is Your Bid Contingency Actually Enough?

Using Risk Registers to Support Bid Review Decisions

For construction contracts, bid review often comes down to a difficult balance:

How do we protect margin without overpricing the bid?

Most teams include contingency or risk allowance in the tender price, often based on experience, judgement, or a familiar percentage.

But at bid review, the real questions are:

• Is the current bid contingency enough?
• Which risks are driving the greatest exposure?
• What mitigation actions can improve P80 confidence?

In this 45-minute webinar, we will show how probabilistic risk analysis can help construction teams turn a bid-stage risk register into a practical contingency and budget decision.

Using a simple worked example, we will start with a construction project risk register, quantify probability and impact ranges, and run a simulation to understand the total risk exposure.

We will then look at how mitigation actions can reduce probability, impact, or both — and how pre- and post-mitigation results can be compared to show the value of active risk management.

The aim is to help construction teams move from fixed-percentage contingency to a clearer view of confidence, margin exposure and risk mitigation before the bid is submitted.

By the end of the session, you will see how a quantified risk register can support more defensible bid review decisions, clearer senior stakeholder communication, and better risk management before the project is won.

Relevant for: commercial, estimating, bid, preconstruction, risk and project controls teams involved in construction bid review, tender pricing and contingency decisions.