Contract Risk Score Calculator
Work out contract risk score instantly with clear inputs, formula shown and shareable results.
About Contract Risk Score Calculator
A contract risk score aggregates value and duration, supplier capability, commercial terms and delivery complexity into a single figure that determines the governance tier. Reporting the highest single dimension prevents an average from masking one severe exposure.
Formulas
Risk score
Score = Value risk + Supplier risk + Commercial terms risk + Complexity risk, each 0-25
Governance tier
75+ Tier 1; 55-74 Tier 2; 35-54 Tier 3; below 35 Tier 4
Worked example
With the default values below, Contract Risk Score Calculator returns Contract risk score (0-100) of 65. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Value and duration risk (out of 25)
- 18
- Supplier capability and financial risk (out of 25)
- 12
- Commercial terms risk (out of 25)
- 15
- Delivery and technical complexity risk (out of 25)
- 20
Results
- Contract risk score (0-100)
- 65
- Risk band
- High — senior sponsor and enhanced governance
- Governance tier
- Tier 2
- Highest single dimension score
- 20
Step by step
- 1Values used
- 2Risk score
- 3Governance tier
- 4Contract risk score (0-100)= 65
- 5Risk band= High — senior sponsor and enhanced governance
- 6Governance tier= Tier 2
- 7Highest single dimension score= 20
Assumptions and limits
- The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation, tax, fees or charges or compounding frequency into account.
- Figures are rounded for display to whole numbers, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
Why score dimensions separately?
Because the mitigation differs. Supplier financial risk calls for a bond or parent guarantee; complexity risk calls for stage gates and technical review.
Should the score drive approval level?
Yes. Tying approval authority to the risk score rather than to contract value alone is a materially better control.
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