Criteria to pursue an opportunity

[QAMTY]

hello everybody

Does anybody know methods to use in order to decide if is worth to pursue an opportunity? (6.1 Actions to address risks and opportunities).

I think that similar to the way we evaluate a risk, maybe would also exist something for opportunities.

Something like PxB, probability multiplied by the benefit and according to the value, to decide what to do.

Because this is to comply with 9001 RBT, we may do it more simple.

When an opportunity appears, ok, by doing a quick evaluation, maybe filling out a form, where is mentioned the opportunity, the benefit, the cost of the opportunity, and the top management decide the action based on shown info
but not using a PxB formulae.

please share your thoughts


Thanks

 

[Miner]

The simplest approach is a simple 2x2 matrix. One axis is the impact on the business (low or high). The other axis is ease of implementation (easy or difficult). Your first priority should be those opportunities that have high impact and are easy to implement. Next are the high impact but difficult and low impact but easy. If an opportunity is low impact and difficult, you choose to forgo the opportunity.

 

[Wes Bucey]

hello everybody

Does anybody know methods to use in order to decide if is worth to pursue an opportunity? (6.1 Actions to address risks and opportunities).

I think that similar to the way we evaluate a risk, maybe would also exist something for opportunities.

Something like PxB, probability multiplied by the benefit and according to the value, to decide what to do.

Because this is to comply with 9001 RBT, we may do it more simple.

When an opportunity appears, ok, by doing a quick evaluation, maybe filling out a form, where is mentioned the opportunity, the benefit, the cost of the opportunity, and the top management decide the action based on shown info
but not using a PxB formulae.

please share your thoughts


Thanks

Sure. My colleague, Miner, has the basics, Essentially this is a variation of a FMEA (Failure Mode & Effects Analysis), but don't allow the company to get caught in an "analysis paralysis." When I consult with organizations on making choices about new products or markets, our primary emphasis is on risk versus reward. A large part of the the risk is determining whether being a pioneer on a new product or market carries a large enough reward to be a pioneer, rather than a follower. (For example, years ago, Beta was the pioneer and quality champion in videotape systems, but was overwhelmed by an inferior product (VHS)) There are reams of research on the reasons. Suffice to say, there are just as many examples where the first innovator was able to dominate the marketplace and discourage competition. Research questions should concentrate on the potential size of the market and the ability or probability of competition. (Is the product proprietary? Is the cost for a competitor to enter the market prohibitive? Is there a possibility or a regulatory or political change which would affect the product or the market? Can someone design/build a better/cheaper mousetrap and make yours obsolete? [no market for buggy whips in a culture using electric cars])

 

[Randy]

S.W.A.G has worked time and time again

 

[BoardGuy]

Just keep it simple. In our quality manual we address opportunity this way:

XZY Corp. uses it management processes to identify business and product technology development opportunities that could be implemented to sustain or improve the company.

[FONT=&quot]Note: Management may use a number of methods to identify opportunities such as brainstorming activities, stakeholder meetings, focus groups, continual improvement activities (see 8.5.1) or preventive actions (see 8.5.3).[/FONT]

 

[QAMTY]

Thanks to all

Boardguy

So the decision to take an opportunity, is it evaluated by traditional methods, maybe when is detected, it is used additional information , like the cost of the opportunity, the focus of the business, etc. ? but dont you use a tool like PXB? or how do you determine if you stop or continue?

On the other hand, for Risk, dont you use a tool in order to know the value of risks?
and according to such value, to decide what action to take?

Thanks

 

[BoardGuy]

You must understand that were opportunity is listed (6.1), the standard has no defined requirements that must be met (a method, procedure or record). Business opportunities identification already exists within your organization or you would not have remained in business this long. Just because TC 176 added an ill-defined requirement should not change what you already do or add additional layers of documentation. Just explain what you are currently doing in this area in your quality manual and then perform an opportunity review as part of your management review meeting.

 

[Mike S.]

hello everybody

Does anybody know methods to use in order to decide if is worth to pursue an opportunity? (6.1 Actions to address risks and opportunities).

Unless you are a brand new business, just write down how you have decided whether or not to pursue an opportunity in the past. There is no ISO/AS requirement for HOW to do it.

Don;t create some new process just to satisfy an auditor if it brings you no increased value to do so. If you have a monkey throw a dart at a copy of Inc magazine and pursue the kind of business that the dart lands on, then write that down as how you do it.