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PROOF OF CONCEPTS
The business case development identifies possible projects and for each project it makes a first-approximation quantification for investment, returns, and timing. Such quantitative analysis uses benchmarks extrapolated by other projects. But how reliable are those parameters? It may be for instance that the supplier is imposed a new requirement (such as managing documents in Italian) which may turn out to have a non marginal effect on quantitative analysis.
Those questions are answered by proof of concepts.

The proof of concepts is implemented through a pilot project, a trial carried out on one (or few) suppliers. The suppliers are given work samples to be executed with a not-yet perfected procedure. The results are then used to check the estimated parameters and to evaluate the suppliers' responsiveness to the requirements.

The proof's basic aim is risk mitigation for the investment decision.
Ancillary outcomes are option evaluation, new process refinement (for instance the opportunity to adopt a new technology, either at the supplier's or at the customer's end, may emerge), and building up of consensus.
 
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