Overview
The Q Score is COMPASS’s proprietary assessment of subcontractor risk, offering General Contractors (GCs) a standardized, data-driven tool to evaluate subcontractor performance. By consolidating key variables across Business, Finance, and Health & Safety, the Q Score delivers a clear benchmark for assessing risk levels and making confident decisions.
What is the Q Score?
The Q Score is a numeric risk rating ranging from 1.0 to 7.9 and is color-coded to indicate risk levels.
Green (Q1.0–Q3.9): Lowest Risk
Yellow (Q4.0–Q5.9): Medium Risk
Red (Q6.0–Q7.9): Highest Risk
Subcontractors with incomplete or outdated information may receive a capped score, signaling increased risk.
How General Contractors Use the Q Score
The Q Score is a benchmarking tool that supports risk assessment during prequalification and project planning. It does not replace a GC’s due diligence, rather it serves as an independent reference point to:
Assess a subcontractor’s overall risk level.
Identify areas of concern, such as missing data or weak performance ratios.
Streamline decisions on contract size and limits based on a subcontractor’s risk classification
Q Score Sections
The Q Score is calculated using ratios across three core sections, which roll up to a the final Q Score:
Business (50%): Includes factors such as past project experience, company longevity, and revenue concentration risk.
Finance (40%): Derived from financial statements, focusing on liquidity, debt ratios, and revenue stability.
Health & Safety (10%): Evaluates safety records, certifications, and incident history.
Trade Rank
In addition to the Q Score, COMPASS ranks subcontractors within their Primary Trade (e.g., Electrical, Concrete) based on their Q Score. This ranking helps GCs compare subcontractors directly within the same trade. The Primary Trade Rank is displayed in the subcontractor profile.
Benefits of the Q Score for General Contractors
The Q Score offers a transparent, rules-based framework for risk assessment, delivering key advantages:
Efficient Screening: Easily identify high-risk subcontractors using the color-coded Q Score.
Focused Effort: Direct due diligence to weak ratios or missing information.
Streamlined Evaluation: The Q Score consolidates complex data into a single benchmark, simplifying subcontractor assessments.
Data-Driven Decisions: Rely on standardized, back-tested metrics to inform prequalification and risk management processes.
Conclusion
The Q Score in COMPASS provides General Contractors with an objective, reliable measure of subcontractor risk based on Business, Finance, and Health & Safety data. By streamlining the evaluation process, the Q Score allows GCs to make faster, more informed decisions and mitigate risk when selecting subcontractors.