Reading notes of "successful PM" Day04

Hi,I m back,Let’s take a look at the 2nd part of Project life cycle this time.

The development of proposed solutions by interested contractors or by the customer’s internal project team in response to a customer’s request for proposal is the second phase of the project life cycle.

Pre-RFP/proposal marketing:
Contractors whose livelihood depends on creating winning proposals in response to business or government RFPs should not wait until formal RFP solicitations are announced by customers before starting to develop proposals. Rather, such contractors need to develop relationships with potential customers prepare requests for proposal.
  
Bid/No-bid decision
Evaluating whether to go forward with the preparation of proposal is sometimes referred to as the bid/no-bid decision. Some factors that a contractor might consider in making a bid/no-bid decision are the following;

1、  Competition:Which other contractors might also submit a proposal in response to the RFP.
2、  Risk:Is there a risk that the project will be unsuccessful technically or financially.
3、  Mission.Is the proposed project consistent with the contractor’s business mission.
4、  Extension of capabilities.Would the proposed project provide the contractor with an opportunity to extend and enhance tis capabilities.
5、  Reputation.Has the contractor successfully completed projects for the same customer in the past,or were there problems that left the customer dissatisfied.
6、  Customer funds.Does the customer really have funds available to go forward with the project.
7、  Proposal resources.Are appropriate resources available to prepare a quality proposal.
8、  Project resources.Are appropriate resources available to perform the project if the contractor is selected as the winner.

Developing a winning proposal:

   A proposal is a selling document;it is not a technical report.In the proposal the contractor must convince the customer that the contractor.

1、Understands what the customer is looking for;

2、Can carry out the proposed project

3、Will provide the greatest value to the customer

4、Is the best contractor to solve the problem

5、Will capitalize on its successful experience with previous related projects;

6、Will do the work professionally

7、Will achieve the intended results

8、Will complete the project within budget and on schedule

9、Will satisfy the customer

Proposal contents:
1、  Technical Section
a)         Understanding of the problem
b)         Proposed approach or solution
c)         Benefits to the customer

2、  Management section
a)         Description of work tasks
b)         Deliverables
c)         Project schedule
d)         Project organization
e)         Related experience
f)          Equipment and facilities

3、  Cost section
a)         Labor
b)         Materials
c)         Subcontractors and consultants
d)         Equipment and facilities
e)         Travel
f)          Documentation
g)         Overhead
h)         Escalation
i)           Contingency
j)           Fee or profit

Pricing considerations
1、  Reliability of the cost estimates
2、  Risk
3、  Value of the project to the contractor
4、  Customer’s budget
5、  Competition

Proposal submission and follow-up
Customer evaluation of proposals
1、  Approach[weight:score:point]
2、  Experience[weight:score:point]
3、  price[weight:score:point]
4、  schedule[weight:score:point]
5、  Advantages of this proposal…….
6、  Concerns about this proposal….