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

Reading notes of "successful PM" Day04-LMLPHP

Thedevelopment of proposed solutions by interested contractors or by thecustomer’s internal project team in response to a customer’s request forproposal is the second phase of the project life cycle.

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

1
 Competition:Which other contractors might also submit a proposal in response tothe RFP.
2
  Risk:Is there arisk that the project will be unsuccessful technically or financially.
3
  Mission.Is theproposed project consistent with the contractor’s business mission.
4
  Extension ofcapabilities.Would the proposed project provide the contractor with anopportunity to extend and enhance tis capabilities.
5
  Reputation.Hasthe contractor successfully completed projects for the same customer in thepast,or were there problems that left the customer dissatisfied.
6
  Customerfunds.Does the customer really have funds available to go forward with theproject.
7
  Proposalresources.Are appropriate resources available to prepare a quality proposal.
8
  Projectresources.Are appropriate resources available to perform the project if thecontractor is selected as the winner.

Developing a winning proposal:

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

1Understands what the customer islooking for;

2Can carry out the proposedproject

3Will provide the greatest valueto the customer

4Is the best contractor to solvethe problem

5Will capitalize on its successfulexperience with previous related projects;

6Will do the work professionally

7Will achieve the intended results

8Will complete the project withinbudget and on schedule

9Will satisfy the customer

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

2
  Managementsection
a)         Description of work tasks
b)         Deliverables
c)         Project schedule
d)         Project organization
e)         Related experience
f)          Equipment andfacilities


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

Pricing considerations
1
  Reliability ofthe cost estimates
2
  Risk
3
  Value of theproject to the contractor
4
  Customer’sbudget
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 ofthis proposal…….
6
  Concerns aboutthis proposal…. 

 

11-09 20:20