PEMP ESE2516
FT12
Session 4 Project Proposal
Session Speaker: Dr Govind R Dr. R. Kadambi
© M. S. Ramaiah School of Advanced Studies, Bengaluru
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Session Objectives To understand : • Concept p of Project j Brief • Project Proposal • Importance of Negotiation and Debriefing
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FT12
Session Topics • • • • •
Proposals and Briefs Preparing a Proposal Negotiations D b i fi Debriefing Project Proposal Checklist and Worksheet
© M. S. Ramaiah School of Advanced Studies, Bengaluru 3
PEMP ESE2516
FT12
Proposals and Briefs • Often a design project stems from an idea or an identified need in the market • Competitive bids are solicited to help develop the idea or solve the problem • Such a call for bids may vary from a simple verbal request up to a more complicated written Request For Proposal (RFP) • RFP may be b in i severall volumes, l d depending di on the h organization and the scope of the work involved
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PEMP ESE2516
FT12
Proposals and Briefs • Response to such an RFP is a project proposal or a bid • Primary purpose of this bid is to secure some form of contract • Proposal is generally a written document formally stating what the bidder understands the project to involve and the approach proposed to satisfy the request • Initially, this proposal is used for bid selection and evaluation • Later stages, it is used for negotiating terms of contracts with the successful bidder.
© M. S. Ramaiah School of Advanced Studies, Bengaluru 5
PEMP ESE2516
FT12
Proposals and Briefs • Project may also start in response to a request for specific design work, presented in the form of a project brief • Project proposal is written with the aim of securing a contract • Main aim of a project brief is to define the work to be carried out • Project brief is equivalent to the work statement section of a project proposal • Briefs may be used as working documents during the j course of a pproject © M. S. Ramaiah School of Advanced Studies, Bengaluru 6
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FT12
Preparing the Proposal • First step to secure a contract by proposal is to obtain the RFP as early l as possible ibl • Some strategy is involved in this: BIDDER STATUS
WAYS OF QUALIFYING
SOLE SOURCE
The only supplier, or the best supplier
INVITED BID
Past performance and reputation
BIDDER’S LIST
Proven capability with recognized expertise
RPF DISTRIBUTION
Credibility and enthusiasm in the market area
ADVERTISEMENT
Accepted capability in the market area
UNSOLICITED PROPOSAL
Submission of project suggestion or funding request
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PEMP ESE2516
FT12
Preparing the Proposal • Some issues to consider while preparing the proposal: – Who Wh will ill be b in i the h design d i team?? – How will the team have to change throughout the course of the project? p j – Is the team capable of producing a finished design of high enough quality? – What are the other influences likely to affect the project? – Will their effect on the project be positive or negative?
© M. S. Ramaiah School of Advanced Studies, Bengaluru 8
PEMP ESE2516
FT12
Preparing the Proposal • Following is a useful guide to structure the proposal: – Summary of complete proposal – Background and qualifications of the organization – Statement of the problem as understood – Technical discussion to show understanding of the problem and how solutions will be found – Statement of work to be carried out – Management of project – Project Plan: phases, timescale, decision points, meetings – Estimated costs – Concluding statement – Supporting appendices © M. S. Ramaiah School of Advanced Studies, Bengaluru 9
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Negotiations • After submitting the proposal, the materials used need to be reviewed and reorganized, reorganized in preparation for the evaluation of the proposal • Project team needs to prepare for oral presentations and negotiations in the event that the proposal reached the final selection stage • Weak points in the proposal need to be addressed, information regarding competitor bids should be analyzed • Strategy should be developed for presenting the features of the proposal in a convincing and persuasive way © M. S. Ramaiah School of Advanced Studies, Bengaluru 10
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FT12
Negotiations • Possible negotiations on price, performance, scope of work andd contractuall details d il • Design manager needs to be clear as to the negotiation boundaries set by the upper management • People involved in the negotiations must understand the technical risks and uncertainties inherent in the proposed project
© M. S. Ramaiah School of Advanced Studies, Bengaluru 11
PEMP ESE2516
FT12
Debriefing • No guarantee that a contract will be awarded, even for an excellent proposal that seems to meet all the customer’s requirement • Features the winning proposal had • May be possible to get a copy of the winning proposal for future reference • Sometimes a company is unable to meet the commitments made in its pproposal p and the sponsor p or customer has to start negotiating g g again. • In I this thi case, submitting b itti a revised i d proposall might i ht be b the th solution. l ti © M. S. Ramaiah School of Advanced Studies, Bengaluru 12
PEMP ESE2516
FT12
Project Proposal Checklist and Work Sheet • Developed to help the design manager cover important i issues with i h regardd to proposals. l • Reviewing the checklist and using the work sheet helps the manager to check the proposal process and prepare a status report on the proposal preparation. • Enables the setting of priorities and assignment of tasks to be carried out in an organized and rapid way. way
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PEMP ESE2516
FT12
Session Summary • • • • • • •
Bidding Process can be improved progressively Customer’s needs must be understood through early entry Quick response is desirable for a winning proposal Q ti Questions on weakk areas mustt be b preparedd in i advance d Preparation and practice of oral presentation Clarifications on negotiating boundaries before meetings Request for and attendance of debriefing
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