"Why Qualification needs the same attention as your bid"

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1 "Why Qualification needs the same attention as your bid" Presenter: Tony Birch Shipley Ltd De La Rue Monday 14 th September 2015

2 Speaker Tony Birch Shipley Ltd Why Qualification needs the same attention as your bid

3 Opportunity Qualifica0on Monday, September 14, 2015

4 Bid Decisions

5 Bid Decisions - Diverse Environments Large businesses Medium businesses Small businesses Inefficient Structured Complex Quickly Highest Level Simple Informal Unstructured Formal Efficient Lowest Level Slowly

6 Bid Decisions Recent Trends More in depth decisions Teams plan their win strategies as they cross decision gates Simpler templates Teams make decisions using essential data only Accelerated decision timelines Faster turnarounds have forced proposal teams to make decisions more quickly and efficiently Increased focus on price Today s RFPs increasingly focus on price as a key discriminator Lower-level decision making Flowing decision making downward as much as possible leads to faster, better decisions Rise of decision tracking Organisations are learning from their ratios of bid to no-bid

7 Effective Traditional Sales Pipeline Leads Bid Pursuit Qualify / Pursue Bid / No Bid Bid Bid Validation Offer Selected Won

8 Effective Sales Pipeline Leads Bid Pursuit Qualify / Pursue Bid / No Bid Bid Bid Validation Offer Selected Good Effort Wasted Effort Won

9 Bid Decisions Pitfalls & Misconceptions Quantity MOST go after all of the leads they discover MOST are limited in the number they bid by their resources The BEST Qualify out prospects and focus their resources The BEST plan the use of their bid resources The BEST win >65% of bids MOST win <25% of bids Leads Qualified Bid Won 9

10 Bid Decisions Pitfalls & Misconceptions Concept True False All opportunity information is known at the beginning of the cycle Strategy should remain static throughout decisions Gate decisions are critical to successful business BD and revenue generation You can t lose a high probability of win deal even if you start late Opportunities are qualified by analysing the customer, our capabilities and the competition Price to win can come late in the gate process

11 Bid Decisions Pitfalls & Misconceptions Concept True False Gate decisions are critical to successful business BD and revenue generation Decisions to continue/abandon opportunities are made at the gate-decision reviews Resourcing is unimportant in probability of win calculations The team that makes gate decisions has direct responsibility for BD success You can t win a low probability of win deal if you start early Gate decisions have a regular schedule that people understand and adhere to

The Impact of Win Rate Current Win Rate Up Proposals per Annum 52 52 Average Value of Proposal 100,000 100,000 Average Cost of Proposal 4,000 4,000 Average Profit per Contract 15,000

12 The Impact of Win Rate Current Win Rate Up Proposals per Annum Average Value of Proposal 100, ,000 Average Cost of Proposal 4,000 4,000 Average Profit per Contract 15,000 15,000 Win Rate 30% 40% Contracts Won per Year Average Cost of New Contract 13,333 10,000 Profit/Loss per Contract 1,667 5,000 Profit/Loss per Year 26, ,000 Change 78,000 12

13 Thank You for attending this event Please contact a member of the board if you would like more information on how APMP membership will help your career If you are a guest today and would like to receive the APMP UK Newsletter regarding upcoming monthly events, please enter your contact details in the Newsletter Form. APMP UK App

Winning as the Underdog. David Bol CPP APMP Fellow Sr. Vice President Business Winning Services

Winning as the Underdog. David Bol CPP APMP Fellow Sr. Vice President Business Winning Services Winning as the Underdog David Bol CPP APMP Fellow Sr. Vice President Business Winning Services 1 From Start to Finish Market Segmentation Long Term Positioning Opportunity Assessment Capture Planning Proposal