Wrking With Federal Prpsals Intrductin In this fact sheet we answer the fur mst cmmn questins new clients ask: What tasks d yu perfrm and what d yu need frm us? Hw d we use the Virtual War Rms? Hw much is this ging t cst us? Hw d we get started? Are Yur Needs Cnsistent With Our Skills? At Federal Prpsals, we see ur missin as WINNING prcurements fr ur clients and ur better than 75% win rate attests t ur skill in ding s. We are nt prpsal cnsultants r prpsal writers in the cnventinal sense. We accept respnsibility fr taking yur cmpany s ffering (prduct, service r slutin) and tailring it r imprving n it t present the gvernment with the mst attractive slutin amng yur cmpany s cmpetitrs. This frequently means we are invlved at all levels f the prpsal prcess. If we can t make yur ffering a tp cmpetitr fr the slicitatin, we ll tell yu s. If yu are lking nly fr assistance in writing a prpsal, stp here. We are ver-qualified and ver-priced fr yur needs. We recmmend that yu search the web fr prpsal writers r prpsal cnsultants. Hwever, we cautin yu that writers generally wrk with what yu give them s yu shuld have cnfidence that yur ffering has the elements fr winning (mst cmpanies verestimate the attractiveness f their ffering). When winning and ROI are imprtant, yu shuld think beynd writing assistance. Our clients return $258 fr every $1 invested in ur services. Tasks We Nrmally Perfrm Overview Federal Prpsals is a full-service prvider. We wrk with yur cmpany n all facets f the prpsal, frm pre-rfp planning t printing f full-clr prpsals ready fr delivery t the gvernment. Generally, we are a fully-integrated element f yur prpsal team and smetimes we are a great percentage f yur team. The wrk share between yur cmpany s internal prpsal team members and Federal Prpsals is agreed upn in advance. Page 1
Prpsal Research, Planning and Offer Psitining We can imprve yur cmpany s prbability f winning when we begin ur relatinship in sufficient time t cnduct research (very few cmpanies adequately research the gvernment s needs and preferred slutins), assist in identifying ptential weaknesses f yur ffering, and planning the prpsal cntent. Few bidders think abut psitining their ffer t: 1) match the gvernment s envisined slutin, and 2) be mre attractive than the cmpetitr. Remember, the gvernment selects the best slutin. Our favrite selectin example: Attila the Hun might have clearly stated the need fr an imprved swrd, but the cmpetitr ffering an autmatic rifle wuld prbably have wn the prcurement. Technical and Management Slutin Develpment Nearly all f ur clients cme t us with a stry. As they see it, they have a better prduct r service and the gvernment wuld be flish nt t see it. Far t ften, they can t see the gvernment s preferred slutin because f the frest f hype they have created arund their slutin. Almst invariably, we can imprve upn the technical and management slutins t bring them in line with the gvernment s preferred slutin (remember, yur cmpany s best prcurement intelligence is likely t reflect nly 50% f the factrs that will ultimately determine the winner). This is Federal Prpsals strng suite. We knw what wins prcurements, and we psitin yur slutin t be a tp cntender. Prpsal Management We see prpsal management as tw functins: 1) administrative management and 2) cntent management. Our clients are mst successful when they select us t prvide cntent management all the elements f the delivered technical and management prpsal. We are equipped t effectively manage yur prpsal team s effrts while yu maintain administrative management f yur team. We can als wrk effectively under yur cmpany s cntent manager, hwever, in ur experience, few cmpanies have this skill n staff. Many crprate prpsal teams are centered n prcess-riented wrk and skills and innvative, winning cntent is missing. We ften fill that need. Hw We Wrk With Yu n Prpsal Tasks Our nrmal apprach t a psted slicitatin is t: 1) analyze the RFP and create a requirements matrix, 2) create a detailed wrk breakdwn structure (WBS) fr the prpsal (and a separate WBS fr the slutin) using WBS sftware tls, and 3) develp a detailed utline dwn t the paragraph (including figures and tables) level. We then wrk with yu t assign initial writing respnsibility fr each paragraph. In sme cases, we will create the first draft frm yur inputs, in ther cases yur technical and management prpsal cntributrs will create the first draft, and in still ther cases, we will create the draft frm interviews with yur technical and management team. We will cllect all infrmatin and writer inputs using the team cllabratin and dcument cntrl tls in ur Virtual War Rm. Generally, we assemble the first draft fr a Red Team review by yur technical and management team. Frm this initial cmpilatin, we maintain cnfiguratin cntrl ver the prpsal until submissin. Based n review cmments, we make imprvements using apprpriate inputs frm yur technical and management team and prepare a secnd draft fr review by them. Nrmally Page 2
we d nt ask riginal drafters t rewrite their sectins, preferring instead t btaining respnses t specific infrmatin needs. Our clients always have final apprval f the prpsal prducts. Our prpsal prcess is summarized in the Figure belw. Analyze Gvernment Requirements Frmulate Gvernment Preferred Slutin Review Client Slutin Identify Weaknesses Analyze Cmpetitr Slutins Identify Weaknesses Frmulate Imprved Slutin Psitin Client Slutin Pre-RFP Analyze Mktg Intell Shrtfalls Frmulate Prpsal Strategies Frmulate Win Themes Frmulate Win Messages Develp Prpsal Plan Reslve Shrtfalls Analyze RFP Develp Detailed WBS Develp Detailed Outline Assign Sectins t 1st Authrs Prepare 1st Prpsal Frmulate Questins t Gvernment Review/Refine Pre-RFP Wrk Update Prpsal Plan Develp Cmpliance Matrix Prepare Writing Guidelines Assign Wrk t 2nd Authrs Assign Wrk t Final Authrs Red Team Review f 1st Prepare 2nd Review 2nd Establish Prpsal Schedule Client Final Review & Apprval Prepare Final Publishing Review Publish Page 3
What We Deliver We deliver the prpsal ready fr submissin as prescribed in the RFP, and we deliver bth hard cpies and electrnic versins f all surce dcuments t yur cmpany. Operatinal Flexibility We have described abve ur nrmal peratins. We are very flexible in adapting ur wrk t yur cmpany s prpsal needs and style f perating. We are accustmed t being a fully integrated member f yur crprate team. Hwever, the custmer is always right des nt always apply. We are wrking with yu t WIN and we will let yu knw very clearly if we believe yur decisins will reduce yur chance f winning. After all, yu hire us fr ur expertise, nt fr ur cnfrmance. Using Our Virtual War Rms Federal Prpsals uses private, secure web-based applicatins t prvide dedicated Prpsal Virtual War Rms fr each client and each slicitatin. All prpsal team members have individual rles and passwrds assigned. These Virtual War Rms prvide all f the tls required t manage prpsal activities and prpsal cntent. We believe the practice f assembling large prpsal teams in ne lcatin is bslete, ineffective and inefficient and seldm brings tgether the best technical talent. T see a sample Virtual War Rm g t www.intelligentbiz.net. Estimating Prpsal Csts Prpsal Csts Are an Investment We begin this sectin with smething yu may nt have cnsidered the csts f a lsing prpsal. Well ver 50% f prpsals received by the federal gvernment dn t make the cmpetitive range. They are dead-n-arrival. The bid csts fr thse bids were thrwn away zer return n investment. Knwing this, why d cmpanies in the aggregate, cntinue t thrw away 50% f their bid investment with n pprtunity fr return? The answer is that they dn t knw. Far t many cmpanies dn t understand the gvernment prcurement prcess; dn t knw hw t win gvernment prcurements; and dn t have a realistic view f the quality f their prpsals yet believe they d. Prpsal csts are an investment and yu shuld be striving t maximize return n that investment. Yet, many cmpanies spend this investment t supprt unassigned staff r very inefficient prpsal prjects. Fr many cmpanies, prpsals are their mst inefficient prjects. Typical Prpsal Csts Despite the lk-alike appearance f gvern- Cst Elements In Per Page Csts 8% 4% 4% 4% 4% 4% 8% 4% 8% 4% 28% 20% RFP Analysis Planning Research Slutin design Message design First draft Graphics design First draft review Secnd draft Secnd draft review Final review Publish Page 4
ment slicitatins, every prcurement is unique in its cmbinatin f requirements, evaluatin factrs and selectin philsphy. In ur experience, thse wh believe in template-riented prpsal prcesses have very lw win rates. That said, we have cmpiled and evaluated prpsal csts fr a wide range f prpsals acrss the industry sme with prfessinal prpsal assistance and sme slely with internal resurces. Our analysis indicates that the best preliminary estimatr f prpsal csts (prir t develpment f detailed pricing) is page cunt and page cmplexity. In the fllwing Figure we shw the industry average and Federal Prpsals average csts fr three page cmplexities. Industry Average Prpsals Csts Per Page $2,000 2000 $1,800 $1,600 $1,400 $1,200 $1,000 $800 Industry Lw Industry High FedPrp Managed $600 540 560 405 $405 $400 $200 190 128 260 275 $0 Technical Writer Subject Matter Expert Slutin Architect Page Authr We have defined page cmplexity as the technical skill level (and assciated labr csts) required f the authr. The three cmplexities are: Cmplexity Technical writer Subject matter expert Strategist, slutin architect Example Pages Crprate descriptins, prject experience, staff resumes Technical descriptins, analysis, management plan Innvative slutin design, system architect, executive summary The per page csts are the ttal csts frm creatin thrugh submissin and include first and secnd drafts, tw r mre reviews, graphics and prductin. Page 5
Outsurcing Vs. Internal Csts If yu are cntemplating using the services f Federal Prpsals, yu will generally have tw categries f csts: 1) internal labr and supprt csts, and 2) Federal Prpsals csts. Fr gvernment cntractrs with cst accunting disclsures that include bid and prpsal (B&P) csts, Federal Prpsals csts are nrmally substantially lwer fr any given prpsal task than internal csts primarily because, 1) we are prpsal prfessinals wh cmplete tasks in far fewer hurs than yur cmpany s internal staff, 2) ur prcess minimizes the use f internal staff and, 3) we dn t create a reductin in direct (billable) labr which makes yu pay twice fr this labr pl. Our clients wh use ur prpsal management services reprt 30-40% lwer verall B&P csts as cmpared t internally managed prpsals. Federal Prpsal Csts We have develped a web-based prpsal cst estimatr which yu may use t estimate Federal Prpsals csts. G t /csts.htm. This is nly an estimatr and actual csts will be determined by ur fee schedule and cntract. Hw We Establish a Business Relatinship Federal Prpsals prvides services thrugh a simplified cntract. A mdel cntract may be dwnladed frm /FPMdelcntract.pdf. Our pricing is based upn staff hurly labr rates r a cmpsite team rate, whichever is selected by the client. Average rates are shwn in the Table belw. Actual rates will vary based upn assigned staff. Authr Average Hurly Rate Technical writer $85 Subject matter expert $125 Slutin architect $200 Our cmpsite team rate is $125 and includes graphics and prductin at n hurly cst. Fr established clients and well-definable effrts, we ffer a fixed price schedule. Fr new clients, we generally require a start wrk fee equal t 33% f the estimated price, which is credited against the final payment. This fee is nt required fr established clients r new clients with verifiable financial statements. Page 6