RFP for project management
Malansari23
RFP.pptRFP (Request for Proposal)
- If customer decides to proceed with idea, next step is to contact an SDO (developer or contractor) to
- investigate idea further, or
- do the work and deliver the solution/end-item
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RFP (Request for Proposal)
- Contact between customer and SDO initiated with the RFP
- Also called RFB, RFQ, or RFT (bid, quote, or tender)
Customer
SDO
RFP
Top mgt
Proposal
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RFP
- Purposes
- Describe customer’s needs, problems, or idea
- Solicit suggestions/solutions from SDO
- Inform SDO how to respond to RFP (where to send proposal, to whom, and what to include in proposal)
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RFP
- Can be informal (e.g., email, phone call), or formal (written document)
- Formal is better
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RFP
- Contents
Statement of Work (SOW)
Proposal requirements
Contractual provisions
Additional Information or Data
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RFP Contents
1. Statement of Work (SOW)
- Description/background of problem, need, or general type solutions to be investigated
- Scope of work to be performed
- work/deliverables to be included
- work/deliverables to be excluded
- work restrictions
- criteria of acceptance for deliverables, results or end-items
- Requirements for results or end-item; e.g.,
- specifications and standards
- how results and work will be measured
- expected relationship between user and contractor
- expected completion date
- constraints on cost of work to be performed
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RFP Contents
2. Proposal Requirements
- Conditions placed on proposal
- proposal contents and format
- data requirements
- sample forms to include
- submission location and deadline
- All proposals should “look” same
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RFP Contents
3. Contractual Provisions
- Type of contract to be awarded and contractual provisions
- Fixed-price
- Cost-plus
- Incentives
- Special considerations
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RFP Contents
4. Additional Information or Data
- Name of contact person for requesting additional data—as necessary to enable SDO develop solution and prepare proposal or price quote
- Technical information to support the SOW
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RFP
- Send RFP’s to multiple SDOs in hope of receiving multiple proposals
SDO’s
RFPs
Customer
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RFP
- Send RFP’s to multiple SDOs in hope of receiving multiple proposals
Proposals
SDO’s
Customer
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Why is this process important?
Clarification of user requirements
Selection of best contractor
Sets tone for project: systematic,
organized, well-defined
Q: Where to send RFPs?
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Where to send RFP?
- Customer sends RFP’s to
- SDO’s on bidder’s list
- SDO’s recommended by other customers
- SDO’s requesting an RFP (as advertised in Commerce Business Daily or trade newsletters)
- Qualified SDO’s based upon RFI’s (requests for information)
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Example RFP
Requirements for “Machine”:
- Will be tested in front of Army officers
- Must be able to carry for one hour a passenger besides pilot, the two of them weighing not less than 350 lbs.
- Must show average speed of 40 miles per hour in ten-mile test
- Must carry enough fuel for 125 miles
- Must have “demountability” (built in such a way it can be taken apart and later reassembled without too much difficulty, so it can be transported on an army truck)
- Must submit with bid 10 percent of price of machine as sign of good faith!
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Example RFP (cont'd)
- What is this a request for?
- What is the “Machine”?
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Example RFP (cont'd)
Answer:
- This is a Request for Bid from U.S. Army for “Flying Machine,” Nov. 1907
- Responses received: Forty-one!
- Only three included required 10 percent deposit; two of these drop out
- Only one bidder is actually capable of meeting the requirements…
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