1T

G3

01

0

Corporate Account Proposal Services

An Overview of Bid Management

Procedures and Resources

Ton van der Gaag

& Janet Holmes

2T

G3

01

0

Telecom Business Cycle: Increasing Complexity

product house orinternational

partners

business consultants

bid management

telecomsolutions

bid management

offermachine

special projectsimplementation

product housesolutions

verkoop-binnen

telecom solutions

implementation

3

2

special projectsoperations presales consultant

in account development

account manager

developmentregional

operations

Decision

Implement-ation

Changes Over Time

Evaluation of OptionsResolution

of Concerns

Recogni-tion of Needs

localset up

1

3T

G3

01

0

Managing Complex Business Opportunities

BRB Approval

RFPArrival

Account Planning

CustomerRelationshipMaintenance

Service

Implementation

Contractual

Commitment

Negotiations

BidSubmission Offer

OpportunityDevelopment

MBO

Proposal

System

Bid Management

Activities

4T

G3

01

0

What Do Complex Proposals Require?

• Quality Opportunity Development

• Comprehensive Business Case, e.g., pricing, risks, etc.

• Sophisticated Solution Design

• Professional Proposal Documentation

• Focused, specialist-oriented team for the critical Bid

Management phase

• Necessary level of commitment from Management and

Product Houses

5T

G3

01

0

Your Management AND the Product Houses are Committed through

the Bid Review Process

• The Bid Review Board qualification process results in commitment to your proposal at all levels

• Input for Bid Review Board focuses on:

- Complexity and status of bid

- Benefits for PTT Telecom

- Level of authority needed for approval

- Risks

6T

G3

01

0

Bid Management SystemTop Level Phases

• The Bid Management model identifies five phases:

- Preparation

- Strategy

- Solution Development

- Submission and Negotiation

- Bid Process Evaluation

• The proposal submitted to the customer is the end product of the Strategy and Solution Development phases

7T

G3

01

0

CustomerDevelopment

"Blue Sky"RFI or RFP

BranchBusiness

Plan

Regular Review:

- Sales Funnel- Market Share- Priorities- Sales Campaigns- Branch Strategies- Client Needs- Development of newproducts/services

Preparation Phase

ProductHouseReview

AccountPlan

ProductHouse in

Development

Validation/Risk Check Lists:

- Business for PTT

- Meets criteria

- Value to Customer

- Account Strategy

- Resource Usage- Identification of

appropriate Product House or Partner

Bid Manager appointed here

MajorBusiness

Opportunity

(MBO)

8T

G3

01

0

MBO StrategyReview &Approval

Bid Planning& Resources

Team member(s)added here asneeded

Check Lists:

- TOC developed

- Draft Management Summary

- Draft Cover Letter

- Bid strategy- High level solution- High level bus. case- Bid resources & cost- Product house agreement- Legal Review

- Regulatory Review

- Final CAG Mgt approval

- Techniques: SWOT/Scotsman- Facilitating

- Brainstorming sessions- Negotiation with third parties

Third partyinvolvement

Check Lists:

- Staffing- Resources- Bid plan- Commitments

- Product house

dependencies/relationships

- Legal requirements- Commercial review

Bid Review Board

Biddocumentationbegins

Outline RFPDevelopment

Check Lists:

- Product Houses- Project Work Allocation- Risk Allocation Agreed- Commercial Terms Agreed

Core TeamMembers:

CAM

Bid Manager

Product House Mgr

Project Mgr

Legal Rep

Bid Production Mgr

Document Mgr

Strategy Phase

9T

G3

01

0

Solution Development Phase

Product HouseSpecification &Development

InternalBid TeamReview

Check Lists:

Product house:

- RFPs or proposed conditions

of supply for subcontractors

- (or) Detailed Statement of Work

for Product House Partners

- Extended product specifications

- Integration requirements

- Checklists against RFI/RFP

requirements

- Product house commitments

- Legal requirements

Solution integration

Check Lists:

- Product house RFP validated

proposals and/or commitment

to Detailed Work Definition

- Actual support agreements

- Technical/organizational

risk analysis

- Costing of interfaces by PTT

- Detailed deliverables &

timetable

- Legal check- Regulator check

Check Lists:

- Margin analysis

- Business case

- Competitive position

- Legal requirements

Whole RFPFinal Draft

CommercialConsiderations

Product houses

involved here

DesignSolution

(withalternatives)

- Architecture

- Design

- Major products

(alternatives)

- Timetables &

availabilities

- Competitive analysis

of solution

- Legal requirements

- Commercial review

- Gap analysis

Check Lists:

Solution Iteration

Final RFPReceived

QA, Risk &Legal Check

- ManagementCover Letter

- Management

Summary

- Solution development

- Project management

- Team management

- Writing

- Pre-Kickoff - Kickoff

10

TG

30

10

Red TeamReview

ManagementReview

Check Lists:

- Authorization ofcommercial strategy

- Final pricing & offers

Check Lists:

RFP Finished& Submitted

ContractPresentations

- Technical solution

- Project timetable- Deliverables- Product houses

- Interfaces

Check Lists:

- Editorial signoff- QA signoff- Product House

Commitments- Final managementapprovals

Negotiations Project Startup Lists

NoContract

Submission & Negotiation Phase

- Product house commitments- Timetable/Resources

- Project Management

- Conditions of Contract

- Final Detailed Work

- Definitions & SLAs

Participants:- CAM- CAG Management- Bid Manager- Project Manager- Legal Representative

11

TG

30

10

Won

Order

Analysis

Lost

Order

Analysis

Win-Back

Strategy

Bid Process Evaluation Phase

Analysis Team

- Business Analyst Mgr- Business Analyst- Bid Manager- CAM or AM

Win-Back Team may include:

- Bid Manager- CAM or AM- Project Manager

Questionnaire

- Bid Team effectiveness

12

TG

30

10

Bid Review Board Authority Level Table

Standard

Standard

Products using

OOM

Non-Standard

PTT Products

using PROF

Special

Customer-

defined, region

made offer

Custom

Modified

products or

contract

Complex

Custom with

multiple or

unproved Products

Joint Venture

Composite

company

established

VOS �

Account Manager �

Corporate

Account Manager �

Branch Manager �

CAG Management �

Commercial

Direction and/or

Board of Directors� �

Size and risk also determine the level of required authorization.

Requires

Product

House

Commit-

ment

13

TG

30

10

Four Main Proposal Components

Document Manager

Map Design

Editing/Translation/Consistency

Document Formatting

Bid Production Manager

Scheduling

Resource Allocation

Milestones

Bid Manager

Bid Strategy

Technical Solution

Checklists

Content

Presentation

Corporate Account Manager

Customer Strategy

Customer Relationship

Pricing

Commercial

Schedule

RESPONSE

Four Lead Roles

14

TG

30

10

Lead and Team Composition

Preparation Strategy

Solution

Development

Submission &

Negotiation

Bid Process

Evaluation

CAM BM BM CAM CAM/BM

CAM

CAT Team

BPM, DM,

Consultant(s)

CAM

Bid Team (BPM,

DM, Consultants),

Branch Mgr, etc.

Product House(s)

Bid Team

Product House(s)

Consultant(s)

BM

Project Mgr

Product House(s)

Bid Team

CAT Team

Lead

Participants

15

TG

30

10

Proposal Services Activity Matrix

BAs & BAM

DMs

BMs

BPM

Consultants

External

Consultants

Preparation StrategySolution

Development

Submission

& Negotiation

Post -

Submission

Opportunity

tracking & research

Translate, edit, build

response & presentation

Assist with

BRB preparation

Competitive and

margin analysis

Provide research for

customer presentation

Manage, design &

build documents

Review &

breakup RFP

RFPRFPArrivalArrival

BidBidSubmittedSubmitted

Schedule delivery of checklists &

document sections; set up any outsourcing

Plan & budget Bid

resources & facilitiesDeliver final response

Supply document content, e.g, write or

assign questions to content experts

Provide final content

& presentation support

Provide Account

Team support

As needed

As needed As needed As needed

As needed As needed As needed As needed

Process analysis

information

As needed

ContractContract

Presentation/high-level

correspondence support

16

TG

30

10

Corporate Accounts Proposal Services Personnel

• Bid Managers from Business Consultancy (BMs)

• 1 Business Analyst Manager (BAM)

• 4 Business Analysts (BAs) located at each Branch, reporting to BAM

• 1 Bid Production Manager (BPM)

• 4 Document Managers located at each Branch, reporting to BPM

• 1 Analyst Programmer during development (6 - 8 months) of

Business Opportunity Information Database (BOID)

17

TG

30

10

Oct Nov Dec Jan Feb

BPM

BOID

Bid Team Facilities

per branch

per branch

design & program

Getting it on the Road

BMs

BAs & BAM

DMs

MBO Qualification & BRB Support

Bid Library

18

TG

30

10

Responsibilities: Business Analyst Manager

• Manage Business Analysts

• Design and maintain BOID

• Analyze data for each MBO, from Bid Management to Project

Implementation

• Budget for Business Analysis

• Allocate resources

• Analyze data on globalization, telecom, and the competition

• Provide pricing analysis

19

TG

30

10

Responsibilities: Business Analyst

• Maintain BOID & the host branch Account Planning database with

data to manage the Proposal System

• Manage status and summary data for each MBO, from the Proposal

Phase to Project Implementation

• Assist in analysis and preparation for Bid Review Board or other

internal or external presentations

• Provide CAMs with information on globalization, business research,

and the competition

• Process and distribute data from Win/Loss and project cost analysis

NOTE: This position augments the existing Branch Consultant position.

20

TG

30

10

Responsibilities: Bid Production Manager

• Review RFIs/RFPs for scheduling

• Create and track schedule for each Bid project, including checklists

• Budget for each Bid

• Maintain equipment

• Outsource all Bid production activities not performed in-house

• Update, use and disseminate Bid Library information

• Allocate documentation resources when necessary

21

TG

30

10

Responsibilities: Document Manager

• Review RFIs/RFPs for customer requirements and scheduling

• Assemble Bid documents from draft to final submission

• Edit Bid document components written by Bid team members;

write sections when possible

• Track and maintain Bid Project documentation

• Update, use and disseminate Bid Library information

• Create or modify sensitive or highly visible external

correspondence, as well as internal & external presentations

• Support other documentation efforts when necessary