* Consulting Proposals *D. Vasudevan

What is a Proposal?

• Consulting Proposal is a written document detailing the consultants ideas, planning and methodology proposed for carrying out a given assignment.

• The consulting proposal enables the client to assess, evaluate, and select the most suitable one for appointment for carrying out the assignment

• Proposals are prepared and submitted in response to a “Request for Proposal”, generally after following a short listing process

Proposals are invited…

To solicit offers from prospective consultants

Determination of Market rates

Transparency in the selection process

To select the best services at lowest rates

Tool for negotiation – desired Quality and price It provides the evaluator a mechanism to make

an informed decision, achieve economy and avail of best of professional services

Nature of Proposals

What it consists of…

• Technical Proposal• Financial Proposal

Content Type / Limits

• Simplified Technical Proposals

• Detailed Technical Proposals

• CV only Proposals• Cost only Proposals

Proposals Typese.g. Asian Development Bank

Typical contents of a Technical Proposal

Introduction / Project Appreciation Terms of Reference Approach and Methodology Activity Schedule / Work Plan Manpower Schedule Curriculum Vitae Similar Experience Project Risks / Mitigation measures Support Facilities

Proposals should be….

• Responsive to client’s needs

• Competitive on technical and financial terms

• Stand out amongst the competition

• Offer the best at competitive rates

• Provide an Unique Value Proposition

Expectations from Technical Proposal

• Proposals have to be made as per the exact requirements of the client (TOR)

• Need for a comprehensive document having technical and financial aspects

• There may be lengthy and specific formats• Level of detailing required may differ as

per the requirement of the client• Well structured Technical Proposal makes

the evaluation easier and faster

Proposal Evaluation

• Different organizations may have their own methods for evaluations

• Multilaterals/ Bilateral and Government now follow a QCBS mode of evaluation

• The scoring pattern / weights may differ, however the logic remains the same

• Corporate Sector evaluates proposal as per their needs. At times they also follow the QCBS system or the LCS

Final Scores are Given using the following formula

(St X 0.8) + (Sf X 0.2) = Total Score

Technical Scores are disclosed first

Only those proposal scoring the minimum 750 points are taken up for opening of the financial proposals

The proposal offering the highest scores is then called for negotiations

Proposal EvaluationQCBS Evaluation – Final Scoring..

Understanding the RFP

• The RFP is prepared to help the evaluator collect critical data to streamline the evaluation process and compare only the qualified bidders

• The RFP outline format is design to help the evaluator quickly compare proposals

• Most proposal writers spend a huge amount of time writing the RFP. They expect you to read it and follow it carefully.

Parts of an RFP

• Letter of invitation and competitors revealed• Criterion for Evaluation of proposals• Overview and Terms of Reference• Specific Information pertinent to the

assignment• Time lines to seek clarifications and for

submission of bids• Conditions of contract

Understanding the RFP

• Critically examine the terms of reference.

• Evaluate capability requirements.

• Understand the scoring system.

• Examine the draft contract.

• Examine special conditions, if any.

• Understand the response formats

Examine the TOR

• Examine the Terms of Reference– Identify key elements

• Sector / sub sector of work• Competencies required

– What is aimed to be achieved from the TOR– Are the targets reasonable?– Is the time frame reasonable?– Are there potential pitfalls that need factoring

• Develop a framework for writing the proposal

Appreciation of the assignment

• Not too verbose, but well written and supported with diagrams to convey your appreciation of the contours of the assignment

• Impress that you KNOW the subject well• collect relevant data and research well• Include subject matter specialist’s inputs• Define contemporary issues • Identify potential problems

About the firm

A brief background of the firm highlighting.. You understand the business You understand the sector You have relevant experience You have capabilities in house You have requisite financial strength

The Brochure / annual reports etc. can be included as an Annex to support this short introduction

Terms of Reference

• Comment on the terms of reference.

• Suggestions on improving the TOR

• Put the TOR in the proposal as a token of

your acceptance

Approach

How you propose to complete the assignment Research method Team structure Project Management Plans to overcome constraints

An innovative and well thought approach wins appreciation

APPROACH SHOWS THE ROUTE MAP

Methodology

If approach shows the route, methodology shows the proposed means of covering that route

It is detailed description of specific tasks to be undertaken to complete the assignment

Defines milestones and when they will be reached

Methodology…

• Should be– Comprehensive– Convey clarity of thought– Convey practicality of activities proposed– Interesting to read– Gel with the proposed approach, team

proposed and timelines– Should follow the work flow

Methodology…

• Think through the Terms of Reference

• Prepare the story board

• Research well

• Justify and qualify each proposed activity

• Methodology should gel with the approach

Methodology…

• Describe specific activities that will take place to achieve the objectives. – What– How– When

• Your proposal should clearly communicate ability to successfully perform the contract.

• You must know the subject thoroughly

Methodology…

What dwells on the objectives to be met as per the terms of reference

How describes how we intend to meet those objectives in terms of specific activities, data to be used and their sources research tools, analytical tools,

Why we intend to use these tools also strengthens our case

When provides an idea of the time line for completion of assignment

Activity / Work Schedule

N° ActivityDays / Weeks / Months

1 2 3 4 5 6 7 8 9 10 11 12 n12345n

• Realistic• Sequenced• Gels with Approach and Methodology

Staffing Schedule

N° Name of Expert /PositionExpert input Total person-month

input

1 2 3 4 5 6 7 8 n Home Field Total1 Name of the Expert2 Name of the Expertn Name of the Expert

Total

Staffing

• In most bids, this carries the maximum weight

• Selection of proposed staff important to complement capabilities

• Internal staff most favored, however augmentation through consortium staff / independent experts

• Staff capabilities conveyed through well prepared CVs

Curriculum Vitae

1. Proposed Position

2. Name of Firm

3. Name of Expert

4. Date of Birth

5. Education

6. Membership of Professional

Associations:

7. Other Training

8. Countries of Work Experience:

9. Languages

10. Employment Record

Curriculum Vitae…

11 Detailed Tasks Assigned12. Work Undertaken that Best Illustrates Capability to

Handle the Tasks Assigned

Name of assignment or project:

Year:

Location:

Client:

Main project features:

Positions held:

Activities performed:

13. Certification:

Curriculum Vitae…

• Spend Time on the Curriculum Vitae• Chose appropriate format• Check for anomalies• Check for tense• Include relevant details

– Relevant Experience– Qualification– Regional / country experience– Language skills

Experience List

• Various Formats– Prose – Bulleted– Project Data Sheet

• Should be updated• Corrected for all specific details• Tenses should be corrected• Well Written

Experience List…

Assignment name: Approx. value of the contract :

Country:Location within country:

Duration of assignment (months):

Name of Client: Total No of person-months of the assignment:

Address: Approx. value of the services provided by your firm under the contract (in current US$):

Start date (month/year):Completion date (month/year):

No. of professional person-months provided

Name of joint venture partner or sub-Consultants, if any:

Name of senior regular full time employees of your firm involved and functions performed

Narrative description of Project:Description of actual services provided in the assignment:

Financial Proposal

• Remuneration

– Manpower cost

• Salary

• Social Costs

• Overheads

• Profits

Financial Proposal

• Remuneration

Name Position Rate/Day/month No of Days/months Amount1 A B A X B2 A B A X B3 A B A X B4 A B A X B5 A B A X B

TOTALSum

Above

Financial Proposal

• Out of Pocket Expenses– Travel

• Outstation• Local Travel

– Boarding & Lodging– Incidental Expenses– Communication– Drafting– Other – Survey, Workshop, Special Software

Financial Proposal

Activity Rate/trip Number of trips AmountTravel A B A X B• Overseas A B A X B• In India A B A X B• Local A B A X B

Boarding Hotel Rate / Day Days Amount• 1 • 2 • n Food Per Day Days Amount• 1 • 2 • n

Per Diem Per Day Days AmountTOTAL Sum Above

Financial Proposal

Activity Rate No of units AmountContour Survey A B A X BSurvey A B A X BWorkshops A B A X BSpecial Packages A B A X BOther Items A B A X B Contingencies A B A X B

TOTAL Sum Above

• Miscellaneous Expenses

Financial Proposal

• Sumarised Financial Proposal

Items AmountRemuneration AOut Of Pocket Expenses BMiscellaneous Expenses CSub Total (D) A+B+C Taxes on D E TOTAL (D+E) Numerics

Words

Financial Proposal

Correct Effort Estimation Full time requirement Part time requirement Number of trips Number of Hotel days Miscellaneous expenses

Correction estimation of costs Salaries and related expenses Costs Currency Rates

Taxes

Proposal - Checklist

Thoroughly reviewed the RFP ? Answers to questions on the RFP incorporated? Obtained and reviewed background documentation for the project ? Evaluated competition ? Developed a strategy to differentiate your company ? Prepared document in the appropriate format ? Included commitment letters from potential employees, suppliers

and funding sources ? Past performance references ? Purchased a sufficient number of packaging materials? Binder rings,

tabs, notebooks, etc. ? Correct number of copies and packaging ?

Finishing Touches

PackagingCover designCover letterSpell checkGather appendix materialsPrepare table of contents, section dividers,

etc.ProductionWhere and by whom will the document be

produced? Delivered?

Common Mistakes

• Proposal not in the right format• Information inadequate / not communicated well• Spelling and grammatical mistakes• Formatting errors• Number of copies not as per requirement• Proposal (all pages) not signed• Addendums required not included• Number of copies not as per requirement

Common Mistakes

• Proposal does not reach in time• Proposal not numbered properly• No list of contents• Miscalculation of costs• Mismatch between numerical and

alphabetical values• Loosely Bound• Not packed as per requirement

Thanks…dvasudevan@outlook.com