Spend Your B&P Dollars Developing Price, NOT Just Proposals (01-07-13)

Over the past few years it has become increasingly apparent that spending heavily on proposal development and lightly on developing a winning price is no formula for success. Above all, and regardless of what the proposal pundits allege, the contemporary acquisition climate requires pursuit funds to be allocated among proposal and pricing activities based on the customer, the type of acquisition (i.e., task order or stand-alone acquisition), and the type of contract. Here is a case in point.

Several sources assert that one department is using a novel, if not new, approach for evaluating non-Best Value, LPTA (lowest priced, technically acceptable) proposals. It goes like this.

First they look at the submitted bid prices. The lowest priced bid's non-cost volumes are then evaluated, and if these volumes are found to be acceptable, then that bid gets the award. Period.

If the lowest priced bid is found to be unacceptable, then the next higher priced bid is evaluated and, if it is acceptable, it gets the award. And so on.

BOTTOMLINE: In these circumstances THIS DEPARTMENT DOESN'T EVEN REVIEW THE HIGHER PRICED BIDS' NON-COST PROPOSALS!!!

Other departments and agencies do things differently since it reviews all such bids for acceptability and then awards to the lowest-priced, acceptable bidder. But then again, its procurements are becoming shorter and less valuable. Other agencies have their own variants. There is, in the prevailing budgetary climate, one thing about which we can rest assured -- the trend for the forseeable future is toward lowest priced, otherwise acceptable awards.

CAI/SISCo has the professional development training seminars to make this happen. We offer them as privately-conducted sessions at your facility as well as regularly scheduled public seminars at convenient locations.

Contact CAI/SISCo today to help juice your firm's 2013 new business capture prospects.

Good luck and happy hunting!