This is the last of six posts on using a defined process to evaluate RFP opportunities. The idea is to use a shareable framework with consistent criteria to help business leaders reach consensus on bid/no-bid decisions.
Consistency will also enable you to adjust your criteria and/or scoring, based on experience and to optimize your win rate over time.
Here are links to the earlier posts on this topic:
Download the tool
Download the Bid/No-bid Decision Tool in Excel format here. The tool is free for your internal use. You may adapt it in any way that suits your business.
How to use the tool
1. Customize the questions
Discuss the questions with your team. Change, add or eliminate questions until your team agrees on a set that will work for the prospects and RFPs you typically see.
When changing or adding questions, be sure to create statements that constitute “go” votes when answered “agree” (+1, +3 or +5). That way, a higher result for each answer always means a stronger endorsement for bidding.
2. Reach consensus on new opportunities
When a bid opportunity arises, complete the sheet together or individually. Always discuss questions that elicit widely varying scores. After using the framework a few times, you may decide to clarify questions that cause confusion.
Agree on the minimum score that makes an opportunity attractive. Decide how to treat potential deal blockers.
Record the scores for each opportunity for future reference.
3. Compare your scores to bid and project success.
Once you’ve had experience with the tool, us it to analyse your win rate and profit history on projects on which you’ve bid. Suggested questions for that analysis:
- How well do scores correlate with success at winning bids?
- How well do scores correlate with profits on won projects?
- Is there an argument for raising or lowering the threshold score for bidding?
Document your decisions
Implementing a decision process will reduce the time it takes to decide, freeing up precious time either to prepare the proposal to move onto other priorities. Documenting your decisions will enable your team to analyse results and to fine-tune the criteria and how you apply them—resulting in more efficient bidding.
Need help developing better bid processes?