Factors to consider when bidding for a contract

What other factors should Marvin and his team consider?

Marvin along with his team can examine the following factors before proceeding to bid or not bid.

1. If Marvin's company would voluntarily decide not to bid, then it has to think that any other company can bid for the project and potentially benefit from bidding. The primary reason is Marvin's company is not the only company which has to publish its detail cost analysis of the project to the client, but also all companies have to present this cost analysis.

2. Marvin's company can research whether there is a way to get more profit margin by following the client cost model because it is a long-term contract for ten or more years.

3. Marvin has to think whether company loses its brand value if it doesn't participate in the bid because, in the consulting industry, the companies must be active in getting projects else the reputation diminishes among clients.

4. Marvin and his team must consider whether their company is suitable for contracts of the type cost reimbursable because in this contract type the client pays for each work package, so the profit is less compared to fixed price projects.

Should they bid on the job?

There are a lot of crucial factors that help the company if they can get this contract. The most important to consider is this is the most significant contract compared to all other agreements that Marvin' company ever received in its history. For 10-year or longer, the company will generate continuous revenue that helps the growth of the company. As it is a contract with a major client, Marvin’s company’s reputation will increase in consulting industry, and this, in turn, attracts more clients. The performance of the company will increase by improving their evaluation of contracts using a bottom-up approach. Marvin’s company can also try to address its concern to release complete cost breakdown information by using its association with the client, and they can explain in detail by showing the examples of previous project budgets associated with them. Finally, it is helpful for Marvin's company by considering all these factors, so they have to bid for the job.

Marvin's company should also consider a lot of interesting facts regarding the new contract opportunity. The customer's ability to treat Marvin's business as a strategic partner rather than an offer. Establishing a workable standard to win a larger contract and, ultimately, better overall earnings and profits due to a larger business base. On the other hand, Marvin's team can also ask relevant questions about the prospects of his company. Will the company survive the impact of publishing sensitive information later? Can the company manage without the project? Will the project be a development path for the company in the long term? The answers to these questions could also be crucial for Marvin to make the right decision. If issues become a concern, it is desirable that the company explore this new horizon and learn ways to manage the impacts of sharing key information.

There is a legitimate purpose behind the additional necessities on the DP. Basic information has been requested in the RFP cuts on all organizations offering so, they all offer risks and rewards. What's more, since the offer will be considered non-receptive without them, it's excessively prescribed that Marvin's organization offers for the task.

Before choosing to bid deliberately recognize all the potential hazards that might emerge on the job. Monitors tender records, plans and determinations for the task and relies on verifiable information from comparable companies whose hazards you have come to recognize. Basic hazards include fragmented development files, obscure site conditions, fast schedules, and welfare issues.

References

[1] Bob, L. (2015). 7 Question to Answer When Making Bid/ No Bid Decisions. Washington Technology.

[2] Cagno, E., Caron, F., and Perego, A. (2001). Multi-criteria evaluation of the likelihood of winning in the focused bidding process. Global Journal of Project Management, 19(6), 313-324.

[3] Jones, K. (2017). Key Factors to Consider in Bid/No-Bid Decision Making. Construct Connect. Retrieved from https://www.constructconnect.com/blog/operating-insights/key-factors-consider-bidno-bid-decision-making/

[4] Kerzner, H. (2013). Project management: - a systems approach to planning, scheduling, and controlling. John Wiley & Sons.

NOTE: All initial postings must have at least one citation or reference and it must be in APA format. please make sure they're in APA format. Need to be atleast 150 word.

Applied Sciences

Architecture and Design

Biology

Business & Finance

Chemistry

Computer Science

Geography

Geology

Education

Engineering

English

Environmental science

Spanish

Government

History

Human Resource Management

Information Systems

Law

Literature

Mathematics

Nursing

Physics

Political Science

Psychology

Reading

Science

Social Science

Home

Blog

Archive

Contact

google+twitterfacebook

Copyright © 2019 HomeworkMarket.com