Writing Your Request For Proposal Right!
Writing Your Request For Proposal Right!
So, you need to get a project done, but you are not quite sure how to get it started, much less finished. You know this is not a straightforward construction project, so forget the standard formal bid. You think, “Hey, what about this Request For Proposal (RFP) thingy I have been hearing about?” “I know how the project needs to look when it’s finished, but I do not know how to get there. What do I do?”
An RFP is simply a tool allowing you to review responses (solutions), rank them best to worst, then review pricing. Pricing is a component in the re-view process, neither first nor last for consideration, just one of many RFP elements. The RFP is more complex and does take more time to process than the standard bid, but, the end results make it a powerful tool when done correctly.
There are many types of RFPs offering alternative bidding solutions for a multitude of projects. Typically, an RFP is used for services or service-related products. Conversely, construction project contracts use Bid/Build, which rely on low-bid award. Some RFP alternatives are: Construction Manager at Risk, Design/Build, Design/Build, and Design/Build/Operate. An outstanding resource for developing is Michael Asner’s “The Request For Handbook,” 2nd edition. An RFP contains, minimum, the following elements:
- Project description
- Clearly related needs or requirements
- Adequate budget
- Adequate time (including proposal response)
- Ownership support
- Risk awareness
- Either an experienced procurement official or access to one
The project definition is fairly easy to relate to suppliers and contractors, but clearly relating the needs— more commonly known as the scope of work may be difficult. The scope of work is likened to a verbal painting of your mind’s picture of the project. You must be very detailed in “painting” the picture so readers will “see” nearly exactly what you see. Is “daily cleaning of facility” an adequate description, or does “deep vacuum all carpeted areas, sweep and dispose of surface debris, then damp mop hard floor surfaces daily” give a better picture of what you want?
There is no question an RFP takes longer on the front end than a bid/build quote, but taking the time to go through this process does yield positive results in the final product. Using the traditional bid/build approach leaves the agency open to numerous negative issues. Relying instead on RFPs can help eliminate these problems.
The traditional method is strict and leaves both agency and bidder little room for creative responses. Change orders and conflict between contractor and agency are a given with this method. All RFP types allow for varying degrees of creativity by all participants—some more than others.
Like purchasing itself, the RFP is a tool and a resource. Don’t hesitate to use either.
Editor’s Note: Bruce Hartmetz, CPPB, is a buyer for the City of Northglenn, CO, and member of the GPRO Editorial Advisory Board.