~ by Larissa & Izane
Mythbuster #1 Review decisions continually
The bid/no-bid decision is the first step in a bid process.
Is it fact or fiction?
Although the bid/no-bid takes place at the earliest in the bid process, it should be by no means the only occurrence.
The bid/no-bid process should not just happen at the beginning, but throughout the proposal development lifecycle. Having small bid/no-bid evaluations through the process provides additional insight as and when new information becomes available.
Mythbuster #2 Decisions not cast in concrete
You should regularly revisit and update the bid/no-bid questions and process.
Is it fact or fiction?
Simply setting up a form or system and stopping there, is asking for trouble.
Most companies do not revisit their questions and/or process. With only 10% re-evaluating the criteria on a regular basis.
Change is inevitable. With most markets, ways in which customers do business and economic changes, should we be reviewing and updating our questions and process? The answer is yes. Set regular reviews and validate the relevance of your bid/no-bid questions and process.
Mythbuster #3 Focus on winnable bids
Bid/no-bid decisions are made for every opportunity.
Is it fact or fiction?
Not all organisations focus on a bid/no-bid process, choosing to rather bid for everything they can.
Bid decisions are aimed at eliminating opportunities whereby you can more accurately separate the opportunities from where you have a low probability of winning and vice versa.
Therefore, strengthen your organisation’s position by following a bid/no-bid process for every opportunity.
Mythbuster #4 Work smarter, not harder
Bidding less can help you win more.
Is it fact or fiction?
Ask yourself; are you bidding less to improve your probability of winning opportunities?
If you are, you are working smarter. Having a strong, dynamic qualification process, could in fact potentially lead to a reduction of responses, increased win rate and overall revenue.
Mythbuster #5 The cost of bidding
There is no actual internal cost to bidding.
Is it fact or fiction?
Companies often view pursuing opportunities as a sunken cost.
You can quantify pursuit costs. Investigate costs such as personnel, time spent per opportunity, production costs and service costs.
If you pass on low probability opportunities, you can dramatically reduce costs by calculating the per-opportunity cost per single pursuit.
Mythbuster #6 The truth about bid decisions
Only the sales team should make a bid/no-bid decision.
Is it fact or fiction?
Not all bids are created equal. Some opportunities may not require the depth or breadth of the standard implemented decision process.
How is your company structured? Do you have a process whereby the decision makers are well defined?
The best organisations promote scrutiny from multiple angles, ensuring sales, proposals, operations, and capture leaders are all involved.
“Solving niche challenges founders face”.
Illustrator: Lisa Williams (Instagram: @artist_llw)