MethodRFP Request for Proposals / Tender

Methoda Computers Ltd 2 RFP - Who needs it?  Practical objective  Selection of a bidder to supply the system  Reflection of overall IT strategy  Obtain IT solutions with optimal cost/benefit ratios  Get acquainted with new, innovative technologies and applications

Methoda Computers Ltd 3 In the Business/Private Sector  Part of overall business policy  Focus on core business  Maximum support from outsourcing  Forming of business partnerships  Better-quality (technology of) data  Shorter projects  Control of cost and expenditures  Time to market

Methoda Computers Ltd 4 The Public Sector: Tenders Law of … 2.Neither the state nor any government corporation shall contract for goods, for real estate, for labor, or for services, except by a public tender that affords to all an equal opportunity of participation …

Methoda Computers Ltd 5 The Solution: Orderly administration = MethodA  Uniform and orderly procedure  Efficient process  Ready-to-use templates  Common language  Legal compliance  Support for various types of tenders  RFP, RFI, RFQ  Broad field experience & acceptance

Methoda Computers Ltd 6 Bidder RFP Process: Activities & Deliverables RFP, PEM Minutes of bidders’ meeting PEM partly/fully filled out Design doc. 1st version Contracts + technical appendix Preparation of RFP documents Preparation of proposal Negotiation of contract System Analysis 1st screening Notification to bidders MAIN AXISSECONDARY AXIS MILESTONES / PROJECT EXECUTIVE & RFP COMMITTEE MEETINGS Client/Organizatio n Deliverables START Due diligence

Methoda Computers Ltd 7 RFP  Chapter 0 – administrative  Process clarification & organization  Required approvals  Deadlines & contact persons  Decision-makers, bidders’ meeting, etc  Chapters 1-5 – professional/technical  Required application  Required technology  Work plan  Cost

Methoda Computers Ltd 8 PEM: Proposal Evaluation Methodology  A complementary document to the RFP  Rules of the method for the proposals’ evaluation and summation  Guidance for the evaluation team  Go/NoGo criteria  Weighting table  Cost/benefit target  All necessary evaluation forms

Methoda Computers Ltd 9 Proposal Preparation by Bidders  Interfacing of two SCTs  Section-by-section adaptation to fit the specified classification 0. Administration 1. Goals 2. Application 3. Technology 4. Implementation 5.Cost - Resources Requirements Constraints Open/closed components Priorities (classifications) Solutions Agreement New ideas (X.97) 0. Administration 1. Goals 2. Application 3. Technology 4. Implementation 5.Cost - Resources Proposal RFP

Methoda Computers Ltd 10 Examining & Comparing Proposals  Administrative inspection  Round 1: first screening  Quick, shallow overall scan  Focus on Go/NoGo components  Cost: a check on extreme values  Round 2: in-depth evaluation  Grades and weighting  Cost/Benefit  Summation: meeting of project executive / RFP committee

Methoda Computers Ltd 11 Notifying Bidders  There is no “winning” bidder  There is a “preferred proposal”  Best formula: “right of first refusal”  If contract isn’t signed after a reasonable time, proceed to proposals 2 & 3  Notify the top 3 bidders  Notify all the other bidders

Methoda Computers Ltd 12 Contracting  Formal & disciplined negotiations  Price revision only, or  Functional improvement only  Writing the contract’s technical appendix!  Integration of RFP & bidder’s proposal  Design document (SOW)  Signing the contract (MethodA template)  3 months gone? Move to the next bidder

Methoda Computers Ltd 13 Special Types of RFP  RAD – iterative development  Specific systems (information & infrastructure)  Software packages & off-the-shelf products  Consultants & staff leasing  Central tenders (ministry of finance)  Outsourcing  RFI – Request for Information

Methoda Computers Ltd 14 Quality Assurance  For the RFP & PEM  Administrative aspects  Technical/professional aspects  For the first screening  For the in-depth evaluation  For the cost/benefit summation  For the contractual negotiations  For the consolidation document – the point of departure

Methoda Computers Ltd 15 Summary: RFP is…  An advisable (or compulsory) phase  For proper business practice  For compliance with laws or procedures  A complex and “loaded” issue The challenge: To manage the tender fairly, professionally and efficiently, without legal complications and to obtain the best possible results The challenge: To manage the tender fairly, professionally and efficiently, without legal complications and to obtain the best possible results

Methoda Computers Ltd 16