Overview of Capture Proposal Management for PMIBaltimore Chapter

Overview of Capture & Proposal Management for PMI-Baltimore Chapter Michael Hackett March 15, 2012

Purpose • To provide an overview of: • Capture Management • Contracting processes with Dept of Defense • Proposal Management • To have PMI-Baltimore Chapter personnel better prepared to support their company with growth • Promote Project Management skills in Business Development Hope you learn something that can be immediately applied!

Agenda • Business Development Process • Capture Management • Your Company’s Growth? • BD-CMM Model • Capture Plans –Build a Story! • Proposal Process Overview • Proposal Writing • Closing Thoughts…. . Code of Conduct: Feel free to ask questions that will help overall understanding of material.

Honeywell Technology Solutions Inc. OVER 50 YEARS PROVIDING QUALITY GOVERNMENT SERVICES Space, Networks & Communications Logistics Services PROFILE • Wholly-owned subsidiary headquartered in Columbia, MD • ~ 6, 000 employees • Over 100 locations: 21 countries, 33 states, the District of Columbia • More than 100 active contracts Technical Services HERITAGE • Bendix Radio (1950) • Bendix Field Engineering Corporation (1961) • Allied. Signal Technical Services Corporation (1993) • Honeywell Technology Solutions Inc. (2000) -Dimensions International Acquired (2007) Premier Provider of Solutions and Services!

Business Development Process Strategize Position Pursue Propose Negotiate Transition Marketing Team Sales/ Opportunity Team q Includes traditional Proposal Team sales and marketing q Acknowledges different benchmarks applicable based on process goals q Seeks common best practices Delivery Team

Business Acquisition Process - COMPLEX Identify Phase Identify specific targets of opportunity within approved markets as defined in the Strategic Plan. Qualified Phase Capture Phase Proposal Phase Assess the position of the customer, the competitors, and your company, and develop a preliminary win strategy. Refine the win strategy and develop a plan to capture the bid. Write proposal, Q&A, Past Performance, BAFO, and Orals. Post-Award Phase Assess the effectiveness of the process and the product following proposal delivery and notification of award, and communicate results for lessons learned. RFP Released -24 months -12 months -10 months The Capture Manager is responsible for winning the opportunity!

Typical Government Contracting Process Develop Acquisition Strategy and Plan 1 5 2 6 Conduct Market Research 9 Answer Company Questions Approval and Funding Receive Proposals and Evaluate Contract Start-Up 14 Establish Source Selection Authority 7 Send Draft Documents 10 13 3 Contract Performance 4 Develop SOW 8 Conduct Bidders Conference 11 Release RFP 12 Announce Award 15 Debrief with Companies Contract Shutdown

How does your company plan for growth? • What processes does your company have to provide guidance on how to conduct BD? • Who is responsible for growth? • Do they have the authority to implement and obtain necessary resources for support? • Does the company have the infrastructure to support growth? • What incentive is there to support BD efforts?

Top-Level View of the BD-CMM Key Process Categories Customer Focus People Capabilities Themes Increasing Customer Value Improving Performance and Synergy Building Competencies and Teams Enhancing Systems and Processes Levels 5 4 3 2 1 Optimizing Managed Defined Repeatable Initial Key Process Areas (KPAs) n Innovation and Transformation n Relationship Management n Solution Development n Enterprise Influence n Quantitative Process Management n Organizational Tactics n Quality Management n Business Development n Response Generation n Ad Hoc Source: BD-Institute International www. bd-institute. org Administration n Quality Control n Business Develop n High-Performance Systems Integration n Infrastructure Management n Organizational n Business Develop- Teams Competencies Development n Individual Skills Development Processes n Support Systems n Sales/Capture Procedures n Work Environment

Components of the Model 1. 2. 3. 4. 5. Maturity Levels Indicate Process Capability Contain Initial Repeatable Defined Managed Optimising Key Process Areas (KPAs) ( Key Process Areas. KPAs) ( Achieve Areas where an organization should focus to improve its process. Organised by Goals Common Features Address Contain Implementation/ institutionalization Key. Practices Key Practices Describe Activities or Infrastructure Source: BD-Institute International www. bd-institute. org • • • Commitment to Perform Ability to Perform Activities Performed Measurement Verification • Essential process elements • Communicate widely applicable principles

What is Capture Management? Capture Management is the process of winning an opportunity from identification through award and execution by: 1. Understanding the client’s requirements and expectations 2. Understanding the environmental and political conditions 3. Developing management, technical, pricing and teaming strategies 4. Positioning your company for winning 5. Sharing lessons learned for future bids

Capture Management Can we win? How will we win? Strategic Thinking (Planning & Positioning) Customer • Competition • Teammates • Customer Intimacy • Past Performance • Technical Capability • Global Environment Competitive Landscape Your Company Process, Metrics, Deliverables, Innovations • Organization • Key Decision Makers • Politics • Hot Buttons • Problems • Buying History • Influence RFP • Take all the information gathered and weave into Win Strategy Tactical Thinking (Project and Proposal Mgmt) Capture Plan Tollgate Reviews Actions Budget Proposal

Elements of a Capture Plan External and Internal Analysis 1. Executive Summary 2. Opportunity Information and Assessment 3. Customer Intelligence and Communication 4. Teaming Analysis and Status 5. Competitor intelligence and Analysis 6. Your Company’s Competitive Strategy 7. Value Proposition and Solution 8. Key Personnel and Staffing 9. Pricing Strategy 10. Past Performance 11. Risk Management 1. Elevator Speech 2. Customer, schedule, deliverables 3. Org. , decision makers, reqts, and hot buttons 4. Products/Services, past performance, relationship with customers, rates 5. SWOT Analysis 6. How does this position us? 7. What do we offer that is unique? 8. What expertise can we propose? 9. Price to Win? 10. PP to site and/or survey to CO? 11. What are the risks and what are we doing about it?

Win Strategies, Discriminators, Themes Win Strategy – a strategic assessment of what it will take to win a procurement and a plan for how we can get there. Should address all key evaluation criteria. The strategy should provide an attractive solution for the customer that stands apart from the competition, neutralize strengths the competition may have, and come in at a very competitive price. Discriminators – something unique that only we can offer; no one else can make the same claim. Government evaluators look for discriminators in proposals to help them justify their decision. Tests for a winning discriminator: • Is it important in the eyes of the customer? • Is it unique to your approach? • Is it credible and defensible for you and not for the competitor? Ghosting – a way to sell ourselves and “unsell” the competition by alluding to competitors’ weaknesses and our strengths. By ghosting, we try to influence the customer’s opinion by countering the messages of competitors and highlighting our strengths.

Themes… Why Should the Customer Select Us? • Themes are specific messages that are communicated throughout the proposal. They are intended to substantially influence the customer to choose us over the competition. • Themes present a rationale for why we should WIN • Themes answer the question: “WHY SHOULD THE CUSTOMER PICK US? ” “What makes us special? ” “Why not the competition? ” • Themes should represent a BENEFIT TO THE CUSTOMER Example: The Right People, Right Time at the Right Price

Build a Story! Customer /Evaluators 1. What is the customer concerned about? 2. How are you going to resolve their problem or issues? 3. Why should they select your solution? 4. What are the risks of not selecting your solution? Company Management Plan linked to customers’ needs to include: -Corporate reachback for support -Team and Organization (Roles, Responsibilities, Authority, Lines of communication, etc. . ) -HR: Recruiting, Staffing and Retaining -Contracts and Subcontracts -Financial Business Mgmt -Procurement -Quality and Safety -Information Technology -Risk Mgmt -Technical Solution – Tech Volume -Past Performance and For Examples -Pricing Volume

Know your Competition!

Pursuit Team Organization: (Sample of Complex Proposal)

Sources of Capture and Proposal Management Training • • • Association of Proposal Management Professionals www. apmp. org Shipley Associates www. shipleywins. com Hy Silver and Associates www. hsilver. com Capture Planning www. captureplanning. com Business Development Institute International www. bd-institute. org Lohfeld Consulting Group Inc. www. Lohfeldconsulting. com There are many others in the MD/DC/VA area!!

RFP / Proposal Phase Request for Proposal

Analyzing the RFP The typical RFP sections contain the following information: Schedule Sections A-H Contract Section I List of Documents, Exhibits, Attachments Section J Representatives and Instructions Sections K-M

Analyzing the RFP The typical RFP sections contain the following information: Section A: Solicitation/Contract Form (e. g. , SF 33). Customer, date of issue, date and location of delivery, solicitation number, and point of contact. Section B: Supplies or Services and Prices/Cost. Contract Line Items (CLINS) to be priced. Section C: Description/Specification/ Work Statement. Scope of work to be performed, standards of workmanship, and position qualifications. Section D: Packaging and Marking. Point of delivery.

Analyzing the RFP (Continued) Section E: Inspection and Acceptance. Quality Program requirements. Section F: Deliveries of Performance. Period and place of performance. Section G: Contract Administration Data. Section H: Special Contract Requirements. Organization conflict of interest, list of key personnel, cost reporting requirements (e. g. , Cost/Schedule Status Report [C/SSR]), Notice of Service Contract Act (SCA) applicability, subcontracting plan, and transition data.

Analyzing the RFP (Continued) Section I: Contract Clauses. Section J: List of Attachments can include SOW, Wage Determination, position descriptions, and Government-Furnished Equipment (GFE) lists. Section K: Representations and Certifications. Representations, certifications, and other information. Section L: Instructions, Conditions, and Notices to Offerors. Proposal preparation instructions, pre-proposal conference, bidders’ library information, security clearance requirements, and alternate proposal requirements. • Section M: Evaluation Factors for Award. Evaluation criteria. Authors should be familiar with entire RFP, especially Sections L, M, and the SOW. You have to read the RFP carefully because some requirements may need to be addressed in both the Technical and Management volumes and as a separate plan.

Process Overview and Schedules – Complex Proposal • • • After Solicitation (RFP) Release / Leadership Go Decision Includes Proposal Development & Submittal (not Post-proposal work: Q&A, Orals, FPR) 30 or 45 Day Schedules Sample 30 -Day Sample 45 -Day

Proposal Process – Post RFP Release Preliminary Activities • Distribute and Analyze RFP • Develop Structure and Outline • Determine Schedule and Activities • Refine Org Chart • Develop Proposal Plan Tech/Mgmt/Past Performance Proposal Process Develop/ Review Storyboards Kick-off Meeting Cost Strategy Review Write First Draft Pink Team Review Write Second Draft Red Team Review Final Production Resources & Training Gather Cost Data Write Final Draft Develop Rates Bid Review Cost Proposal Process Generate Cost Proposal Red Team Review Proposal Delivery

Storyboards! • Help the proposal team identify, evaluate, and agree upon proposal approach early in the development cycle. • Formally provide authors with their assignments and initial guidance. • Have authors think through and summarize their approach in outline form before starting to write! • Provide a quick-look at overall approach to fine tune it early: – – – – Outline of Approach Features and Benefits of Approach Theme Statement Draft graphics Innovations Risks Past Performance or examples of proven approaches

Proposal Writing – “ 101” Reqt’s L & M Hot Buttons SOW Compliant What Compelling Past Performance How For Example Features , Benefits and Substantiation Innovations Win Themes & Discriminators Graphics Risks & Mitigation Writers should focus on each of these elements to Hit the Target!

Key Proposal Terms - REVIEWS • Black Hat and Blue Team Reviews: A countermeasure tactic used to strengthen our win strategy. Key individuals simulate our competitor’s perception of our company’s strengths, weaknesses, and strategies. This input is then used to anticipate our competitors’ probable approach to beating us. The results are strategies, themes, discriminators, and solutions developed to respond to these specific threats. • Pink Team: An internal review, conducted early in the proposal process to ensure that the authors are on the right track and storyboards match Capture Plan

Key Proposal Terms - REVIEWS • Red Team: Conducted when a complete draft of the proposal has been prepared. Made up of people who are independent in developing the proposal. A review for compliance and messaging. • Gold Team: A final high-level review of the proposal to ensure that Red Team changes have been made and that the proposal is ready to be submitted. • Book Check: The complete check of every page in each copy to ensure printing/production was completed correctly.

Ex: Human Resources (HR): Roles/Responsibilities • • • • HR Proposal Strategy Coordination of Job Fairs Initial resume & candidate assessment Recruiting & Hiring (including key personnel) Labor Mapping Total Compensation Plan Staffing Strategy Plan Job Descriptions Union Strategy & Approach Collective Bargaining Agreements Talent Management Plan Learning/Training programs Proposal Content as required Contract Start-up Activities (Post Award) Key Deliverables: 1. Labor mapping & salary ranges 2. Job Descriptions 3. Benefits & Total Compensation Plans 4. Proposal input for learning & training programs Key Activities

Capture Mgmt Aligns with PMP • • • Integration Mgmt Scope Mgmt Time Mgmt Cost Mgmt Quality Mgmt HR Mgmt Communication Mgmt Risk Mgmt Procurement Mgmt Cuts across Organization Bid to the RFP! Meet customer deadlines Price to Win /B&P budgets Ensure accuracy Recruit, Staff, Comp Plans Throughout all phases/levels Identify and Mitigate/Accept Include BOMs, Suppliers

Why should Project Managers be concerned about Capture Management? • A growing discipline/approach that can be developed within your company • Increase your Project Mgmt skills across disciplines for a multitude of stakeholders • You can assist your company to increase revenue, customer base, and hopefully be rewarded for efforts! • Promote the proper use of Project Mgmt techniques and demonstrate application of the tools Everyone is responsible for Business Development!

Michael Hackett Program Manager Honeywell Work: 410 -964 -7766 Cell: 410 -585 -4595 Michael. Hackett@Honeywell. com