Comments on: To RFP or to not RFP? http://blog.smallboxweb.com/2009/10/30/to-rfp-or-not-rfp/ a blog by Small Box bloggers blogging about Internets and such Mon, 08 Mar 2010 04:31:41 -0500 http://wordpress.org/?v=2.9.2 hourly 1 By: jeb http://blog.smallboxweb.com/2009/10/30/to-rfp-or-not-rfp/comment-page-1/#comment-3888 jeb Wed, 16 Dec 2009 14:07:16 +0000 http://blog.smallboxweb.com/?p=365#comment-3888 Sara- I think you should send out an RFI (Request For Information), meet with the companies, talk with their references, review their work, communicate the end product you want and then discuss budget ranges. Then they can come back with an agreement that has ranges as well as a hard cap- meaning the project must be finished for no more than X amount. This lets you partner with the vendor to determine when to add or remove items from the scope to meet the budget without having to do constant re-quoting which only lengthens the project and almost always weakens the work. Shutting down production to haggle over prices is no good for either party. Almost every agreement we have now has ranges for each phase as well as each task. We send weekly updates on the project, and daily as needed, and then monthly statements, or as needed, tallying the hours for each task. This way there are no surprises. We then get paid monthly based on an average of the ranges spread out over 4-6 or 12 months depending on the scope of the project. If we are running over or under we let the client know and we can make scope adjustments to meet the hard cap while finishing the projects. Usually that means dividing items into "wants" and "needs". In another post I complained about writing proposals. What we focus on now is communicating our estimate verbally or via email then sending the client an agreement (with ranges, etc) they can either sign, amend or decline. Best wishes on the RFP process with your organization. Hopefully they can move to something more like I'm describing above. We have found the results to be really good for both parties. Sara- I think you should send out an RFI (Request For Information), meet with the companies, talk with their references, review their work, communicate the end product you want and then discuss budget ranges. Then they can come back with an agreement that has ranges as well as a hard cap- meaning the project must be finished for no more than X amount.

This lets you partner with the vendor to determine when to add or remove items from the scope to meet the budget without having to do constant re-quoting which only lengthens the project and almost always weakens the work. Shutting down production to haggle over prices is no good for either party.

Almost every agreement we have now has ranges for each phase as well as each task. We send weekly updates on the project, and daily as needed, and then monthly statements, or as needed, tallying the hours for each task. This way there are no surprises. We then get paid monthly based on an average of the ranges spread out over 4-6 or 12 months depending on the scope of the project. If we are running over or under we let the client know and we can make scope adjustments to meet the hard cap while finishing the projects. Usually that means dividing items into “wants” and “needs”.

In another post I complained about writing proposals. What we focus on now is communicating our estimate verbally or via email then sending the client an agreement (with ranges, etc) they can either sign, amend or decline.

Best wishes on the RFP process with your organization. Hopefully they can move to something more like I’m describing above. We have found the results to be really good for both parties.

]]> By: Sara Croft http://blog.smallboxweb.com/2009/10/30/to-rfp-or-not-rfp/comment-page-1/#comment-3873 Sara Croft Wed, 16 Dec 2009 12:50:15 +0000 http://blog.smallboxweb.com/?p=365#comment-3873 I work for a state/federal grant where we must get three quotes on anything we want to purchase over $500. That being said, if we want to go into a contract agreement with an internet marketing company, we must send out an RFP so we can get three different companies to quote us on what we are looking for. Could you think of any alternative to that RFP process for our situation? It's unfortunate because I agree with what you said in that projects will change dramatically from the beginning, and then anything we want to do extra, we have to get quotes AGAIN. I work for a state/federal grant where we must get three quotes on anything we want to purchase over $500. That being said, if we want to go into a contract agreement with an internet marketing company, we must send out an RFP so we can get three different companies to quote us on what we are looking for.

Could you think of any alternative to that RFP process for our situation? It’s unfortunate because I agree with what you said in that projects will change dramatically from the beginning, and then anything we want to do extra, we have to get quotes AGAIN.

]]> By: Bjorn Carlson http://blog.smallboxweb.com/2009/10/30/to-rfp-or-not-rfp/comment-page-1/#comment-2871 Bjorn Carlson Tue, 10 Nov 2009 20:48:22 +0000 http://blog.smallboxweb.com/?p=365#comment-2871 We find much of the same frustrations with RFP's that you mentioned. The opportunity for the potential client to see the true value that the firm can provide is never realized in an RFP process and the creativity and innovation of the firm is stifled. We actually wrote a very similar blog post not too long ago that addresses the same issue. Seems we're not the only ones who encounter frustration with the RFP process. Good post! We find much of the same frustrations with RFP’s that you mentioned. The opportunity for the potential client to see the true value that the firm can provide is never realized in an RFP process and the creativity and innovation of the firm is stifled.

We actually wrote a very similar blog post not too long ago that addresses the same issue. Seems we’re not the only ones who encounter frustration with the RFP process.

Good post!

]]> By: Colin Clark http://blog.smallboxweb.com/2009/10/30/to-rfp-or-not-rfp/comment-page-1/#comment-2656 Colin Clark Tue, 03 Nov 2009 23:13:34 +0000 http://blog.smallboxweb.com/?p=365#comment-2656 RFP's are an accepted part of life for most web companies. I've found that the only way to make it worth my while is to convert the experience to a sales or consulting engagement. I don't mind doing some work up front if I know 2 things. 1)That I am 100% qualified to fill the specifications of the project. and 2)That I can demonstrate these qualifications to the prospective client and get the business. To determine these two things often requires asking some tough questions up front. An RFP is never enough to get real answers. RFP’s are an accepted part of life for most web companies. I’ve found that the only way to make it worth my while is to convert the experience to a sales or consulting engagement.

I don’t mind doing some work up front if I know 2 things. 1)That I am 100% qualified to fill the specifications of the project. and 2)That I can demonstrate these qualifications to the prospective client and get the business.

To determine these two things often requires asking some tough questions up front. An RFP is never enough to get real answers.

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