Proposals

{Key step in complex sale process}

 What is a Proposal
• A business proposal is a written scheme from a seller
to a prospective customer. The main purpose is to
fulfill the requirements of a client. A proposal includes
a company’s profile as well as its products and
services offered.

• A good proposal has the potential to portray a

company unique and credible that gives an edge over
its competitors.

• A proposal may be solicited or unsolicited.

• A proposal is an agreement between two or more

parties; it is constituted by a proposal and an
acceptance of it.
 Purposes of Proposal
• To start a new projects, businesses & its
diversification.

• To sell consultancy skills, property, machines,

buildings etc.

• To construct building, bridges, water system

complete power plants and highway.

• To survey areas for possible oil fields.

• To plan and construct airports and its baggage

conveyor systems.

• To clean up the soil.

 Why Proposals are Written?
• Improving engineering and just-in-time (JIT)
performance within a company.

• Communicating strategic capabilities of the

companies.

• Preparing managers for undertaking complex

works.

• Planning and basic research before developing an

industry.

• Constructing a building as part of a large project.

 Solicited Vs Un-solicited
• A solicited proposal is when the customer asks for a
proposal
• Solicited proposals are usually sent to customers who issue
a “Request for Proposal” or RFP.
• When a customer wants something that is too complicated
to pick up at the store or order from a vendor, they often
write down a description of it and issue it as an RFP.
• A solicited proposal provides you with a description of what
the customer wants.

• Many also provide you with formatting instructions for your

proposal and the evaluation criteria that will be used to
make a selection.
 Solicited Vs Un-solicited
• An unsolicited proposal is sent to a customer who has
not requested it.
• Unsolicited proposals must be convincing since the
customer has not anticipated, planned, or budgeted for
the proposal.
• With an unsolicited proposal you run the risk that the
customer won't even bother to read it, since they didn't
ask for it.
 Kinds of Proposal
• Research Proposals:
 The research proposal can be envisaged as the
process to plan and to give structure to the
prospective research with the final aim of increasing
the validity of the research.

It is therefore a written submission to spell out in a

logical format, the nature of the design and the
means and strategies that are going to be used.

 Professors / Schools / departments often submit

request for research proposal against RFP. For
example an organization may ask solution of certain
specific problem being faced.
 Kinds of Proposal
• Business Proposals:
 A business proposal is a partnership, a joint venture
of some sort. It is not a business plan, although the
terms are sometimes used interchangeably.
 A business proposal is a written scheme from a
seller to a prospective customer. Main purpose is to
fulfill the requirements of a client.
 Solicited Proposals are written in response to
published requirements, contained in a RFP. In such
a case, too many competitors may come across and
competition may be quite tough.
 Short Business Proposal
A short proposal is just like a short report,
which is written in a short form; it has
following parts:
 Title of Proposal
 Letter of Transmittal
 Executive Summary
 Body of Proposal – may include information on
project team, scope of services, contract package,
quality standards etc.
Long or Formal Business Proposal
Just like long reports, long proposals are the
extension of the short proposals. They
contain more information on the issue under
study.

• Solicited Proposals – as per requirement

• Unsolicited Proposals – intelligent guess
 Basic Preparation for Writing a
Proposal
• Be realistic as to what you can accomplish ; avoid
over-extending your capabilities and those of your
company.
• Be specific as to method of meeting all goals.
• Be precise with the time schedule.
• Be clear as to how you will evaluate your work.
• Be exact as to the scope; what you to do and what
not to do.
 Parts of Proposal
• Title page • Background

• Executive Summary, • Procedures

Abstract, Synopsis • Equipment and Facilities
• Table of Contents • Personnel

• Introduction • Budget

• Appendices
 Long Business Proposal
• A formal proposal prepared in response to
the RFP; it usually contains following parts:
Prefatory Parts / Front Matter
• Covering letter
• Title page
• Abstract
• Table of contents
• List of figures
• List of tables
• List of abbreviations and symbols
 Long Business Proposal
Parts of Body Back Matter / Supplementary
Parts
Executive summary Appendixes
Introduction Bibliography
Product description Glossary
Detailed solutions (rationale) Index
Appropriate headings, tables
and illustrations
Cost analysis
Delivery schedule
Site preparation
Training (if needed)
Statement of responsibilities
Description of vendor
Conclusion
 Request For Proposal (RFP)
• RFP for large projects need to be prepared with lot
of care, giving all necessary details.
• Any essential item/thing not covered in the RFP may
solicit an incomplete proposal which may lead to
dispute and court actions. Following may be
considered while writing a RFP:
 Leave no doubt as to the product or service for
which you desire proposals/bids.
 Give the precise name of the person and address
or telephone no, to whom proposal should be sent.
 Be precise as to what all bidders include; also
indicate time by which bids are to be received.
 Writing Style and Appearance
• All the rule of business communication/writing,
including 7Cs, pertain to proposal writing. Many
proposals are lost at the first look by the reader. A
reader appraises the proposal in terms of:

 General appearance
 Neatness
 Specific appearance - of table of contents, list of
figures, title page, maps, graphs, charts.
 Title – it should properly cover the project
 Consistency of style
 Completeness
 Professionalism
 Few Deadly Sins of Proposal Writing

• Not focusing on customer’s requirements

• Not structuring the document persuasively

• Not differentiating between offer and demand

• Not offering the compelling value proposition

• Not making it easy to understand

• Not editing carefully and remove mistakes and

credibility killers
 Thanks
and Good Luck
 CLASS ROOM WORK/DISCUSSION
Mr. Hassan is a shrewd businessman from Karachi
having vast empire of textile units spread over
different parts of the country. One of his friend has
been in seafood business for last two decades. He
is very impressed with his progress. During last
couple of years, textile policy of the government
has reduced incentives and subsidiaries thus he
has decided to start fish/shrimp forming business
for diversification. He has asked you to prepare a
short business proposal for starting up of
A Transmittal Letter is a business letter and is
formatted accordingly, it should include the
recipient's address, sender's address,
distribution list, a salutation and closing. It
typically includes why it should receive the
reader's consideration, and what the reader
should do with it. The transmittal letter
provides the recipient with a specific context in
which to place the larger document or
certificate and simultaneously gives the sender
a permanent record of having sent the
material.