Bud Porter-Roth Porter-Roth Associates

Transcription

1 How to Write an Effective RFP Bud Porter-Roth Porter-Roth Associates 1

2 Presentation Objectives Plan and organize the RFP effort Outline each RFP section Review requirements, including administration, technical, management, and pricing Set realistic pricing goals Pre-screen a vendor list to select appropriate vendors Set up objective evaluation criteria for selecting the best solution Prepare for post-rfp activities, including site visits, reference checks, implementation activities, and more 2

3 Resource Materials There are two recommended resource materials for this session. AIIM TR27 Electronic Content Management Request for Proposal Guidelines Request for Proposal: A Guide to Effective RFP Development by Bud Porter-Roth Both are available at the AIIM Bookstore or, the book through Amazon 3

4 Agenda Part 1 Basic RFP Guidelines Part 2 Schedule Considerations Part 3 Evaluation Guidelines 4

5 Paper Files Servers Business Systems Microfilm Electronic Document Repositories Photographs Flash Drives Local Drives Record Management Systems Imaging Repositories Web Servers Video Libraries PDAs 5

6 Which Technologies for Your RFP? Document imaging (scanning paper) Electronic document management (EDM) Workflow technologies Records management (RM) Enterprise report management (ERM) Enterprise content management (ECM) Content management (CM) A combination of the above? 6

7 ECM Request for Proposals Part One: Basic RFP Guidelines If you need a machine and don t buy it, you pay for it without getting it.henry Ford 7

8 What is an RFP? An RFP is a grouping of requirements that defines the products and implementation services for an intended ECM project. Vendors review the RFP requirements and propose solutions that are based on that vendor s products and services. Each proposal received may be responsive to the requirements but will differ in the actual products, services, and prices proposed. 8

9 What is a Proposal? A proposal is a vendor s interpretation of and response to your requirements. Each vendor may propose a different solution, based on their products, that will meet your requirements Solutions will differ according to each product set, but still be responsive to your RFP Prices will differ providing a range functionality vs. price The result is that you have a choice of vendors, products, solutions, and project schedules that will best fit your needs 9

10 Why RFP? Used when specifications cannot be sufficiently explicit to permit vendor selection based solely on price Vendor solutions/proposals will be based on different products Vendor proposals will differ in the services provided/offered Vendor pricing includes implementation and customizing services 10

11 Benefits of an RFP Process Requires you to: Establish a real need for new product/system Define basic requirements Estimate a budget Develop and establish project timelines Consolidate & scrub final requirements Identify and monitor potential problems Gather information on products and vendors 11

12 Two Approaches to an RFP Request for Information (RFI) More information is needed about what you are buying Request for Proposal (RFP) Have a firm idea of what you are buying and are ready to purchase 12

13 Request for Information (RFI) Used to research your potential system Used to verify H/W and S/W strategies Used to gather information about implementation strategies Used to gather pricing/budget information Used to gather vendor information Typically not contractually binding 13

14 Request for Proposal (RFP) Specifies requirements for a system Vendors propose a technical solution Specifies method for purchasing - the contract type Vendors price solutions Vendors propose implementation schedule Contractually binding 14

15 Outline for a Typical RFP Cover Letter Administrative Section Technical Section Management Section Price Section Appendices Volumes analysis Network information Sample contract 15

16 Cover Letter Very brief project description 2 sentences Who is sending the RFP (IT, User dept., Purchasing) Contact info for questions and submittals If intent to bid form is included Important dates for Vendor conference Proposal due date Any other pertinent information 16

17 Administrative Section Anatomy of the Admin Section Examples 17

18 Administrative Section Introduction & overview of RFP RFP Ground rules Bidder s conference Relevant dates Etc. Proposal submission format Evaluation criteria Demonstration requirements..this is a good area to use ready made boilerplate 18

19 Administrative Section - Introduction ACME Bank is a federally chartered, publicly traded bank that ranks among the nation s top 5 banks and internationally among the top 10 banks. Our main financial products range from private and personal banking to multi-national loans for large construction projects. ACME leads the field for large construction loans in North America and is among the top banks in Europe, Asia Pacific, and Latin America participating in multi-national and multi-bank construction loans. ACME has one of the largest and most secure bank balance sheets in the world. A world leader in multinational construction loans, ACME also dominates the market in risk management, financial structuring, fixed interest issuance and trading, foreign exchange dealing and derivatives, and maintains leading positions in corporate finance and equities throughout the world. 19

20 Administrative Section Example ACME Bank is releasing this request for proposal (RFP) for the implementation of an electronic document management system for loan servicing and processing. ACME is seeking to implement a global solution with a potential user base of approximately 20,000 users worldwide and would expect a solution of an appropriate scale. Currently, loan documents and portfolios are managed in their paper document form, kept in secure vaults, and copies are faxed or couriered nationally and internationally when needed for review or signature. Electronic document management technologies will eliminate the need for faxing and courier services while providing secure storage, faster access to documents, and disaster recovery capabilities. 20

21 Technical Section Anatomy of a Technical Section Example requirements 21

22 Technical Section Description of current business operations Description of current technical environment Description of proposed environment? Functional requirements for application(s) Technical system requirements.net or JAVA Windows or UNIX or?? Legacy system(s) interface(s) 22

23 Requirements Document Imaging Volumes of paper and/or film Capture (backfile conversion?) Indexing (for each document type) Annotation capabilities Workflow (examples of current processes) OCR/ICR/Full Text Security and access control Search Retention and disposal Records management capabilities (paper and electronic) 23

24 Technical Requirements DM Volumes Capture (bulk load) Indexing Versions Security and access control Search Retention and disposal Records management capabilities 24

25 Technical Requirements RM Work with all document types paper, film, electronic, etc Your Record Organization File Plan Record Capture, classify, declare Records management, search, display Security and access control Retention and disposal Applicable standards Applicable compliance areas SOX, SEC, DOD 25

26 Technical Requirements - Workflow Workflow analysis Provide current workflow process Don t provide the answers let the vendor demonstrate the new workflow, benefits, and savings 26

27 Writing Requirements Shall = a requirement Will = a narrative statement Should = an objective or goal Or Define in the Administrative Section what language is used to indicate a requirement is being stated 27

28 Brief Review of Requirements A statement that identifies a capability, characteristic, or quality factor of a system in order for it to have value and utility to a user A requirement must be measurable in some manner so it can be evaluated A product or service must exist in order to satisfy the requirement ( A camel is a horse designed by committee ) 28

29 Management Section Anatomy of a Management Section Management requirements 29

30 Management Section Project management plan Site preparation responsibilities Delivery and acceptance Maintenance Training Documentation Vendor quals and references 30

31 Management Section Example Requirement Supplier shall maintain a principal period of maintenance (PPM) from 5:00 AM Eastern time to 5:00 PM Hawaiian time. The supplier shall offer a call-in help desk functioning as a single point of contact for servicing all ACME locations. This help desk shall be accessible via an "800" number. The supplier shall be able to provide on-site personnel to ACME locations within two hours of the initial report of a problem. Problem resolution shall be within four hours from the time the problem was identified. In addition, each supplier shall describe escalation procedures for addressing problems that remain unsolved after a four-hour period of time. 31

32 Management Content Examples Specify a Project Plan but don t provide the plan itself Vendors must develop and present their own plan and present it in the proposal Ensure that the plan covers: Schedule Personnel Dependencies 32

33 Price Section Anatomy of a Price Section Typical pricing requirements 33

34 Price Section Application software Cost of building the application System software Vendor software, third-party software System hardware Servers, scanners, workstations Communications Software, servers, cables 34

35 Pricing Section (cont.) Project Management Implementation/Installation Maintenance Training Documentation ROI or Multi-year cost analysis (cost of ownership study) 35

36 Appendices Anatomy of the Appendix section Examples 36

37 Appendices The RFP Toolbox Current technical environment Servers Workstations Current communications infrastructure Workflow analysis diagrams Corporate technical standards ROI information about your company 37

38 Appendices - Contracts Info Current contract Non-disclosure agreements Terms and conditions documents 38

39 Basic Guidelines Summary Use the correct RFI/RFP type Organization is the key to success Consistent level of information and terms is key to a successful RFP effort Use the Appendix for large detailed information and contractual information Low price is not always the winner 39

40 ECM Request for Proposals Part Two: Schedule Considerations There is never time to do it right but always time to do it over. 40

41 Overall Schedule Considerations Original study and due diligence leading up to the RFP Organize and write requirements Technical Management Pricing Review and approval of RFP Proposal writing period need by vendors Proposal evaluation period Negotiate the contract? 41

42 Overall Schedule Considerations Questions and answers for the vendors (it is ok to question vendors and get clarification) Reference calls and checks (short list) Product demonstrations (short list) Site visits (short list) Contract negotiations and award Implementation started User testing and acceptance testing Approved system 42

43 Potential Schedule Issues How much is enough time for writing proposals? Have vendors been given advanced notice? RFI? pre-rfp strategic meetings? Does the RFP require multiple vendors to combine in order to respond? Is the application simple (document imaging) or complex (imaging, document management, records management, etc.) 43

44 Schedule Considerations 44

45 ECM Request for Proposals Part Three: Evaluation Guidelines If you don t know where you are going, any road will get you there. 45

46 Proposal Scoring and Evaluations Simple good/bad/maybe? Numerical scoring Technical = 50 pts Management = 50 pts Weighted scoring Use a multiplier *2 Low price wins? Price is not evaluated? 46

47 Example Matrix Non-weighted Description Points Administrative requirements 100 Technical requirements 100 Management requirements 100 Price 100 Presentation & demonstration 100 Total

48 Example Matrix Simple Weighted Description Points Administrative requirements 50 Technical requirements 700 Management requirements 100 Price 100 Presentation & demonstration 50 Total

49 Example Matrix Complex Weighted Description Points Weight Administrative Requirements Technical Requirements Management Requirements Price References & Quals

50 Example Scored Evaluation Description Points Weight Score Total Administrative Requirements Technical Requirements Management Requirements Price References & Quals Total

51 Example Evaluation Spreadsheet RFP Reference Point Value Total Points 2.5 Search Requirements Search methods Std key word search Std Boolean search Natural language search Proximity search Use of Metatags Bonus points for additional search methods

52 Evaluation Report Names of all vendors Outstanding issues/problems Evaluation criteria review Review of short listed vendors Final recommendation Reasons why Any concerns/issues/risks that should be addressed 52

53 Evaluating Risk Risk is a potential issue with a vendor a product/implementation the project itself your company Risk can be an important evaluation factor Ask yourself what are some examples of risks for your project? Note them down and be prepared to address them. 53

54 Evaluation Summary All requirements should be evaluated All requirements may not have equal weight and must be evaluated accordingly Site visits and talking with established customers is often overlooked but is a must Evaluation is often underrated but should be given proper resources and time 54

55 ECM Request for Proposal Summary RFIs and RFPs will help you purchase and implement the right solution Our community, ECM, is a diverse universe with many overlapping technologies and vendors Vendors have strengths and weaknesses within their product lines The RFP process provides you will a roadmap that both you and vendor will follow 55

56 Instructor Information Bud Porter-Roth Principal Consultant Porter-Roth Associates

57 Instructor Information Porter-Roth Associates Consults in RFP development and writing Assists in developing technical and management requirements Provides workshops, seminars, and on-site training Reviews RFPs prior to release Leverages your existing resources 57