Companies often keep track of various projects. Since I am employed in a pre-sales capacity, I am interested in the cost of pre-sales projects. I was doing some outside research on this when I ran across this Government Express piece by Russell Smith. Someone like me who was looking for an easy answer would be disappointed:
Usually, the people asking [about proposal costs] want a cut-and-dried answer. They want to be told, “a proposal should cost you X percent of the contract value”, or “Y dollars per page” or something like that. A meaningful answer is more complicated.
In essence, some multi-million dollar proposals can be completed with just a few hours of work. And even within a certain range of more complex proposals, the amount of work can vary:
The cost to prepare a complex proposal requiring a significant system / product design to be submitted for a program valued in the tens of millions of dollars or more, is frequently in the range of 1 – 2% of contract value. When field conditions are challenging, these costs can rise to 3% or more. For example, several years ago, TRW (now Northrop Grumman) was bidding a multi-hundred-million dollar contract to provide a large system to the Air Force. The Air Force kept withdrawing and resubmitting the RFP over a 4-year period. TRW ended up winning the contract, but the cost of the proposal was 10% of contract value. In this case, TRW suffered from an act of God (otherwise known as Government inefficiency).
My question - if Government inefficiency can be categorized as an "act of God," does that mean that people who want to reduce Government inefficiency should be atheists?
Are you dedicated to your principles? The story of Stanley Moore
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One day on the radio, Colin Cowherd was discussing a rumor that the Yankees
were for sale. Cowherd noted that in the end, everything has its price.
Perhaps...
5 hours ago