Pratt & Whitney Rocketdyne CP 9-0827-1.ppt RFQ_RFP Training RFQ/RFPs We’d like this section to be very interactive…so, don’t hesitate to question or comment

Pratt & Whitney Rocketdyne

CP 9-0827-1.pptRFQ_RFP Training

RFQ/RFPs

• We’d like this section to be very interactive…so, don’t hesitate to question or comment

• We have some charts

• Mainly, we’ll be working off of previously issued complex RFQ/RFP packages

• Program/Customer/Supplier information has been redacted



RFQ/RFP Generation (Buyer Needs)Also, Elements of a RFQ/RFP

• Part/System description, Specifications, Drawings, SOWs, DRDs

• Technical & Business Groundrules

• Assumptions (includes ATP, Proposal Validity, etc.)

• Schedules & Quantities

• Pricing Instructions

• Terms & Conditions

• Quality Requirements



RFQ/RFP Generation (Consider)

• Is a Small Business Plan required?

• Is the Proposal complex enough to warrant a checklist?

• What are certification requirements:

• SF 1411 Equivalent

• Cost Accounting Standards

• Government “rent-free use” required?

• Buyer should define what is necessary if answer is “yes”• Which Gov’t Agency owns the equipment/facilities• Include all nomenclature/descriptions/identification numbers• Prime Contract Number, name & number of Gov’t Procuring Officer

• Type of Proposal Needed & anticipate contract type

• Royalties – if “yes” (all information concerning the royalty must | be disclosed by the supplier)



Why Flow All These Requirements

It is a Customer requirement/need

It supports us satisfying a Customer requirement/need

OUR CUSTOMER WANTS IT!!



Why Flow All These Requirements - Continued

• That being said:

• May a requirement appear stupid/expensive? Yes!!

• But, it could serve the greater effort and be less expensive overall

• Can you question it or offer alternatives? Yes!!

• But, BE RESPONSIVE TO THE PROPOSAL, THEN OFFER AN OPTION!!

• Remember to have “presence of mind” when asking a question or clarification!!

• Is the RFQ/RFP competitive or non-competitive?

• Non-Competitive – then open dialogue with PWR is acceptable

• Competitive – Be careful!!

• Questions/Clarifications must be given to all suppliers proposing

• Questions/Clarifications could give away a strategy – so be careful in how or whether you ask

• Define assumption made & offer an option



Why read RFQ/RFPs??

• One would think that this would be self evident!! But, sadly it isn’t intuitive to a high percentage of suppliers!!

• Not restricted to small businesses!!

• 1st reason: Understand your customer’s needs and most important requirements

• First time through…eliminates rounds of questions

• Help us catch our mistakes and ambiguities

• Clarifications – ensures mutual understanding of requirements

• Eliminates PWR having to make instant assumptions for our proposal

• Substantially increases both of our chances to WIN!!



Why Read the SOW/DRD??

• Statements of Work and Data Requirements Documents contain pertinent information and requirements

• Helps to identify our/our customer’s Most Important Requirements

• SOWs describe how you’re expected to execute the program

• DRDs give you specific data requirements, submittals and time interval requirements

• Please price separately – Customer often changes DRD

requirements, this makes it easier to remove from proposal.

• Satisfies our Customer’s requirements



Specs, Drawings, PPARs

• Specifications – Often not completely understood or sub-tier specs missed

• Don’t assume…ASK

• Drawings – Rare that suppliers miss a requirement here

• PPARs:

• PWR’s Supplier Quality buyoff document

• Suppliers should use the document to plan too

• SMPP requirements consistently missed

• Must use a SMPP approved house

• Must complete and submit SMPP for approval if TO be processed internally (before processing)

• Certified Special Processes (CSP) consistently missed

• Must use a PWR CSP approved Processor

• Must become PWR CSP approved Processor before internally processing hardware



Schedule, Quantity & Cost

• Meet the schedule need date in your proposal

• If can’t, give explanation or option on how to meet it

• Sometimes capacity determines you can’t – no bid

• Be realistic, being late causes you irreparable damage• May not be immediately catastrophic, but, consistency here

will be catastrophic for the supplier – off our database

• Bid Quantity Requested, but:

• Give us options for economies of scale if it exists• Our requirement 32, but if we order 40 it is same or less than

32

• Cost

• Non-competitive – should be fact found & Negotiated• Sole Source? – Still need to be realistic or another option may

be developed!

• Competitive• May be accepted on basis of ‘best value” or negotiated



Terms & Conditions

• Your proposal must be responsive to our Terms & Conditions

• Any exceptions taken must explain why you cannot accept the terms as written and propose alternative language

• Operation of Law terms cannot be changed

• Most Gov’t flowdowns have little or no room to maneuver

• Some of our terms, dependent upon the specific procurement will be non-negotiable

• Other terms are negotiable when a reasonable argument is presented…You must present that reasonable argument!!

• Otherwise you run the risk of being non-responsive

Examples



Responsive vs. Non-Responsive

• Did you answer everything that was asked for in the RFQ/RFP? If positively, then you’re possibly responsive…may not be “best value”

• Did you accept our terms? Yes, you’re responsive to terms. No, maybe – did you outline your exceptions and present a reasonable argument for your alternative language?

• Does your proposal demonstrate that you understand the requirements? Yes, you’re possibly responsive

• Did you ignore our most important requirements as you have “a better way”? Yes, you’re not responsive. A better way should be offered as an option!!

• Did you meet the proposal due date? No, not responsive, but maybe considered upon management approval due to circumstances surrounding submittal.

• Did you comply with Proposal Validity Date? No, not responsive!!