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PROPOSALS

Course: Business Communication (5002)


Dated: 01/04/2021
Submitted To: Shah Farrukh
Submitted By: Muhammad Waqas
Roll No. CC506500
Level: MSC Administrative Sciences
Semester: Autumn-2020
Acknowledgements

Innumerable thanks to “The Almighty Allah”, the merciful and the source of all knowledge and
wisdom. Who bestowed upon me health, thoughts, talented teachers, opportunities and power of
communication and Darud on His Prophet Muhammad (SAW), who gave me enough courage to
complete this task? Words are few in honor of Chairman, Department of Education, Allama
Iqbal Open University Islamabad, for his support and facilitation on the right time to complete
my research work.

I owe heartiest gratitude and deep sense of obligation to may supervisor, Allama Iqbal Open
University Islamabad for her consistent encouragement, constructive criticism, inspiring
guidance, ever friendly and loving attitude and immense cooperation at various stages whenever
I needed her guidance without which this piece of research would not have been accomplished.

It is a great privilege for me in record my hearties and my sincere thanks to my class fellows for
their energetic cooperation and help in this study. It is a great pleasure for me to record my
profound appreciation to my friends, who in true sense of words are a precious blessing of Allah
for me. I whole heartedly acknowledge them for their sincerity, affection, support and guidance.

Last but not least, I am grateful from core of my heart to my loving parents and their financial
and interpersonal support who always pray for my health and brilliant future. I wish to thank to
everyone who helped me a lot to make this work reality.

Abstract

Business communication proposals for the most part an informational presentation, the ultimate
goal of the proposal. It can outline the details of a project proposal or design, document and
analyze experimental results, advocate a course of action based on available data, and verify and
assess the results of other formal studies. A business communication proposal offers a number of
advantages for the reader and the researcher, all of which hinge on its basic characteristics.

My topic is to present a business proposal on any of the company, therefore I had select
DESCON Company works as a largest contractor deals in construction oil and gas exploration in
Pakistan. In the research process, it has been found that the potential is available in contraction
field due to upcoming projects likes CPEC, Naya Pakistan Housing, etc.

DESCON has the ability to capture this opportunity nationwide with its experience management
and its own machinery.
pg. 1
Table Of Contents
1. Introduction to the topic...................................................................................................................3
Types of proposals...................................................................................................................................3
Proposal request (RFP)............................................................................................................................3
Bid invitation (IFB)...................................................................................................................................3
Information request (RFI)........................................................................................................................3
Proposal for formal application...............................................................................................................4
Unsolicited proposal................................................................................................................................4
Formally solicited proposals....................................................................................................................4
Informally solicited business proposal.....................................................................................................4
Managing business proposals..................................................................................................................4
The Process of Proposal Management....................................................................................................5
2. Practical Study of Organization:......................................................................................................5
i. Introduction of Organization:.......................................................................................................5
Register interest......................................................................................................................................7
Attend tender information sessions........................................................................................................7
Develop tender response strategy..........................................................................................................7
Compiling the Bid....................................................................................................................................7
Understand the payment terms..............................................................................................................7
Checking and submitting the Bid.............................................................................................................8
Presentation of bid..................................................................................................................................8
Request a debriefing................................................................................................................................8
3. SWOT Analysis:................................................................................................................................8
Strengths.................................................................................................................................................8
Weaknesses.............................................................................................................................................9
Opportunities..........................................................................................................................................9
Threats.....................................................................................................................................................9
4. Conclusion & Recommendations:....................................................................................................9
5. References........................................................................................................................................10

1. Introduction to the topic


A term of business proposal is a written offer from a seller to a prospective buyer. Business
proposals are often a key step in the complex sale process i.e., whenever a buyer considers more
than price in a purchase.

pg. 2
A proposal puts the buyer’s requirements in a context that favors the seller’s products and
services and educates the buyers about the capabilities of the seller in satisfying their needs.
Types of proposals
There are three distinct categories of business proposals:
 Formally solicited
 Informally solicited
 Unsolicited
Solicited proposals are written in response to published requirements, contained in a request for
proposal (RFP), request for quotation (RFQ), invitation for bid (IFB), or a request for
information (RFI).
Proposal request (RFP)
RFPs provide specific details of what the customer wants and sometimes include indications for
preparing the proposal, as well as the evaluation process the customer will use to evaluate the
offer. Customers issue RFPs where their needs can be met with products or services that are
commonly available. RFIs are issued to suit vendors who are interested in providing services /
products for specific needs. Based on the response to RFI, detailed RFP is provided to qualified
vendors by an organization that it believes can provide the required services. Suggestions that
respond to RFPs are usually less than 10 pages and sometimes up to 1,000 pages, excluding cost
data. Request for quotation (RFQ)
Customers issue RFQs when they want to purchase large quantities of goods and the price is not
the end of the matter - for example, if availability or delivery or service is a consideration. RFQs
can be described in detail, so suggestions written to RFQs may be longer but are usually much
shorter than the RFP proposal. RFQ recommendations contain cost data, with brief histories
addressing customer issues, such as quality control.
Bid invitation (IFB)
Customers issue IFBs when you buy something, such as construction. The requirements are
detailed, but the main consideration is price. For example, a customer offers building plans that
contractors can bid on. These proposals may be longer but the greater length comes from cost
estimates and detailed schedules.
Information request (RFI)
In some cases before the customer issues an RFP or RFQ or IFB, the customer will issue a
Request for Information (RFI). RFI’s goal is to acquire “marketing intelligence” in terms of
which products, services, and vendors are available. RFIs are used to formulate final RFPs,
RFQs, and IFBs, so potential vendors are very careful in responding to these requests, hoping to
create a final legal application for their products or services.
Proposal for formal application

pg. 3
Legally requested proposals are often the result of negotiated discussions between the seller and
the potential buyer. The customer is interested enough in a product or service to request a
suggestion. Usually, the customer does not ask for competitive proposals from other vendors.
This type of suggestion is known as a single source proposal. There are no legal requirements for
response. But they prefer good product quality.
Unsolicited proposal
Unsolicited suggestions are marketing brochures. They are always common, with no direct link
between customer needs or specific needs. Vendors use them to present a product or service to a
potential buyer. They are often used as "leave-backs" at the end of initial customer meetings or
"empowerment" at trade shows or other public meetings. It is not intended to close the sale, just
introduce the possibility of sale.
Formally solicited proposals
1. Requirements Matrix, which matches customer requirements with the paragraph and page
numbers of where those requirements are addressed in the proposal.
2. Executive Summary, which outlines the primary benefits of the vendor's solutions to the
customer's requirements
3. Technical Volume, which demonstrates how each requirement will be met
4. Management Volume, which describes how the program will be managed
5. Cost Volume, which provides all costing data, as well as implementation plans and
schedules
Informally solicited business proposal
1. A description of the seller's capabilities or products
2. A discussion of key issues
3. A description of the buyer's specifications and how they will be met
4. The cost of the offering
5. A schedule for delivery of the products or services
6. Proof of prior experience i.e. Testimonials from previous customers, Descriptions of
previous project
Managing business proposals
Managing proposals poses a huge challenge for marketing and marketing teams. Many
established management systems are not ready to deal with the wide range of problems
associated with the production and delivery of proposals. In these cases, organizations often rely
on disbursements by appointing a proposal manager to support their proposal development
needs.

The Process of Proposal Management

pg. 4
Proposal management is an inherently collaborative process. It often consists of the following
basic roles and responsibilities:
 Creator – responsible for creating and editing content.
 Editor – responsible for tuning the content message and the style of delivery, including
translation and localization.
 Publisher – responsible for releasing the content for use.
 Administrator – responsible for managing access permissions to documents and files,
usually accomplished by assigning access rights to user groups or roles.
 Consumer or viewer – the person who reads or otherwise takes in content after it is
published or shared.
Increasingly, the term proposal management is used to suggest that participation in the proposal
process is more important than just the marketing team, and should also affect those involved in
marketing, legal, and marketing.
Some authors refer to key sections in the proposal management process using color codes to
indicate landmark reviews, for example black hat reviews. The Association of Proposal
Management Professionals (APMP) refers to the black hat review as an independent review of
strategies and suggestions that may be passed on by competitors. According to Carl Dickson of
the Capture Planning website, a review of black hats should tell the organization which
competitors are stronger in their weak spots and which ones are weaker where they are strong, so
it can also be used to determine if working with one rival organization can be a viable proposal.
Other colors are used in relation to groups: the pre-writing review review is sometimes referred
to as the "Pink Team", the official review can be called the "Red Team", and the term "Golden
Team" indicates a previous post review. Dickson notes that these terms are not defined
consistently.
Accompanying the process of managing the proposal is the decision of whether to send a bid,
which is supported by a catch-up plan.
There is also a tendency to use suggestion management software, which allows users to create
suggestions quickly and easily, collaborate with team members, track and analyze customer
engagement.
2. Practical Study of Organization
i. Introduction of Organization

The journey began forty one years


ago, in a five hundred square feet office space
at Lahore’s historical WAPDA house. We
had a vision to embark on a journey to create
Pakistan’s leading engineering enterprise.
Over the years, the spirit of our founders
inspired our people to not just achieve the

pg. 5
ordinary but the extraordinary. This belief became the foundation of Pakistan’s
leading multinational conglomerate; Descon.

Descon’s global presence spreads across United Arab Emirates, Saudi Arabia, Oman and
Qatar from where new ventures are executed in Kuwait, Iraq and Egypt. The development and
manufacturing of industrial process equipment and piping spool takes effect from our state-of-
the-art plant. The strength of our experienced project team carrying operations have the essential
ISO, OHSAS and ASME certifications in addition to our own QA & QC and HSE standards.

Today, Descon owns and operates chemical and power plants, with allied interests in inspection
and testing. Descon Chemicals Business comprises of Descon Oxychem Limited. Our Power
Business takes shape in the form of Descon Power Solutions (DPS), providing power plant
operations and maintenance (O&M) services for thermal and renewable power plants in
Pakistan. Descon also owns two Independent Power Plants (IPPs), Altern Energy Limited, 32
MW gas based power plant and Rousch (Pakistan) Power Limited, a 450 MW combined cycle
power plant.

As part of our Corporate Social Responsibility, Descon takes immense pride in educating
underprivileged youth, keen to acquire technical skills and improving their livelihood through
the Descon Technical Institute. DTI also provides vocational trainings to young aspiring
students.

Driven by a set vision and commitment, Descon strives to add value to our clients' businesses by
providing world-class solutions at cost-effective levels.

Recent Major Projects in Pakistan

pg. 6
Tender Process

Tender processes in the government sector share many common elements. What follows is an
overview of the main steps that the DESCON take to prepare a competitive tender.

Register interest

Descon follows the instructions in the tender document to register interest with the purchasing
agency. This important step always help us to keep up to date on any tender information
sessions.

Attend tender information sessions

Attending tender information sessions that are offered by the clients are always perform valuable
opportunities to ask questions and make contact with the agency. This may also give the
company a chance to meet potential subcontractors or make contacts that could participate in a
consortium. Government agencies are also usually under no obligation to otherwise make
available copies of information, presentations, etc., that may be given at an information session.

Develop tender response strategy

Descon plans the tender response very carefully and consider the requirements and resources
involved. For example:

 How much will it cost to prepare the tender?


 What information do we need to gather?
 What resources will we need to fulfil the contract?
 Who will manage the tender project?
 How will we plan the workload, assign the work required, schedule the meetings?
 Who is our competition and what are our chances of winning?
 What is our plan for marketing our products and services and pitching our business?

Compiling the Bid


Creating the bid requires customized our business plan to highlight how our company is able to
fulfill the bid request. Consider the costs of materials, time frame and labor needed to complete
the bid. Remember that a bid is not always given to the lowest price but is given instead to the
company best able of serving the needs of the bid. Go through the costs, make sure they are
accurate and justify the costs, based on project needs. Be clear as to whether you are providing
discount or premium services and why that is beneficial for the project.

Understand the payment terms

When putting tender, Descon makes sure to be aware of the payment schedule specified.
Government payment schedules will vary from agency to agency and procurement to
procurement.
pg. 7
pg. 8
Checking and submitting the Bid
Before submitting the proposal Descon Engineers makes sure to check proposal carefully. It uses
a checklist to make sure the bid meets all the requirements (some tenders will include a checklist
that you can also use and if not it may be added personally).

Presentation of bid
Tender panels responsible for high-value contracts may request a formal presentation from
bidders.
If the company need to present the offer to an evaluation panel, stay focused on the key messages
in your proposal. Most importantly, prepare. Plan your presentation carefully.
DESCON owns the highly professional engineers who presents the bid in a very professional
way.

Request a debriefing
DESCON always request a debriefing on the tender after the process, especially if your bid is
unsuccessful. Feedback from the evaluation panel can be extremely useful in understanding how
their offering can be improved and can assist them in preparing for their next tender. Look for
ways to improve their next bid.

3. SWOT Analysis:
“The analysis of an organization’s strengths, weaknesses, opportunities and threats.”

 Strengths
 Project Portfolio
 Diversified Service Offerings
 Industry Recognitions
 In Descon, strengths are different for different disciplines.
 In case of a controlling manager of the company, the engineering controlling system is
his strength.
 In case of the overall company, piping is the strength.
 And in case of the country, the company is one of Pakistan’s biggest oil and gas company
using the latest tools and technology for implementing projects. Descon is a very
professional and quality conscious company regionally with one of the fastest
development rates.

Weaknesses
Weaknesses are vary according to situations and project to project. The main weaknesses are:

 Lack of ownership.
 Legal Proceedings
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Opportunities
 New Projects
 Growth Prospects: Petrochemical Market
 Growth Prospects: GCC Region
 Opportunities are a lot in the oil and gas sector as it has much demand. The company is
trying to diversify its experience as growth is sustainable. To increase professionalism, it
is necessary to admit your mistakes and improve accordingly. Descon also believes that
every problem is an opportunity for them.

Threats
 Increasing Competition for Infrastructure Projects
 Cost Overruns
 Rising Raw Material Costs

4. Conclusion & Recommendations:


The DESCON is a nationwide leading construction company and has limited restrictions
to work for country and for itself. There is a lot of opportunity to capture the overall market to
increase the net overall turnover.
I’ll recommend that DESCON management should diversify its work and make some
serious concerns to their projects.

5. References
i. https://www.descon.com/
ii. https://www.scribd.com/document
iii. https://ieeexplore.ieee.org/
iv. https://www.academia.edu/
v. https://en.wikipedia.org/wiki/Category:Wikipedia_proposals

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