presales, solution design & bid management an overview

Pre-Sales, Solution Design and Bid Management An Overview

Setting the Context…XYZ reports 50% revenue growth and 40% rise in Net Profits during Q1 FY13

Fresh orders of $200mn were secured during the quarter, resulting in $990mn of executable order book over the next 12 months.

Twenty new customers were added in this quarter.

What all does it take to build order-book and bring new business to the company?

Whether it is one single person or a group of persons, who are working tirelessly day in and day out to make sure company is sustainable?

Agenda

1. •Understanding the Sales Cycle

2. •What is Pre-Sales

3. •RFx

4. •Solution Design

5. •Bid Management

Sales CycleIts about………………….

…………………….?

Sales CycleBuyer Considerations………….?

Seller Considerations………….?

Sales Cycle

NAC

O PS

P

Sales Cycle

NAC

O PSuspecting

P

Sales Cycle Suspecting

Generating the sales lead

Marketing Campaigns

Trade Fairs, Industry Forums

Online Marketing, Social Media

Inside Sales Team

S

Sales Cycle

NAC

O Prospecting

Suspecting

P

Sales Cycle Prospecting

Qualifying the sales lead

For a sales lead to qualify as a sales prospect, qualification must be performed and evaluated –

Product Applicability / Fitment of Solution

Ability to afford our solution

Time frame of purchase

S P

Sales Cycle

NAnalysisC

O Prospecting

Suspecting

P

Sales Cycle Analysis

Taking the qualified prospect through a question and answer session to identify the requirements

Help the buyer identify and quantify a business need or a ‘gap’ between where prospect is today and where it want to be in future

SPIN

S P A

Sales Cycle Analysis

SPIN

S P A

Sales Cycle

NAnalysisC

O Prospecting

Suspecting

Proposals

Sales Cycle Proposals

Come up with a business proposal suggesting various products/services that will suffice the need of the prospect

Includes Cost, Schedule and other information

S P A P

Sales Cycle

Negotiation

AnalysisC

O Prospecting

Suspecting

Proposals

Sales Cycle Negotiation

Negotiate the terms set in the business proposal

Pricing (Technique & Amount)

Scope of the Project

Timeline

S P A P N

Sales Cycle

Negotiation

AnalysisClosure

O Prospecting

Suspecting

Proposals

Sales Cycle Closure

Making the actual sale

Getting the Sign-Off / Purchase Order

Getting the SOW signed

S P A P N C

Sales Cycle

Negotiation

AnalysisClosure

Repeat Order Prospecting

Suspecting

Proposals

Sales Cycle repeat Order

Maintaining the relationship with client and brining more orders through

Cross Selling, Other Project Opportunities

Order Renewals

S P A P N C O

Sales Cycle

Negotiation

AnalysisClosure

Repeat Order Prospecting

Suspecting

Proposals

Sales Cycle Hunters

Farmers

Agenda1. •Understanding the Sales Cycle


3. •RFx



Pre-Sales Pre Sales includes the

entire gamut of activities involved in preparing to engage with prospects / clients,

and includes specific responses to client requests

Pre-Sales

Pre-SalesResponding to Client Requests

Responding to RFP, RFI, RFQ

Providing any information to the client, which helps him take the buying decision

General client queries about solutions and capabilities

Responding toClient

Requests

Pre-SalesSupporting Client Visits

Prospects / clients may visit the vendor’s office

To see the vendor’s infrastructure

Gives vendor an opportunity to showcase its capability and do cross-selling

Supporting Client Visit

Responding toClient

Requests

Pre-SalesVisiting Clients

Visiting client for meetings

Due diligence – to get a clear understanding of the requirement

May also include demonstration of Proof-Of-Concepts or product

Solution Presentation to the Client

Visiting Clients


Responding toClient

Requests

Pre-SalesInterfacing with Internal & External Groups to Design Best Fit Solution for Client

Need to interface & coordinate with

Technical Competency Centres

Functional SME

Legal and Financial

Delivery Teams

Recruitment

Third Party / OEMs

Visiting Clients


Interfacing & Coordinating

Responding toClient

Requests

Pre-SalesMarketing Support

For various marketing events, need to support marketing team through

Offering and Capability related documents, brochures and posters

Extended capability (if any) through alliances with other product development firms or niche vendors

Visiting Clients

Marketing Support



Responding toClient

Requests

Pre-SalesCompetitor Analysis & Market Scanning

Clients receive response from multiple vendors, so one must know where does it stand against competition

What is our competition in an industry / for a specific bid opportunity and what are their offerings / differentiators

Market scanning is done through market research reports, analyst reports

Visiting Clients

Marketing Support


Competitor Analysis


Responding toClient

Requests

Pre-Sales

Visiting ClientsMarketing Support


Competitor Analysis


Responding toClient Requests



3. •RFx



RFx RFI / EOI

Request for Information / Expression of Interest

These are usually relatively short documents that ask specific questions about the vendor and services vendor provides

Capability Evaluation

Often used as pre-qualifier to determine which vendors will receive an RFP or RFQ – Vendor Empanelment

RFx RFP

Request for Proposal

These are often lengthy documents that provide detailed information on requirements

functions & workflow, business goals, integration specs, etc

to the vendors so they may propose a solution which meets the Client’s needs and goals

It often includes scope of requirements, pricing requirements, contract terms & conditions, as well as detailed case studies & reference requirements

RFx RFQ

Request for Quotes

Can be part of an RFP or RFI

This is a request for pricing based on what's outlined in the RFI or specified in an RFP, or can be used as a request for ala carte pricing for various service options

RFxRFI , RFP & RFQ

A company can do any one or more of the above, usually in the order shown

Often the RFP may incorporate both the RFI and RFQ as sections of the doc, and also include other evaluation steps such as a demo, proof-of-concept or presentation

A big advantage of using RFI, RFP or RFQ in software evaluation is that it allows vendors to self-eliminate because they can better assess their own chances

This helps the buyer narrow down the choices to the most feasible solutions



3. •RFx



Solution Design

?

Solution Design Effort Estimation

Estimating how much effort it is going to take to complete the project

Various industry standard methodologies are used for effort estimation like FP, WBS, SMC

Given in Person Months

Solution Design Technical Solution

Technical Solution, addressing the client’s requirements

Technology Selection

Technical Architecture

Technology Stack

Licensing / Sizing Information

Infrastructure / Hosting Solution

Compliance to NFR

Open Source Or

Proprietary

Solution Design Functional Solution

Functional Solution, addressing the client’s requirements

Functional Flow

Fitment of any existing frameworks

Compliance to FR

Solution Design Project Execution Methodology

Which Methodology will be followed for project implementation

WaterfallIterativeAgile

Client specified or Vendor recommended methodology

Warranty, Maintenance & Support

Solution Design Project Plan

Timelines to implement the project

Milestones to complete various stages of the project

Activities to be performed and various deliverables

Solution Design Resourcing & Team

Recommended Team structure

Onsite / Offshore composition

Different Roles identified

No of resources for each identified role

Sample CV / Positioning for key roles

Solution Design

?Open Source Or

Proprietary

Solution Design Effort Estimation Technical Solution

Functional Solution

Project Execution Methodology

Project Plan

Resourcing & Team

What goes in a Proposal Executive Summary – Cover Letter

Value Proposition

Understanding of Requirements - Client’s Pain Points

Solution

Vertical & Technical Capability – Accelerators, Case Studies & References

Pricing Vendor Information



3. •RFx



Bid Management Process

Bid QualificationBid Qualification Form

1. Project Name/Bid Title 2. Client name 3. Business Domain (Finance / Insurance / Transport, etc) 4. Type of Request (RFP / RFI / Estimation only) 5. Type of Bid (Please mark X in column)

Custom Software Development Workflow Application Application Support & Maintenance Packaged Software Systems Integration Enterprise Knowledge Solution Legacy Modernization & Maintenance Other:

6. Items required from Offshore (Please mark X in appropriate columns)

Complete Proposal Response to RFI Technical Solution Only Presentation Project Estimates Only Other:

7. Critical Success Factors for winning the Bid

8. What is the Account Managers assessment of the

probability that NIIT will be selected?

9. What is the budget the client has in mind for this assignment?

Bid Qualification

10. Technological preferences of client, if any?

11. General Information Milestone Date RFP/RFI published by Client RFP/RFI sent to Offshore Submission to Client Response needed from Offshore Client briefing (if any) Likely decision by client

12. Main Competitors’

13. Is there a preference for local vendor (Yes/No)? 14. What is Approx. Planned Gross Margin from Sales Team? 15. Any other Information relevant to this bid

16. Name of Account Manager & Geo

Bid Management Process

Bid Team FormationKick-off meeting - Roles and Responsibilities

Understanding Business Problem / Requirement Win Theme – Differentiators, Value proposition

Technical and Functional SolutionExecution ApproachEstimation, Resource Plan

Final Review of Entire proposalSubmission to prospectArchival of proposals

Bid Plan

Deal Strategy Document

Effort & Cost Estimation

Proposal

sReview Cycles

10 tips to prepare a winning proposal

1. Focus on the Customer2. Customize and personalize 3. Define the Solution4. Calculate Benefits--Buyer Value5. Show Non-financial Benefits—Buyer Value6. Describe the Methodology 7. Include Differentiator8. Highlight Business Information More Than Technical Information9. Develop Proposal Standards 10. Ensure the Quality Standards

Proposal Building Tips

Presentation Know your audience Establish the context Include only essentials, from customers perspective Establish a structure (agenda) Ensure a flow, in order of importance Use of mnemonics, pictures, graphs – must be relevant Using the right tone.

◦ Tone is determined by Choice of words, expressions, sentences Modulation Facial expression, body language Voice

“Client buys you first then your company”

Proposal Presentation

http://www.techtour.com/Tours/scottish/01/photoshoot/Presentation%202.JPG

“winning isn’t everything it’s the only

thing”.