Business Development for Small Government Contracting Companies

1

A Primer in Business
Development
with Small Businesses in Mind
Tony Sacco
Presented for the Government Technology & Services
Coalition
Emerging Small Business Work Group

2

Objectives for Today
 Help build the knowledge and process components
to successfully bid and win jobs as a PRIME
 Strategies to know when to PRIME, when to SUB
 Address the BD lifecycle from a process
perspective
 Introduce a proven process for the BD life cycle

 Address BD from a relationship perspective
 Answer questions relating to the how and why

3

Who am I?
 Started my career as an engineer
 Joined SAIC when it was a Small Business
 Spent 30 years managing projects and programs
 Spent the last few years supporting sales/ business
development
 SAIC EAGLE PM for 7 years - $1.2B in Task Order
awards
 Mentored over 12 small businesses
 Spent 40 years developing customer relationships

4

Rules of the Road
 The first part of my presentation is about process- a
way to conduct BD through the life cycle
 The second part of the presentation is my opinions
and beliefs developed over a lifetime
 You are encouraged to challenge and express your own

 You will learn by being interactive so please interrupt
and ask questions

5

Semantics
 I will use the following words throughout my
discussion:
 Client
 Customer
 Buyer
 Prospect

 Do they have different meanings to You?

Business Development
Life Cycle
6

Business Development for a process perspective

7

Why Process?

Insanity is continuing to do the same thing and expecting
different results
-

Albert Einstein

Insanity is continuing to do different things and
expecting the same results
- Tony Sacco

8

 Business development is an art not a
science, however it requires a
disciplined approach implemented
over life cycle for it to be successful.

9

BD Life Cycle Phases
 Phase 1 - Opportunity Identification
 Phase 2 – Opportunity Qualification
 Phase 3 – Capture
 Phase 4 – Proposal Development
 Phase 5 - Post Submission
 Phase 6 - Post Award- Account Management

10

Identification Inputs
 What does your org do?:
 Product
 Service
 What does your org want to do?
 What are your organizational goals?
 Account plans
 Strategic initiatives and plans
 Do you have targeted customers?

11

Product or Services?
 A Key focus of BD is to understand what you sell
 Product
 Off-the-shelf
 Development
 Service
 Existing service
 New service
 Sales strategies are different for each!

12

Strategic planning
 Does you organization understand where they are?
 Do they understand what they want to be?
 Do they understand the gaps between the two?
 Do they have a plan to fill the gaps and reach their
goals?
 Are they committed to the plan and willing to invest
the resources to make it happen?
 Without this, growing business is at best
problematical!

ses
ces
Pro

e

Company Characteristics

Pe
opl

13

Tools, Techniques and Past Performance

Vehicles

Clients

14

Branding
 Did your prospect know your organization before you
met?
 Did they know your capabilities?
 Do your peers know about you?
 Have you established vendor/ supplier relationships?
 Are you active in public forums, especially those
involved in your service or product area?
 Has your organization’s service or product been
reviewed, e.g. Gartner Magic Quadrant?
 Have you thought thru a marketing strategy and
implemented it?
 If not then your first call is a cold call that requires you
to do your homework about the customer.

15

Client Focus
 How do your skills, knowledge and experiences align
with a potential customer
 Is your service proposition focused on mission, IT
infrastructure or other support functions?
 Can you address real world concerns, especially
problems that this customer faces?
 Can you tell a story that describes your company’s
approach or other aspects that makes your service
proposition unique?
 Can you address lessons learned, mistakes that were
found and corrected?
 Can you address how your service proposition can best
benefit the customer?

16

How do SBs get started?
 Relationships
 Reputation
 Uniqueness in their service offering
 Technical innovation
 Filling a gap; being there at the right time
 Typically SBs start in a subcontractor role
 No vehicles
 No company past performance

17

Transition challenges for
Small Businesses


Startup with limited or no customer base



First prime contract



First contract with new customer



First Fixed Price or Cost Plus contract



First contract using Subcontractors



Recertification from 8a or other SB classification



Recertification out of SB designation



All require different approaches in identifying new
customers, new sources of revenue

18

Lead generation


Opportunity Leads:


Internal staff



Cold calls



Competitors



Trade Publications



Government Publications (e.g. FBO)



Industry Associations (e.g. GTSC!)



Networking Events



Consultants



Existing Client Relationships



New techniques/processes/products



Government policies/new administration/new initiatives



Draft RFPs/RFIs



Industry Days



Market intelligence companies (e.g. GovWin)



Others????

19

Identification Outputs


Opportunity that is real and that will be funded



Customer has shown a positive attitude toward your org



Discovered that the competitive environment is favorable


No prohibitive favorite or other large obstacle



No OCI implications for your organization



Demonstrated that the opportunity is aligned with your
business plans



Determined that your org has the capabilities for the
opportunity



Defined that the opportunity is feasible to bid and the
estimated ROI is reasonable



Documented your findings in a Opportunity Description



Plan for the resources you need to support the next phase



Received approval for resources needed to at least
complete Qualification Phase (Phase 2)

20

Resources Required
Throughout the Lifecycle
TIME
Identification

Qualification

Capture

Proposal Development

Delivery

21

 Phase 6 - Post Award- Account
Management

22

Qualification Inputs
 Opportunity Description
 Where it fits in your organization’s priority
 Preliminary Analysis of:
 Procurement timeframes
 Customer requirements
 Competitive landscape
 Customer organization
 Customer funding: real or wish list
 Possible solutions/approaches

23

Qualification Processes
 Understand opportunity context
 Align customers goals with internal goals
 Develop understanding of customer org
 Start developing a Capture Plan
 Start developing and executing a Call Plan
 Build momentum/enthusiasm within your org
 Start understanding the competitive landscape
 Address your org weaknesses and possible teaming
 Start developing your win strategy

24

Understand Opportunity
Context
 Is there a level playing field?
 Customers want all viable competitors to bid on
programs
 Customers seem willing to make accommodations to
avoid competitor complaints
 Best time to influence competition is early in the
acquisition stages when customers solicit and
encourage comments
 Customers try to determine what supports a
successful program
 Understand where the opportunity fits in the client’s
overall organization

25

Align Customer’s Goals with
Internal Goals


Focus on customer issues



Assist in technical and programmatic issue resolution



Volunteer technical support





Assist in defining what is feasible

Promote program

As the Customer’s Acquisition Strategy/Plan solidifies



Offer initiatives (demos, etc.) that bias customer in our favor



Comment on scope of work; try to shape it to your advantage





Offer white papers on issues

Assist in crafting solutions to program challenges

Help customer defend plan against other agencies and/or
competitors who want to take on the customer

26

Understand customer organization and
project stakeholders
 Direct Customer and staff
 Managerial and technical staffs
 SETA contractors

 Customer’s leadership organization
 Program executive officers (PEO) and staffs
 Similar directorate-level organizations

 Customer procurement organization
 End users and other stakeholders
 Influencers
 Key technical personnel
 Supporting contractors

 Source Selection Evaluation Board
 Source Selection Authority
 Congress and staff

27

Source Selection
Organization and Hierarchy
Source
Selection
Authority

Decide

Source
Selection
Advisors

Recommend Decision

Compile and Rank

SSEB
Chair

Management
Team

Past
Performance
Team

Technical
Team

Security
Team

Cost
Team

SSEB (Source Selection Evaluation Board) teams typically correspond to
the evaluation criteria.

Score

Start Developing a Capture Plan
28















Opportunity overview
 Discussion of overall acquisition
Win strategies
Procurement Schedule RFIs, RFPs, Submission dates, Award dates
Your company’s capabilities and limitations
 Identify internal and external teaming needs/possible partners
Probable solution
 Probable management (including staffing), technical, and price
solutions
 Possible solution-unique teaming requirements/alternative
solution(s)
Customer analysis
 Probable decision makers, hot buttons, discriminators. budgets
Opportunity Call Plan
Competition analysis
 Potential competitors
 Incumbent influence and considerations
Competitive environment
 Ways to influence customer and shape in your favor
Solution generation
 R&D and other means to create our program solution
Schedule activities with resources, milestones and dependencies
Capture Team Resources and Include events marketing, trade shows,
IR&D, CDR, demos, technical resources (overhead expenditures) through Post Award if possible

Start Developing and
Executing a Call Plan

29


Components:



What you want to find out



Who to go with



When/Where



Messages/demos/ leave behinds



Stress how your solution solves their problem and show
customer benefits




Who to see and why

Who else would they recommend to see

Every encounter should/must include:





What are the next steps
When and who accomplishes them

Make sure every meeting and outcome is documented!

Analyze Call Plan Results
30
 Major Issues/Hot Buttons
 End product and service
 Desires versus requires
 Satisfaction of their customers
 Hidden agendas
 Politics
 Rivalries

 Risks (transition, mission support, etc.)
 Costs/Budgets
 Internal competence
 Funding levels?
 Personal success

 Discriminators - Customer values
 What customer uses to differentiate contractors
 What customer sees as related to major issues
 Where does the customer envision risk and how will you
mitigate it

31

Build Momentum/Enthusiasm
Within Your Org
 Sell the opportunity within your org
 Develop business case
 Why you will win
 What it means to win
 Who is competing?

 Define your needs for continuing pursuit
 Capture manager
 Solutions Architect, Subject Matter Expert, etc.
 Senior Management Support
 Proposal Infrastructure support

 Define Preliminary Probability of Win (Pwin)

32

Start Understanding the
Competition


Real focus is on their strengths and weaknesses



Strengths





Competitor characteristics that customers value
Characteristics that help competitors position to win

Weaknesses





Competitor characteristics that concern the customer
Competitor shortcomings that can lower their evaluation

Blind spots




Look for mistakes the competition may have made in the past

Their branding/image campaign to this customer


What did they do for a similar contract?



Possible teaming strategy



Tools, methods, commitments, investments,
technologies, centers of excellence, etc. relevant to opportunity



Likely program manager and other key personnel



Probable general technical and management approaches and solutions



Possible program costs & competitive pricing – conduct Price to Win


Wrap/Sell rates



Labor rates and discounts

33

Address Your Company’s
Weaknesses & Possible Teaming
 Perform preliminary requirements analysis
 Identify your org’s strengths and weaknesses
 Find gaps
 Identify other org/teams that can fill gaps and
increase Pwin
 Have existing customer relationship
 Demonstrated performance in gap areas
 Can complement rather than compete
 Take competition off the street
 You have had successful teaming past experiences
 Fit within your pricing structure
 Who is best positioned to prime?

 Conduct a SWOT analysis for your team and likely
competitors

Teaming Strategies Exercise
34

New Service

New customer

Existing customer

Existing Service

Teaming Strategies
35

New Service

New customer

Existing customer

Existing Service

Sub

Sub or Prime

Sub or Prime

Prime

36

Start Developing Your Win
Strategy
 Win strategy drives your pursuit
 You can refine it continually through Capture
 4 parts to a win strategy
 What actions do you need to take to win
 Who to hire; investments to make; who to team
with, etc.

 Identify your competitive advantage
 Need to develop clear picture of what you have
that enables you to deliver superior value to the
customer

 Create your value proposition
 Need to develop a clear statement of why
customers should award contract to you

 Identify how you influence the customer
 Includes formal/informal marketing and white
papers
 Continues in earnest into Capture Phase

Qualification Outputs
37


Drafted a preliminary Capture Plan that will support your
pursuit of the opportunity, to include initial identification of
internal and external team members



Discovered key customer players, agendas, hot buttons,
issues, ways to discriminate among competitors, etc.



Profiled likely competitors, their motivation, and general
approaches



Produced white papers to help influence customer
requirements/vet possible solution approaches



Addressed your general program management approach



Determined your competitive advantage and translated it
into a compelling win proposition that drives your win
strategy



Conducted formal and informal marketing to shape the
competition in our favor



Identified and assigned resources to lead next phases



Refined capture and proposal budget estimates for approval

38

Management

39

Capture Inputs
 Draft Plans from Qualification
 Identified Capture and support personnel
 Handoff from BD to Capture
 Pbid and Pwin Assessment
 Pursue gate approval from senior
management

40

Capture Processes
 Update Qualification preliminary documentation
 Refine Win Strategy
 Conduct Price to Win Analysis
 Refine Competitive Environment
 Build Teams
 Finalize solution approaches
 Develop Straw man Proposal
 Analyze/prepare RFI, DRFP, RFP responses
 Conduct Bid/No Bid review

41

Refine Win Strategy
 Understand your discriminators- the parts of your
solution that offer unique benefit to your
customer- better, faster, cheaper, greener
 Understand your weaknesses and how you
intend to correct them
 Develop strategy to attack your competitor’s
weaknesses
 Get done what you said to do to win
 Win strategies must develop win themes that
permeate your proposal and are the basis of
“why you?”

Finalize solution approaches
42


Understand program objectives


Identify operational constraints



Refine understanding of customer/ stakeholder expectations



Develop high-level operational views (system context, SLAs,
risks, etc.)



Define potential solutions


Understand “as is” environment



Understand customer’s target capabilities



Develop and evaluate feasible alternatives



Define and initiate investments (if approved)



Determine customer solution preferences (if possible)



Provide technical support for Capture Team


Define technical Go/No-Go points



Identify technical resources for bid



Develop key milestone schedule



Address risks and mitigation, discriminators, etc.

43

Refine Competitive
Environment
 Conduct a “Black Hat” Review


Quick way for good input on competitor approaches to
procurement



Need participants who understand customer, this job,
and competitors



Companies/consultants specialize is this service

 Complete Competitive Analysis


Revise competitor’s likely approach



Develop likely competitor themes and ghosts



Determine competitor pricing

 Create Detailed Picture of Competitors


Strengths



Likely approaches



Win themes



How they plan to beat You

44

Basis of Estimate


Supports cost realism with rationale for:



Developing a specific estimate



Selecting a specific work history



Similarity between this job and past efforts





Using a particular estimating method

Realism and credibility of an estimate

Provides customer:



Cost realism justification



Basis for fact-finding and negotiation





Your understanding of the project

Baseline for contract changes

Provides you:


Realistic cost build-up and functional buy-in



Baseline to create budgets and manage costs



Cost amount to support competitive decisions



Baseline to manage contract changes



Basis for detailed project plans and responsibilities

45

Conduct a Price to Win
Analysis
 Objective, independent assessment of what price it
takes to win a competition
 Understand competitors approaches and probable
labor rates
 Do a bottom up and top down analysis
 Factor in customer budgets and ICGE, if known
 Gives you some operating points to then decide how
to price an opportunity
 Price to win analysis is usually outsourced; expensive
but can give you a competitive advantage

Develop Straw-man Proposal

46





Create WBS – the “what” of the deal
Create solution approaches – the “how” of the deal
Create OBS – the “who” of the deal







Mapping these three elements forms your solution framework

Create Schedules – the “when” of the deal
Create Basis of Estimate – the “how much” of the deal
Identify Past Performance Success – credibility
Create an Executive Summary – to package and close
the deal that answers the question –
 Why Us?



Make it available to the entire proposal team

47

Analyze Final RFP when
Released












Identify Surprises- If it changes much from the draft and you
don’t know about it may be a no bid
Define document submission requirements
Summarize RFP evaluation criteria
Determine problems presented by RFP
Develop and submit questions to customer for clarification if
allowed
Refine proposal team and resource requirements
Analyze requirements and finalize assignments
Determine differences between draft and final RFPs and
proposals
Define how team proceeds from draft materials to
submission
Direct final proposal design activities
Address issues with your team Final Bid/No Bid discussion

48

Analyzing the RFP














Section A – SF 33
Section B – Pricing Tables
Section C – Statement of Work, PWS, SOO
Section D – Packaging and Marking
Section E – Inspection and Acceptance
Section F – Deliveries or Performance (POP)
Section G – Contract Administration Data
Section H – Special Contract Provisions
Section I – FAR Provisions
Section J – List of Attachments
Section K – Representations and Certifications
Section L – Proposal Preparation Instructions
Section M – Evaluation Factors for Award

49

Capture Outputs


Updated capture plan to ensure you have aligned the right
internal & external resources needed to win



Gained a more detailed view of our competitors’
approaches, pricing, possible ghosts and indicators of
actions they may take



Developed detailed baseline program solutions and
approaches that contain your probable discriminators



Generated a win strategy that will score well against
evaluation criteria since its discriminators and themes
address key customer issues



Determined the pricing strategy that can win and supported
that strategy with the right details



Created your proposal straw man



Received approval to initiate proposal development

51

 Phase 6 - Post Award- Account Management

Proposal Development Processes
53

 Identification and Qualification: Customer
Identification, Desires and Hot Buttons
 Capture: Figuring Out How to Win
 Proposal Development: Preparing the
Compelling and Compliant Sales Document

54

Compliant vs. Compelling
 Compliant
 Section L and Section M
 Make your proposal easy to evaluate
 Compliance matrix helps

 Compelling
 Substantiation for every assertion
 Win themes are addressed and easy to find
 DRIVES HOME “why us?”

55

Phase 4: Proposal
Development
Phase 4
Proposal

J9461-BDO-105

56

What about Task Orders?
 Found under IDIQ vehicles
 Typically competitive
 RESPONSE TIME - one to three weeks
 Have a streamlined process in place
 Consolidate reviews
 DO NOT ELIMINATE CAPTURE – Don’t waste your
time and money on Bluebirds!
 Very rarely a surprise to you doesn’t mean all
competitors are surprised
 If you are not ready to create a winning prop - No BID
 Be wary of wired procurements

 Work with your customer to insure they issue RFIs
and DRFPs. Convince them that a accurate forecast
fosters competition.

57

What Comprises a Typical
Proposal
 Technical Volume – Your approach and
solution to the RFP
 Management Volume – How you will
manage the solution
 Cost Volume – What are your prices
 Past Performance – Relevant experience
 Others ?

58

Proposal Organization
Capture
Manager

Pricing
Lead

Proposal
Manager

Review
Team Lead

Proposal
Coordinator

Book Bosses /
Volume Leads

Resume
Lead

Proposal
Writers

Resume
Writers

Production

Past Performance
Lead

Past Perf.
Writers

59

How Does a SB Find Resources?
 Proposal Development involves specific skills over
typically a short duration
 How can you acquire resources:
 Work DL after hours
 Work everyone after hours
 Outsource:
 Pricing?
 Proposal Management?
 Production and graphics?
 Writers: technical, resumes, past performance ?
 Independent reviewers?

Proposal Team Responsibilities

60

Proposal Manager Must Do’s
Understand RFP


Develop outline and allocate
requirements



Enforce compliance



Keep team focused on win
strategies, themes, and review
team comments

Manage Resources Effectively
Help team members succeed
Integrate Efforts of Entire Team
Conduct daily status meetings
Facilitate team communication
Reinforce team ownership of
entire proposal

Maintain Commitments


Adhere to proposal contract



Enforce schedule

Involve Line Management
in Decision-making

61

Major Team Responsibilities
(cont.)
Pricing Lead

Production

Responsible for
implementing Price-to-Win
strategy



Responsible for quality of final
delivered product



Graphics and text processing

Review Team Lead



Editing

Responsible for assembling
and conducting proposal
reviews



Production

Program / Solution Manager

 Comprehensive



Responsible for proposed solution

 Constructive



Technical and management
approaches



Win strategy implemented into
themes and discriminators

 Consistent
 Validation of strategy,
content, compliance



Basis of estimate (BOE)

62

Compliance Management
 Requirements begin with RFP decomposition
 Outline based on Instructions to Offeror
 Every requirement mapped to specific location in
outline
 Writers given exact text of requirements to be
covered in their sections
 Guides proposal development and writing
 Ensures every requirement is covered

 Reviewers given same mapping as writers
 Final product includes compliance matrix
Customers want compliance—Answer their questions in their order

63

Strategies, Themes, and Specific
Sections
 Strategy and Theme Development
 Outlines for each volume
 Features and Benefits
 Selected Sections
 Executive Summary
 Resumes

Definitions
BASIC
THEME

Major point of disclosure or emphasis or strength that
supports why the customer should choose you and not your
competitors (customer-driven; e.g., exceeding customer
expectations)

HOT
BUTTON

Issue or bias that can trigger an emotional response, either
negatively or positively, from key customer decision makers

COMMON
THEME

Theme that is common to all competitors (still customer-driven
—derived from the customer’s requirements and wish list)

DISCRIMIN- Theme that cannot be claimed by every competitor. These are
contractor-driven—derived from your strengths and
ATOR
weaknesses (still tied to customer expectations)

GHOST

Theme designed to neutralize a competitor. These are
competitor-driven—derived from the competitions’ strengths
and weaknesses and require that you know the competition
(still tied to customer expectations)

Discriminators Answer Two
Critical Questions

65


What’s different about You? (Your Features)


Discriminators are tangible characteristics unique to a
competing firm



Discriminators identify
 Our strengths versus the competitors’weaknesses
 Our weaknesses versus the competitors’strengths
 Even playing fields – both strong or both weak



Why buy from You? (Your Benefits)


Discriminators respond to the client’s needs and issues –
concerns, hopes, biases, opinions, experiences, etc.



The discrimination process helps us
 Highlight our strengths
 Neutralize our weaknesses
 Counter the competitors’strengths
 Ghost the competitors’ weaknesses
 Stress low risk approach

66

Themes
1. Assertion


What we want the customer to believe

1. Benefit


Why this benefits the customer

1. Substantiation


What we have to demonstrate in the proposal to
have the customer believe the assertion

67

Sample Theme Template
 Example Theme
 Assertion

We are able to retain personnel in highly competitive
positions

 Benefit

Reduced need to train new personnel means more efficient
support to customer

 Substantiation
 Graphic providing retention statistics for past six years;
focus on hard-to-find skill sets, e.g., IT, biopharmaceutical
 Graphic showing how we retained 1,330 incumbent
personnel at original transition of this contract from previous
contractor
 Graphic comparing our retention history with this customer to
that for local community (or other appropriate statistic)

68

Characteristics of Bad
Themes
 Un-validated assertions; no “because…”
 Use of clichés
 “Unique”
 “Unmatched”
 “Our proven…”

 Emphasize something irrelevant to “why select us”
 Claim as “unique,” but is something other bidders
can claim
 Wordy, rambling
 Not substantiated by data or examples in different
sections

69

Characteristics of Good
Themes
 Short, tightly worded, single focus, action
statement
 Structure includes all 3 parts (sequence can
vary)
 Assertion
 Benefit to customer
 Substantiation
 Tie to the evaluation criteria and/or hot buttons
for the section where they appear

70

Executive Summary
Contents
 Top level description of our solution/approach
 Statement of high-level proposal themes
 Summary of best-value case
 Description of companies on team and what they
offer
 Compelling answer to the question “Why us?” tied to
benefits to the customer
 May include:
 Road map to proposal
 Major proposal graphics

The Challenge of Resumes
71
 Typically resumes are most under-appreciated part of
proposal response
 Everyone has a resume
 Just needs a little updating

 Lessons Learned
 Plan ahead
 Do NOT employ a traditional chronological resume –
tailor so that it is clear the person meets or exceeds the
customer’s requirements
 Do NOT rely on the person him/herself to develop the
final resume – employ an expert resume writer

Pricing Strategy
73
 Try to identify customer budgets, IGCE
 Understand your Basis of Estimate
 Use benchmarks wherever possible
 Understand your risks – price accordingly
 Know the difference between Cost/Price
 Don’t make assumptions for option years that may
increase costs!
 Attempt to understand competition price points
 Review price to win analysis
 Decide what profit you want for the risk you take

What about LPTA?
74
 Typically used when commodity products or services
are procured
 Budget pressures forcing more wide-spread use
 Strategy:
 Prepare a just compliant proposal
 Assess risk, understand your costs!
 Consider where you can cut your price
 Offer alternatives to lower your cost, if possible

 Some SBs thrive in this environment, but I think to
embrace LPTA is a going-out–of-business strategy

75

Phase 4: Proposal
Development
Phase 4
Proposal

J9461-BDO-105

76

Management

77

Post Submission Inputs
 A completed and submitted proposal
 Technical
 Management
 Price
 Past Performance

78

Post Submission Processes





Preparation for/delivery of Orals/Demonstrations
Respond to Customer Questions (CR and DR)
Preparation of BAFO
Complete negotiations
 Customer
 Subcontractors






Operationalize Transition Planning/startup
Complete/resolve proposal promises
Implement change management
Start building the delivery team

Post Submission Outputs
79
 Delivering the proposal does NOT mean “it’s all over”
 You must develop convincing, compliant answers to
all CR and DR


This is not the time to completely revise your solution or
approach



You may be able to incorporate some
updated/enhanced offerings

 Implemented plans for transition and contract startup
 Infrastructure, organization, and procedures to
support successful negotiations are identified
 Staffing/Resource Commitments
 Win or lose you must move on to Phase 6!

80

 Phase 6 – Post Award – Account Management

81

Post Award Inputs
 Contract Award

82

Post Award Processes (Win)
 Have a celebration!!!!
 Ask for a debrief
 Complete contract documentation
 Deliver initial documentation
 Finalize organization/staffing
 Initiate program startup activities/infrastructure
 Execute, execute, execute!
 Conduct Kick-off – customers/internal and external
stakeholders
 Develop lessons learned – what worked/what didn’t
 Remember if you fail, your customer fails
 Manage for a win-win
 Start/resume client account management activities

83

Post Award Processes (Loss)

 Acknowledge and recognize the team
 Request/Attend customer debrief
 Gather intelligence on the “real reason”
 Review courses of action
 Develop lessons learned
 Demonstrate commitment to client
 Account Management – uncover the next one!

84

What to Ask for in Debriefs
 What did evaluators like or dislike?
 Where we COMPLIANT?
 Where perceived risks addressed?
 Was our technical approach clear; risks addressed
and mitigated?
 Was our management approach, including key
personnel and schedule, appropriate?
 Were our staffing, startup and transition plans
comprehensive and did they address risk and
mitigations?
 Did we score well in past performance?
 Was our price competitive?
 Request to have the debrief face to face

Account Management
85
 Separate from Program Management
 Account management = Relationship management
 Care and feeding of the client
 Maintain contact with all external stakeholders
 Identify new hot buttons/concerns
 Know what is going on in your clients organization
 Support/defend program
 Monitor performance and customer feedback
 Work the next opportunity
 Update and maintain in your Account Plan

86

Elements of a Good Account
Plan
 Client facts – org, mission, strategic vision, etc.
 Client movers and shakers
 Major problems/major initiatives
 Budget and funding forecasts
 Time Phased Opportunity scale
 Your strategic vision and roadmap for the account
 Call plan
 Resource requirements-people, technology, tools
 Accuracy and currency

87

Post Award Outputs
 Account Management
 Start the BD process over again
 Updated Account Plan
 And as a sidebar – Deliver what you promised!

Summary Business
Development Process

88

Opportunity
Identification

• Decision

to Seek
Opportunity

Opportunity
Qualification

Capture

• Opportunity • Pursue–
Selection
Review

No Pursue
Review

Proposal

PostSubmission

• Proposal

Readiness
Review

Key Gate Reviews that move opportunity from Identification
(Phase 1) into Proposal (Phase 4)

J9461-BDO-102

PostAward

89

Resources Required
throughout the Lifecycle

Identification

Qualification

Capture

Proposal Development

EXECUTION






TIME
Knowledge
Solution
Pwin

90

Summary of Leadership
Roles
 Sales/BD “owns” the client relationship
 Capture “owns” wining the opportunity
 Solution Architect “owns” the technical solution
 Proposal manager “owns” producing the Proposal
 Book Bosses “own” their volumes
 Program Manager “owns” the delivery team

Winning an opportunity
is a TEAM effort

92

Process Summary
Insanity is continuing to do different things and expecting
the same results
- Tony Sacco
Develop a process that works for your organization and
commit to continuous improvement while maintaining
awareness for your team

Business Development from
a relationship perspective
93

Customers don’t buy from someone they don’t trust

94

BD is a Process and Not an
Outcome


TEXTBOOK DEFINITION:
“BD is a series of planned activities designed to develop
awareness, credibility, perception of quality, and belief that your
organization is the right one to satisfy their requirements”



There is no single magic activity that will convince your
customer to buy from you. However, when properly leveraged
and executed, BD can pave the way for establishing a
relationship with a new customer.



Example: You see a dozen commercials for a car but you
probably wouldn’t buy that car just because you have seen the
commercials. Conversely, when you are ready to buy a car,
would you buy one you have never heard of?

95

Business Development Occurs in
3 Phases
1.

Marketing


Focuses on finding a qualified prospect - a client with
money who plans to spend it on services we can provide



This includes


Understand with your value proposition



Understanding long term business strategy



Identifying leads from conversations



Exploring and Qualifying business opportunities



Developing Capture strategies

96

Business Development Occurs in
3 Phases
2.

Selling and Capturing


Focuses on converting the qualified prospect into a client



This includes:


Understanding buyer needs in depth



Performing a competitive analysis



Knowledge of what you sell



Developing discriminators and win themes



Vetting the proposed solution options



Influencing the customer on why you



Closing the deal!

97

Business development occurs in
3 phases
3. Post Sales- Account management
 View the client as an organization
 Understand strategic and tactical goals
 Find the organizational thought leaders
 Go beyond addressing your capabilities
 Identify where the skeletons lie
 Address/ monitor current business and customers
 Maintain your account plan!

98

Market Analysis – Where are you?
and where should you grow?
Existing
Client

New
Client

Existing •Highest ROI
•High Probability
Work

New
Work

•Lowest ROI
•Low Probability

99

Building, Maintaining and Expanding Client
Relationships – the Key to Effective BD


Building Relationships




Maintaining Relationships




To sell additional work to current clients

People do business with people they trust.






To stay positioned for opportunities with past clients and industry
contacts

Expanding Relationships




To sell work to potential new clients (prospects)

People do business with people they have a trusting relationship.
And
relationships are built over a period of time.
Relationships are not built by marketing calls or Industry days.

AM should be the coach, mentor and cheerleader to inspire
your organization to create and keep customers.

100

Face-to-Face Meetings –
the best way to get information


Clients are the best source of accurate information



They can provide information that outsiders cannot





They are the closest to the daily shifts of the opportunity

Their body language is often just as important as what they tell
you

The client representative you meet may have one or more
“buyer roles”



End User



Supporting organizations





Decision maker

Contracts/Counsel

The role of the client representative impacts


The type of information you obtain



The slant on the information provided

Make a Better Marketing Call
101


During exploration, the focus of your marketing calls is on:
 Building relationship with the client




Gaining information for decision making

Initial meeting:
 Have a good “elevator speech”



Bring SMEs to help establish credibility




Choose a subject or issue your client raised
Address how you worked the issue in the past, and lessons
learned

Always, Always set up for the next call
 Offer to have special planning or brainstorming session and
bring in other experts; act as the “trusted advisor”
 Bring in an expert for a session on “Where is the Technology
going?”
 Create a follow-on need by discussing your client’s future
vision and strategy, and by solving root problems rather than
symptoms

102

Elements Of a Good Elevator
Speech
 Who you are and what is your organization
 What your organization does
 What differentiates you from the competition
 How can you help your customer
 Keep it crisp
 Or in other words: How do you offer value, benefit to
the client and quality?

103

Understand the client’s needs –
so you offer the benefits they want




Uncover the client’s real needs, wants, and desires – many of
which may not appear in the upcoming RFP
Start with the qualities the typical client usually wants


A relationship built on trust, founded on chemistry and rapport,
characterized by understanding and assurance



Confidence in our willingness to serve them – to put them first, be
there when they need us, answer unanticipated questions



A solution to their problem that is faster, better, cheaper, safer and
greener



Expertise and providing the right people at the right time
Innovation



The above five qualities are a given – in addition to the above
there may be other driving wants and needs and desires that may
need to be met – Find out what they are and address them in your
proposal

104

Government is Risk Adverse!
 Clients, especially Government clients, are risk
averse
 They choose the path of least resistance
 They don’t want to fail
 Ever heard the term –You can’t go wrong with IBM!
 You must demonstrate why you are the low risk solution
 You must demonstrate how you identify and manage risk

Clients will always choose the organization they trust will
deliver what they want/need/require
If they don’t have trust in you they won’t have trust in your
organization

105

Be Mindful of Ways to
Influence the Procurement


Use calls to help SHAPE the requirement


Present your views on what it will take to make the program a
success



Link your views on success to your unique qualifications



Influence evaluation criteria to play to your strengths



Influence the procurement methodology – e.g. best value vs.
lowest cost technically acceptable bidder



White papers that address aspects of your approach



Identify and reach out to as many stakeholders



Effective responses to RFIs and draft RFPs can also build positive
perceptions … and dramatically affect aspects of the final RFP
(proposal format, scope of work, evaluation factors and weights)

106

Rhetoric Quiz
 Name the last five Heisman trophy
winners
 Name the last half dozen Academy
Award winners for best director
 Name the last four CIOs at DHS
 Name all the hopefuls that ran in the
republican primaries for the 2012
Presidential election
 How many gold metals did USA win in
the London Summer Olympics?

107

The Point
 These are no second-rate achievers. They are
the best in their fields.
 None of us remember the headliners of
yesterday.
 The applause dies. Awards tarnish.
Achievements are forgotten. Accolades and
certificates are buried with their owners.
 What can you do for your client’s to solve their
problems now and in the future –
is what really counts!

108

Rhetoric Quiz - Two
 Identify a teacher who inspired you in high
school
 Name three friends who have helped you
through a difficult time
 Think of a boss who motivated you to achieve
 Name someone who made you feel
appreciated and special
 Think of five people you enjoy spending time
with

109

The Lesson in BD


The people who make a difference in your life are not the ones with the
most credentials, the most money, or the most awards. They are the
ones that care.




Customers do not care what you know until they know that you care.
Customers do not care what you know until they know that you care.



People like to do business with people who care.
People like to do business with people they trust.
People give business to people who help.
People give business to those who follow through and deliver.



Example – My High School Science teacher



If you understand this, you will be successful in Business Development.

110

Secrets to Success in











Do your Homework- Know your client’s business
and problems they are having
Have Face to Face meetings with your client
Listen, Listen, Listen
Know what you are selling
Be realistic on whether to sub or prime
Know your competition and your discriminators
Be genuine in caring about your client’s needs
Test out approaches/solutions with your client-help
shape procurement to favor your approach
Respond to the formal RFP with a compelling,
compliant and value solution/ approach
Never give up!!!

111

Contact Information
 Tony Sacco
 Project Insights LLC
 Email: tonysacco45@yahoo.com
 Cell: 703 919-4111
 Government Technology & Services
Coalition
 www.GTSCoalition.com

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