The document outlines the essential elements of writing an effective request for proposal (RFP), emphasizing the need for thorough information to guide potential bidders in crafting appropriate responses. Key components include providing company background, project descriptions, requirements, decision criteria, and clear instructions for submissions. It highlights the importance of careful consideration during the RFP stage to prevent costly issues later in the proposal and contract process.

1. 5 LEARNING OBJECTIVE
Identify the elements to include in a request for proposal (RFP).
15.5 Writing Requests for Proposals
When writing an RFP, be sure to give potential respondents all
the information they need in order to craft a meaningful
response to your request.
At some point in your career, you might be the one receiving
proposals, and learning how to request effective proposals will
simplify the process considerably. Various organizations handle
RFPs in different ways. When writing an RFP, remember that it
is more than just a request; it’s an informational report that
provides potential bidders with the information they need to
craft effective proposals. Writing an RFP demands careful
consideration because it starts a process that leads to a
proposal, a contract, and eventually the delivery of a product or
the performance of a service. In other words, mistakes at the
RFP stage can ripple throughout the process and create costly
headaches for everyone involved.
An RFP’s specific content will vary widely from industry to
industry, but all RFPs should include some combination of the
following elements:9
Company background. Give potential bidders some background
information on your organization, your business priorities, and
other information they might need in order to respond in an
informed manner.
Project description. Put your requirements in context; are you
seeking bids for routine supplies or services, or do you need a
major computer system?

2. Requirements. The requirements section should spell out
everything you expect from potential vendors; don’t leave
anything to unstated assumptions. Will potential vendors
provide key equipment, or will you? Will you expect vendors to
work under confidentiality restrictions, such as a nondisclosure
agreement? Who will pay if costs run higher than expected?
Will you require ongoing service or support? Providing this
information can be a lot of work, but again, overlooking
anything at this point is likely to create considerable problems
once the project gets rolling.
CHECKLIST ✓ Producing Formal Reports and Proposals
Prefatory parts
Use your company’s standard report covers, if available.
Include a concise, descriptive title on the cover.
Include a title fly only if you want an extra-formal touch.
On the title page, list (1) report title; (2) name, title, and
address of the group or person who authorized the report; (3)
name, title, and address of the group or person who prepared the
report; and (4) date of submission.
Include a copy of the letter of authorization, if appropriate.
If responding to an RFP, follow its instructions for including a
copy or referring to the RFP by name or tracking number.
Include a letter of transmittal that introduces the report.
Provide a table of contents in outline form, with headings
worded exactly as they appear in the body of the report.

3. Include a list of illustrations if the report contains a large
number of them.
Include a synopsis (brief summary of the report) or an executive
summary (a condensed, “mini” version of the report) for longer
reports.
Text of the report
Draft an introduction that prepares the reader for the content
that follows.
Provide information that supports your conclusions,
recommendations, or proposals in the body of the report.
Don’t overload the body with unnecessary detail.
Close with a summary of your main idea.
Supplementary parts
Use appendixes to provide supplementary information or
supporting evidence.
List in a bibliography any secondary sources you used.
Provide an index if your report contains a large number of terms
or ideas and is likely to be consulted over time.
Decision criteria. Let bidders know how you’ll be making the
decision. Is quality more important than cost? Will you consider
only certain types of vendors or only those that use certain
processes or technologies? Will you entertain bids from
companies that have never worked in your particular industry?
The answers to such questions not only help bidders determine

4. whether they’re right for your project but also help them craft
proposals that meet your needs.
Proposal requirements. Explain exactly what you expect to see
in the proposal itself—which sections, what media, how many
copies, and so on.
Submission and contact information. A well-written RFP
answers most potential questions, and it also tells people when,
where, and how to respond. In addition, effective RFPs always
give bidders the name of a contact within the organization who
can answer detailed questions.
A smart approach to managing RFPs can minimize the work
involved for everyone and maximize the effectiveness of the
RFP. First, identify your decision criteria and then brainstorm
the information you need to measure against those criteria.
Don’t ask bidders to submit information about every aspect of
their operations if such details aren’t relevant to your decision.
Making such unreasonable demands is unfair to bidders, will
unnecessarily complicate your review process, and will
discourage some potentially attractive bidders from responding.
Second, to get quality responses that match your unique
business needs, give bidders plenty of time to respond.
Successful companies are usually busy responding to other
RFPs and working on other projects; you can’t expect them to
drop everything to focus solely on your RFP.
Third, if your company generates numerous RFPs, tracking
proposals can become a full-time job. Consider establishing an
online system for tracking responses automatically.10
REPORT WRITER’S NOTEBOOK
Analyzing a Formal Report

5. images
The report presented in the following pages was prepared by
Linda Moreno, manager of the cost accounting department at
Electrovision, a high-tech company based in Los Gatos,
California. Electrovision’s main product is optical character
recognition equipment, which is used by the U.S. Postal Service
for sorting mail. Moreno’s job is to help analyze the company’s
costs. She has this to say about the background of the report:
For the past three or four years, Electrovision has been on a
roll. Our A-12 optical character reader was a real breakthrough,
and the post office grabbed up as many as we could make. Our
sales and profits kept climbing, and morale was fantastic.
Everybody seemed to think that the good times would last
forever. Unfortunately, everybody was wrong. When the Postal
Service announced that it was postponing all new equipment
purchases because of cuts in its budget, we woke up to the fact
that we are essentially a one-product company with one
customer. At that point, management started scrambling around
looking for ways to cut costs until we could diversify our
business a bit.
The vice president of operations, Dennis McWilliams, asked me
to help identify cost-cutting opportunities in travel and
entertainment. On the basis of his personal observations, he felt
that Electrovision was overly generous in its travel policies and
that we might be able to save a significant amount by
controlling these costs more carefully. My investigation
confirmed his suspicion.
I was reasonably confident that my report would be well
received. I’ve worked with Dennis for several years and know
what he likes: plenty of facts, clearly stated conclusions, and
specific recommendations for what should be done next. I also
knew that my report would be passed on to other Electrovision

6. executives, so I wanted to create a good impression. I wanted
the report to be accurate and thorough, visually appealing,
readable, and appropriate in tone.
When writing the analytical report that follows, Moreno based
the organization on conclusions and recommendations presented
in direct order. The first two sections of the report correspond
to Moreno’s two main conclusions: that Electrovision’s travel
and entertainment costs are too high and that cuts are essential.
The third section presents recommendations for achieving better
control over travel and entertainment expenses. As you review
the report, analyze both the mechanical aspects and the way
Moreno presents her ideas. Be prepared to discuss the way the
various components convey and reinforce the main message.
COMMUNICATION CHALLENGES AT Garage Technology
Ventures
You recently joined Guy Kawasaki and the rest of the team at
Garage Technology Ventures in Palo Alto. Among your
responsibilities is screening executive summaries of business
plans submitted by start-up companies seeking financing.
Review the criteria discussed in the chapter-opening
Communication Close-Up on page 391 to address the following
challenges.
INDIVIDUAL CHALLENGE:You’ve just received an intriguing
executive summary from a start-up company whose technology
reduces the cost of providing Internet service by nearly 30
percent, an amount that would spark interest from just about
every Internet service provider in the world. The financial
projections in the executive summary are realistic—and quite
positive. Even if this investment panned out only half as well as

7. the numbers suggest, it would bring in a sizable amount of cash
when the company eventually goes public. The technological
solution is sound, too; you used to work as a network engineer,
and these people know what they’re doing. There is just one
problem: the submission is entirely anonymous. The document
describes, in vague terms, four experienced technical and
business specialists but doesn’t give their names or their
specific work experiences. A note attached to the plan
apologizes for the secrecy but says the four principals in the
new firm can’t reveal themselves until they get financing and
can therefore leave their current jobs. Do you reject the
submission or pass it on to Kawasaki and the other managing
directors for their consideration? Explain your answer.
TEAM CHALLENGE:Review these “grabs” presented in three
executive summaries. Discuss their strengths and weaknesses
and decide which one of the three you would forward to
Kawasaki and the other directors.
Company A: Pardon our bullish tone, but this is the best
investment opportunity you are likely to see this year. As one of
our board members recently said, we are already on track to
out-Apple Apple and out-Google Google.
Company B: Cooling the huge data centers that power the
Internet costs millions of dollars and consumes massive
amounts of energy. Our low-temperature server technology pays
for itself in less than a year by reducing energy bills and
extending the life of data center hardware.
Company C: Our travel-search website has already proven so
popular that last month we had 140,000 site visitors. By the
way, we have interest from three other investment firms, so our
advice would be to jump on this opportunity!