PROJ598—Contract and Procurement ManagementYou have to make .docx

PROJ598—Contract and Procurement Management
You have to make only red Color indication part:-
RFP Template:
Template notes:
The formats of RFPs used by companies and government
agencies are seldom the same. The organization of the technical,
management, and commercial information included in RFPs
varies. There are six commonly used sections of information
that procurement groups include in RFPs. We will use these
sixsections as a template for your RFPs.
1. Instructions to Bidders
2. Description of Work
3. Proposal
4. Specifications and Drawings
5. Special Conditions
6. General Conditions and Contract Agreement
The Instructions to Bidders section provides sufficient
information to bidders to allow them to prepare a responsive bid
proposal. Most of this information is not required in the final
contract for the work. The information in the Description of
Work, Proposal, Specifications and Drawings, Special
Conditions, and the General Conditions and Contract Agreement
sections is included in the final contract for the work. The
remainder of this template discusses each of these sections

included in RFPs.
Also, you will want to delete the description information (in
blue) after you have added your data under each section of the
template.
How to Make Sure You areWriting a Comprehensive RFP
1. The RFP should provide sufficient information for a bidder to
prepare a bid proposal that is responsive to each of the
technical, management, and commercial requirements specified
in the RFP.
2. The RFP should provide the necessary information
concerning contract requirements. When the information from
the successful bid proposal is combined with the requirements
in the RFP, all of the information required to prepare a contract
for the work should be available.
3. The management requirement in the RFP should define how
the contract work will be managed by the owner and the
contractor.
Request for Proposal Template
Name of the RFP topic you chose.
Name of your company (optional)
Company address (optional)
Company phone (optional)
Distribution list (optional)

Your name
Your e-mail address
PM598—Current term
TABLE OF CONTENTS
1. INSTRUCTIONS TO BIDDERS9
1.1. General Description of Work9
1.2. What Must Be Included with Bid9
1.3. Schedule of Bid Period Activities9
1.4. Location of Work10
1.5. Pre-Bid Meeting10
1.6. Owner Contact for Questions10
1.7. Pre-Award Surveys10
1.8. Sealed Bid Requirements10
1.9. Basis for Bid Evaluation11
1.10. Ethical Standards11
1.11. Responsibility for Surety Bonds11
1.12. Proposal Format11
1.13. List of Bidders11
1.14. Letter of Acknowledgment11
2. DESCRIPTION OF WORK12
2.1. Engineering Contracts12
2.2. Construction Contracts13
3. PROPOSAL13
3.1. Breakdown of Bid Price14
3.2. Revisions and Extra Work14
3.3. Escalation Formulas14
3.4. Scheduled Completion Dates14
3.5. List of Subcontractors14
3.6. Key Supplier or Contractor Personnel14
3.7. Length of Time Bid Is Valid14

3.8. List of Bid Document Addenda Reviewed by Bidder14
3.9. Notice of Conflicts or Errors in Bid Documents14
3.10. Clarifications of Bids15
3.11. Bidder Signature15
4. SPECIFICATIONS AND DRAWINGS15
5. SPECIAL CONDITIONS15
6. GENERAL CONDITIONS AND CONTRACT
AGREEMENTS16
Appendix A17
Appendix B18
Supplier/Bidder List18
Note: Click somewhere within your table of contents, press F9,
select the “update entire table” radio button, and click “OK” to
refresh it automatically.
1. INSTRUCTIONS TO BIDDERS
The Instructions to Bidders section contains the information
that a bidder requires to prepare a bid proposal that is
responsive to each of the requirements that are included in other
sections of the RFP. Certain RFPs provide this information in
an Invitation to Bid letter as well as in the Instructions to
Bidders. The following sections discuss common items that are
included, in Instructions to Bidders (referred to as
Instructions).1.1. General Description of Work
The Instructions provide a general description of the work
covered by the contract. If there are detailed Description of
Work and Specifications and Drawings sections included in the
RFP, these sections are referenced in the general description of
the work.1.2. What Must Be Included with Bid
To properly evaluate the bid proposals when they are received,
all of the information requested in the RFP must be provided by
the bidders. Since several sections of the RFP may require that
bidders submit specific information, the instructions summarize

the specific information that must be submitted with the bids.
Much of the specific information that is required from bidders
is addressed in the Proposal section. The technical
specifications in the RFP may require that bidders submit
certain technical data and procedures with their bid proposals.
The management requirements in the Special Conditions may
specify that bidders submit information such as quality, safety,
environmental, and schedule program descriptions. The
commercial requirements can define financial or insurance
documents that must be submitted by the bidders.1.3. Schedule
of Bid Period Activities
The Instructions define the date when bids are due. Many RFPs
provide the specific time of day that bids must be received.
Most companies will not accept bids after the due date. If a
bidder notifies an owner in advance that it cannot meet the
specified bid submittal date, an owner may extend the deadline
for all bidders. Continued extensions of the due dates for bid
proposals cause confusion among the bidders and hard feelings
on the part of the bidders that complete their proposals on time.
The Instructions should clearly define the owner's position on
receiving bids after the due date in the RFP. The Instructions
specify the location where bid proposals will be received by an
owner as well as the due date.
It is helpful to provide the bidders with an estimate of the date
when the contract will be awarded. This date is consistent with
project schedule requirements. Providing this date in the
Instructions gives the bidders an indication of when contract
work will begin and establishes the completion date for the
project groups responsible for evaluating the bids for the
contract.
If there are specific meetings scheduled during the bid
preparation period, the dates for these meetings are defined in
the Instructions. For example, there may be a pre-bid meeting to
explain the RFP and answer bidder questions. The owner may

also want to schedule project site visits and meetings with
specific bidders to review their technical and management
capabilities.1.4.Location of Work
The Instructions give the location of the project site. Material
and equipment contract bidders need this information to
determine shipping costs. If shipments must be made to a
storage facility not at the project site, the Instructions provide
the location of the storage facility. Service contract bidders may
need to visit the site to obtain information necessary to
complete their bid proposals. The Instructions provide
information on how site visits are arranged with an owner. If
the project site is in a remote location, the Instructions provide
directions on how to get to the site.1.5. Pre-Bid Meeting
Pre-bid meetings can be held after the RFPs are issued and prior
to the bid due date. Pre-bid meetings may be referred to with
other titles in RFPs, such as a pre-proposal conference in
government RFPs. If an owner intends to have a pre-bid
meeting, the Instructions provide the location, date, and time of
the meeting. The Instructions may also describe the purpose of
the meeting and how answers to questions from bidders will be
handled. The answers to the questions from bidders are
normally handled in a formal manner since they are a
supplement to the information provided in the RFP.1.6. Owner
Contact for Questions
It is important that an owner designate one individual to act as
the contact person for questions from bidders during the bid
period. This organizational approach assures that questions are
handled in a consistent manner and that all bidders receive the
same answers to questions. The answers to individual questions
from bidders during the bid period that are not responded to at a
pre-bid meeting are also important supplemental information to
the original RFP. The procurement group representative
assigned to a contract is often the designated contact person for
an owner. The Instructions specify the name of the person in the
owner's organization that is responsible for responding to bidder
questions. The Instructions also specify the telephone number

and address of the contact person. The Instructions define the
procedure that will be used for providing answers to all bidders
when one bidder asks a question concerning requirements in the
RFP.1.7. Pre-Award Surveys
Certain owners perform pre-award surveys of specific bidders to
obtain information on technical and management capabilities.
These surveys are performed after the RFP is issued to the
bidders and prior to award. The surveys can require detailed
presentations from bidders regarding the technical and
management approaches that they will take on a contract. The
Instructions inform the bidders of the subjects that are covered
at these meetings. The surveys are usually conducted at the
bidder's facility since the adequacy of a bidder's facility is part
of the survey. The timing of a pre-award survey is established
on an individual bidder basis. 1.8. Sealed Bid Requirements
Many RFPs require that bid proposals are sealed when
submitted to an owner. This provides a measure of security that
bids have not been altered after they were prepared. The
Instructions define the sealed bid requirements. Requirements
for addressing the bids to the proper party are defined in the
Instructions. If the bids are not required to be sealed, the
Instructions address the acceptability of telegraphic and
facsimile bid proposals and bid proposal modifications. The
Instructions specify the number of copies of bid proposals that
are required.1.9. Basis for Bid Evaluation
There are advantages in defining the basis that an owner will
use in evaluating bid proposals. If an owner intends to give
significant weight in its bid evaluation to factors such as
technical, quality and schedule control capability as well as
quoted prices, the bidders should be aware of this fact.
This gives them the opportunity to emphasize the strengths of
their technical and management programs. They may propose
stronger programs in these areas if they believe that this will
improve their chances of contract award. The Instructions
should define the basis that an owner will use to evaluate the

bidders for contract work.1.10. Ethical Standards
Many owners include ethical standards that the owner and the
supplier or contractors are required to follow in their
relationships with one another prior to and after the award of a
contract in the Instructions. These standards often come from
corporate procurement policies. They include such item
restrictions on gifts and entertainment from suppliers and
contractors to owner personnel.1.11. Responsibility for Surety
Bonds
If another section of the RFP does not specify the exact
requirements for surety bonds for a contract, the Instructions
clarify the types of bonds required and the cost responsibility
for providing the bonds.1.12. Proposal Format
If the RFP requires that bidders prepare detailed proposals
describing how they will accomplish contract work activities,
the Instructions define the format required for the proposals.
Limits may be placed on the length of different sections in the
proposal to ensure that overly lengthy proposals are not
received from bidders. 1.13. List of Bidders
Many RFPs include a list of the companies in the Instructions
section that have been asked to bid on the contract. This
approach has the advantage of making the bidders aware that
they are involved in a competitive bidding process.
Note: A place is provided in Appendix B for a detailed list of
bidders.
1.14. Letter of Acknowledgment
It is important that procurement groups receive feedback as
early as possible from companies that receive RFPs regarding
their intent to bid the work. If one or more companies on the list
of bidders for a contract decline to bid, there may be
insufficient bidders to satisfy competitive bidding requirements.
It may be necessary to send RFPs to additional bidders to obtain
the desired number of bid proposals. To obtain this feedback in
a timely manner, the Instructions often include a Letter of
Acknowledgment that requires bidders to state whether they

intend to submit bid proposals.2. DESCRIPTION OF WORK
Service contracts require a Description of Work in the RFPs.
Certain large engineered materials and equipment contracts will
also require Description of Work sections in their RFPs. The
Description of Work has other titles such as Statement of Work
or Scope of Work in RFPs used by different companies and
government agencies. Other companies include the Description
of Work in the technical specifications for a contract.
The purpose of the Description of Work in the RFP is to define
the scope of work for a
contract. Other sections of the RFP for a contract such as the
Specifications and Drawings and the Special Conditions also
provide information that describes the work scope for bidders.
The Description of Work references the other RFP sections as
required.2.1.Engineering Contracts
The Description for an engineering contract RFP contains an
overview of the technical features of a project. Other general
information such as the location of the project, existing
facilities at the project site, and responsibility for licensing and
permits is defined. If there is more than one engineering
contractor on a project, the scopes of the other engineering
contracts are defined in sufficient detail for the bidder to
understand its role in the design of a project.
If there is a performance specification in the engineering
contract RFP, the Description references the specification for
details concerning the technical requirements for the design of
the project. If there is not a performance specification included
in the RFP, the Description contains the owner's design
performance requirements. If the performance specification
includes design areas that are not in the scope of an engineering
contract, the Description explains which items in the
performance specification apply to the contract.
The division of responsibility between the owner and the

engineering contractor is explained in the Description. If an
owner intends to perform design functions such as establishing
design criteria for certain systems, these functions are defined.
The division of responsibility indicates which design documents
and procedures produced by the engineering contractor require
ownerapproval. The division of responsibility also establishes
the materials and equipment that are procured by the owner and
those that are procured by the engineering contractor. The
division of responsibility defines whether the engineering
contractor or a supplier is responsible for the detailed design of
engineered materials.
The type and duration of the support that the engineering
contractor is required to provide to other project groups, such as
licensing, procurement, construction or manufacturing, and
testing, is addressed in the Description. If the engineering
contractor is required to provide liaison personnel at the project
site to clarify design requirements, this program is defined in
the Description.
The quality, schedule, cost, and other management programs
required to manage the engineering contract work can be
defined in the Description. An alternative approach is to include
the management requirements in the Special Conditions. It is
not significant which section of the RFP includes the
management requirements as long as they are well defined.2.2.
Construction Contracts
The Description for a construction contract RFP contains an
overview of the technical features of a project. It also provides
the location of the work, existing facilities at the project site,
and the responsibility for obtaining permits and licenses for a
project. If there are multiple construction contractors working
on the project, the scope of work of each construction
contractor is described in the Description.
If the construction contract pricing approach is fixed price or

unit price, there is a separate section of the RFP that contains
technical specifications and drawings. The construction
contractor's responsibilities for performing the work in these
specifications and drawings are defined in the Description. In
cases where the specifications and drawings include work
performed by more than one contractor, the specific
responsibilities of each contractor are defined in the
Description. If the specifications and drawings are not complete
when the RFP is issued, the degree of completion is defined in
the Description.
The division of responsibility between an owner and a
construction contractor is defined in the description. If the
construction contractor will be responsible for detailed design
functions, these functions are delineated in the division of
responsibility. The division of responsibility specifies the
materials and equipment that are furnished to a contractor by an
owner. It also specifies the materials and equipment that are
procured and installed by the contractor. The division of
responsibility defines the responsibility for testing the systems
and components installed by a contractor.
The construction contractor's responsibilities for providing
services such as clean up, scaffolding, temporary office
buildings, warehousing, temporary electrical, temporary heat,
security, and construction equipment are described in the
Description. If an owner elects to provide services to a
construction contractor, the services are defined in the
Description.
The support that a construction contractor is required to provide
to other project groups is defined in the Instructions. The
contractor can be required to provide as built drawings to the
engineering group for final design validation. The contractor
may have to provide construction personnel to the testing group
to support testing activities. The contractor can be responsible

for providing scaffolding for access for inspections by owner
quality personnel.
The quality, schedule, cost, safety, environmental, and other
management programs required to control the construction
contract work can be addressed in the Description. They can
also be addressed in the Special Conditions.3. PROPOSAL
The Proposal section of the RFP contains all of the pricing
information required from bidders to allow an owner to evaluate
the costs of the bids. It can also define technical and
management information that is required from the bidders. The
Proposal section of the RFP can have different titles in the RFPs
issued by different companies. Certain companies call the
Proposal section a Bid Form.3.1. Breakdown of Bid Price
It is important that the bidder understand the scope of work that
is covered by each requested bid price item. It is helpful to
reference the Description of Work and the Specifications and
Drawings sections of the RFP in defining the scope of work for
each bid price item.3.2. Revisions and Extra Work
If unit prices are feasible for extra work, the Proposal specifies
the unit prices required. If extra work will be handled on a
reimbursable basis, the Proposal can request cost limits for the
reimbursable work.3.3. Escalation Formulas
If the owner is requesting fixed price bids subject to escalation
of labor and material costs, the Proposal requests the formulas
that will be applied to current labor and material prices to
determine escalation costs. The structure of these formulas can
significantly impact the cost of a contract.3.4. Scheduled
Completion Dates
If an owner wants a bidder to provide schedule dates for key
contract activities, the Proposal lists the key schedule activities
and requests that the contractor provide the dates. Start and
completion dates for key contract schedule activities may be
requested.3.5. List of Subcontractors
The Proposal section provides space for bidders to list the
subcontractors that they intend to use to perform the contract

work. In addition to the names of subcontract firms, bidders
should provide descriptions of the subcontractor work scopes,
subcontractor experience, location of subcontractor offices, and
telephone numbers.3.6. Key Supplier or Contractor Personnel
The Proposal requires that a supplier or a contractor name the
person that will be in charge of the contract work and will be
the primary contact for an owner. The names of other key
personnel can be requested in the Proposal section.3.7. Length
of Time Bid Is Valid
If there is a possibility that the award of a contract will not
occur until a significant period of time after bids are received,
the Proposal requests the length of time that a bid is valid after
receipt by an owner.3.8. List of Bid Document Addenda
Reviewed by Bidder
If there are bid document addenda issued after the RFP is
issued, the Proposal section requests that bidders list the
addenda that they have reviewed. This procedure ensures that
all bidders have reviewed the necessary documents.3.9. Notice
of Conflicts or Errors in Bid Documents
Requesting that bidders formally notify an owner of conflicts or
errors in bid documents provides a formal means of
communicating conflicts and errors. The errors can be corrected
prior to the start of contract work.3.10. Clarifications of Bids
Certain Proposal sections provide space for a bidder to state any
clarifications or exceptions to its bid. Although the intent of the
RFP is to define the work scope in a manner that eliminates the
need for clarifications and exceptions, there may be items that
are not clear that should be addressed. Excessive clarifications
or exceptions may cause a bid proposal to be rejected.3.11.
Bidder Signature
The Proposal contains space for the supplier or the contractor to
sign its completed Proposal. It also includes the date the
Proposal is signed, the title of the person signing, and any
required identification numbers or license numbers.4.
SPECIFICATIONS AND DRAWINGS
Specifications and Drawings sections are required for RFPs for

fixed and unit price contracts. They are also required for target
price and reimbursable with incentive fee contracts since they
define the basis of targets and incentive fees. Depending upon
how the contracts are scoped on a project, the specifications and
drawings included in the RFP may or may not relate only to the
contract for which the RFP is prepared. The Description of
Work explains which portions of the specifications and
drawings relate to a particular contract. In some cases, the
specifications and drawings are marked up to define contract
work scopes.
Service contracts usually require a Description of Work in
addition to the Specifications and Drawings in the RFP to
clarify the work activities that are the responsibility of a
contractor. Many engineered materials and equipment contracts
do not require extensive Description of Work sections since all
necessary information for the bidders is included in the
Specifications and Drawings.
Note: Don’t spend too much time creating drawings or
specifications. Simply cut and paste a picture from the internet
and describe it here.5. SPECIAL CONDITIONS
The Special Conditions section of the RFP includes all of the
management requirements and any other specific contract
requirements. The Special Conditions section usually does not
address the technical requirements for a project.
The management requirements for RFP's are prepared by several
different project groups as discussed previously. The
procurement group receives the management requirements for
each contract from these groups. In many cases the language of
the management requirements for different contracts can be
similar. The procurement group works with the other project
groups to determine the extent that management clauses can be
standardized in the Special Conditions. Important management
requirements for a specific contract should not be omitted from

the RFP for the sake of standardization.
Certain RFPs include the Special Conditions information in the
Description of Work section. This eliminates the need for the
Special Conditions. As long as the management requirements
are well defined, it makes little difference if they are included
in the Description of Work or the Special Conditions.
Many RFPs do not adequately define all of the necessary
management requirements for a contract. Inadequate definition
of management requirements can lead to poor management of a
contract. Project management has the overall responsibility for
assuring that RFP's adequately define management
requirements. It is helpful to include all of the management
requirements for a particular area such as control of quality in
one part of the RFP. If the quality requirements are contained in
different sections in the RFP, it can be difficult to determine if
the necessary quality requirements are all included in the
RFP.6. GENERAL CONDITIONS AND CONTRACT
AGREEMENTS
The General Conditions section of the RFP contains the
commercial requirements for a contract. Many of these
commercial terms cover situations, such as changes to the
original contract, technical and management requirements, or
cases in which the contractor does not perform in accordance
with these requirements. Other commercial clauses cover terms
of payment, invoicing, and responsibility for tax payments.
Since the procurement group is responsible for preparing these
commercial terms with assistance from the legal group, the
procurement group can prepare the General Conditions section
of the RFP with relatively little input from other project groups.
Many RFPs contain a Contract Agreement section in addition to
the General Conditions. The purpose of including the Contract
Agreement section in the RFP is to show the bidders the
contract format that will be used if they are awarded the

contract. Contract Agreements contain commercial clauses that
are very similar to the clauses normally included in the General
Conditions. The Contract Agreement usually includes the
General Conditions, Description of Work, Proposal,
Specifications and Drawings, and Special Conditions sections in
the contract by referencing these documents. This means that
the requirements of all of these sections are a part of the
contract. It is not significant which commercial requirements
are included in the Contract Agreement and which requirements
are included in the General Conditions since both sections are
included in a signed contract.
Appendix A
Acknowledgment Letter for bid no. ______
(RFP Description)
(Project Description)
Attention: ___________________________
Date:________________
(contact representative)
Receipt of the above captioned Request for Proposal is hereby
acknowledged with the following comments:
We will submit a bid on or before ______________________
We will not submit a bid for the following reasons:
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
___________________________________________
__________________________ has been assigned to be the
primary contact person for the bid submission process. The
contact telephone, fax, and e-mail are as follows.

Telephone ________________________________
Fax ________________________________
E-mail ________________________________
Designated
Officer ________________________________
Title ________________________________
Address ________________________________
________________________________
Appendix BSupplier/Bidder List
Supplier/Bidder
Contact #
HowI chose these potential suppliers:
_____________________________________________________
_____________________________________________________
_____________________________________________________
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_____________________________________________________
_____________________________________________________
_____________________________________________________

_____________________________________________________
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_____________________________________________________
_____________________________________________________
_____________________________________________________
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_____________________________________________________
__________________________________________
Mustard Seed Company
Inventory Tracking System
INDEX
1. Instructions to Bidders --------------------------------------------
------------------------------------- 3
2. Scope of Contract -------------------------------------------------
------------------------------------- 4
3. Pre-Bid Meetings---------------------------------------------------
------------------------------------ 5
4. Owner Contacts for Question--------------------------------------
------------------------------------ 5
5. Pre-Award Surveys-------------------------------------------------
------------------------------------- 5
a) Why we Require Pre-award Surveys------------------------------
------------------------------- 6
b) How the Pre-award survey works --------------------------------
-------------------------------- 6
c) What the pre-award survey Team does---------------------------
-------------------------------- 7
6. Sealed Bid Requirement--------------------------------------------
------------------------------------- 7
a) Requirements --------------------------------------------------
------------------------------------ 7

b) PRICING------------------------------------------------------
-------------------------------------- 7
7. Basis for Bid Evaluation-------------------------------------------
------------------------------------ 8
a) Bid Opening----------------------------------------------------
------------------------------------- 8
b) Stages of Bid evaluation---------------------------------------
------------------------------------- 8
c) Bid Opening Record-------------------------------------------
------------------------------------- 9
8. Responsibility for Surety Bonds----------------------------------
------------------------------------ 9
a) Required Provisions----------------------------------------
-------------------------------------- 10
9. Overview---------------------------------------------------------
-------------------------------------- 11
10. Constraints and Implementation-------------------------------
------------------------------------ 12
11. Requirements----------------------------------------------------
------------------------------------- 12
12. PROPOSAL SUBMISSIONS-----------------------------------
---------------------------------- 12
a) Required Forms----------------------------------------------
------------------------------------- 12
b) Contractors Background------------------------------------
------------------------------------- 12
c) Employees Experience and Qualifications----------------
------------------------------------ 12
d) Cost Proposal ----------------------------------------------
-------------------------------------- 12
13.Evaluation Criteria------------------------------------------------
------------------------------------- 13
Index 1------------------------------------------------------------------
-------------------------------------- 14
Index 2------------------------------------------------------------------
-------------------------------------- 15

Index 3------------------------------------------------------------------
-------------------------------------- 16
Mustard Seed Company
Request for Proposals
RFP NO 2015-003
Project Title: Inventory Tracking System
1. Instructions to Bidders
a) It is expected that all bidders will examine all specifications
of the company’s inventory management.
b) All bids must be submitted on the brochures provided by the
Germinate Seed Company. Bidders shall provide all the
information asked by the solicitation. Bids must be signed while
the bidder’s name must be typed on the bid sheet and every
other continuation sheet requiring entry of information from the
bidder. The person signing the bid must initial any erasures or
other alterations to the bid. Any bid signed by an agent must be
followed up with evidence of such authority from the agent.
c) All bid documents shall be sealed in an envelope, which must
be clearly marked with the following words “bid documents”
the invitation for Bids sequence numbers, project number,
bidder’s name, as well as, the time and date for receipt of bids.
d) If this solicitation requires complete bidding of the entire
contract failure to follow such instructions will automatically
disqualify such bids. In case the solicitation does not require
bidding for all items in the contract bidders must insert the
words no bid in the space provided for any item for which price
is not submitted.
e) Unless specifically sanctioned in another place in this
solicitation, swap bids will not be given any consideration.
f) Unless expressly sanctioned elsewhere within this
solicitation, no consideration will be given to bids submitted by
facsimile (fax) machines or telegraph
g) If the anticipated contract is for a joint Help project that
involves joint performance of work, contribution of equipment
or material, supporting and follow up information concerning

the bid announcement is provided as an accessory to this
solicitation.
h) Any bid received after RFP opening date or hour will be
rejected. Respondents of the cancelled or rejected bids will be
notified and will advise Germinate Seed Company as to the
disposition by either, return at respondent’s expense, pick up at
the company’s premises or destroyed with the bidder written
consent. If bid proposals are delivered by mail to the
Germinate Seed Company, the bid owner or agent shall bear all
the expenses pertaining to the actual delivery of the bid to
Germinate Seed Company before the announced date as well as
the opening hour of sealed bids. If mail is delayed either in the
postal system or in the internal County mail system beyond the
hour and date set for bid opening, the bids delayed will not be
given any consideration as a result such bids will however be
disposed as authorized by the bidder or agent.
2. Scope of Contract
An inventory management system tracks the storage and
movement of inventory within the company. The system is a
component of the overall supply chain management system
required to for effective management of the materials as well as
finished goods within the stores of the Germinate Seed
Company. The Inventory management system will provide a set
of computerized procedures to handle the receipt of materials
within the company’s warehouses, dispatch of supply to
retailers and returns within the Germinate seed facility.
Additionally, the system will model and control the logical
illustration of the actual storage facility (racking etc),
administer the inventory within the supply chain system, as well
as, enable a flawless line to order processing and logistics
management in order to pick materials, pack finished goods and
distribute seeds out of the company’s facility.
Work Location
The bidder who finally get the contract is expected to complete
the contract within the premises. The early stages of designing
can be carried outside the organizations warehouse, however,

the contractor is required to complete the task within the
company premises. This is important because the contract price
includes price for implementation, configuration and
integration. Completing these parts of the contracts within the
premises ensures that the organization’s system is up to date
and that it is also configured to work with the new system. The
contract terms also provide that the contractor is responsible for
rolling out the program and training the company’s staff on how
to operate the system. This part is critical because it will
eliminate future errors and mistakes due to incompetence or
lack of operational skills.
System specifications:
· Inventory management system that can monitor and produce
pick lists, inventory records, and information filtered around
various data points, for example item serial number, name, etc.
· Generate Reports in numerous formats such as;
· Excel Format
· PDF Format
· The anticipated inventory management system should also
have web based inventory tracking capabilities;
· Optional that this can automatically backup/mirror database
onto a local computer which can run the program in the event
that internet connectivity is lost
· Above mentioned backup computer/device can also update the
web based program upon reconnection to the internet
· Inventory control system can support multiple users/profiles,
as well as, the ability control access authorization into the
system or certain feature of the system.
· Inventory control system can utilize and import the Germinate
Seed Company strategic stockpile files.
· Inventory control system can be programmed to utilize and
access smart devices, and remotely controlled computers with
barcode scanning within the warehouse, orders, communication,
and material movement, etc
· The smart devices as well as communication peripherals
should also have capability to tap into the backup computer and

work offline. This will ensure that important activities within
the stores of the company will not stop in case there is a power
system failure or system failure within the main network.
· The external contractor will also be required to oversee as
well as carry out the transfer of data as well as its backing up
from previous inventory system to the new one.
3. Pre-Bid Meetings
As indicated in the solicitation documents or contract forms the
company plans to hold a pre-bid meeting which will be held in
the company’s conference hall in Austin Texas. This pre-bid
meeting will be used as a chance to offer prospective
contractors a chance to visit the site before embarking on
completing the task. The pre-bid meeting will be held one
month before the RFP opening date. We hope that any
prospective contractor who wishes to seek further information
regarding the contract at hand before completing the RFP will
take the opportunity presented by the pre-bid meeting to do so.
The pre-bid meeting will be open to any prospective contractor.
After the pre-bid meeting and site, visit discussions for
extension of bid delivery dates and RFP opening will be
considered.
4. Owner Contacts for Question
Any prospective contractors who feel that the solicitation
documents have left out some important questions can reach the
company through the address indicated in the company’s letter
head included in same documentation.
5. Pre-Award Surveys
These will be carried out after the selection of the contract
winner.
The selectee is usually one step away from doing business with
Germinate Seed Company a prime player in the seed making
business. However, the pre-award survey is the only thing
standing in the way for such success contractors.
A pre-award survey is similar to the credit check. These are
common with contracts in the federal government agencies,
however, Germinate Seed Company thinks that this is a best

practice for RFPs and it is, therefore, necessary for the company
to adopt best practices. The next section elaborates why the
company needs to carry out a pre-award survey.
a) Why we Require Pre-award Surveys
In modern organization structures, technology forms an integral
part. Decision-making is reliant on these technologies for
effective management. The decisions made in such a manner are
crucial to the survival of the company. This is why the
Germinate Seed Company takes the issue of contracts with the
weight it deserves including taking pre-qualification surveys.
This makes it essential that there be reasonable prior assurance
that services procured will satisfactorily accomplish their
intended function. The pre-award surveys also offer assurance
that the services as well as other procurement will be delivered
in a timely manner. The survey also helps to guarantee that
quality will be delivered and that the price charged is fair. The
company has learnt from the past that when technology failure
occurs there is little reprieve in suing the contractor. On the
same note, it is also costly and time wasting to engage in post
system failure negotiations with the system designer.
Consequently, we undertake the pre-award survey to sufficiently
establish that the contractor is adequately suited for the task
ahead. In this light, it is imperative that the multitudes of
suppliers, responsible for providing critical such inventory
system design such as the one contained in this RFP are
awarded the contracts for their expertise and that expertise
reflect in their activities. Companies that win the contracts are
the companies with the technical capability for production of
the item subject to the contract; the companies must meet the
technical capabilities desired to create a flawless Inventory
Management System as required in the RFP. Such capability is
reflected by the experience of the company’s administrators,
industry, as well as, institutional recognition, as well as, the
company’s products reviews. Combining these elements
together brings about the creation and delivery of a flawless
system that will turn around the business of the Germinate Seed

Company.
b) How the Pre-award survey works
The management of Germinate Seed Company conducts pre-
award surveys to determine transparence and effectiveness in
the contract. The activity commences with an RFP request for a
survey and closes with managements deliberation on whether
the contractor meets the RFP needs. Germinate Seed Company’s
Pre-award survey will involve the following five steps.
The RFP requests a pre-award survey requiring contractors to
fill out Standard questionnaire Form RFP03 contained in the
company’s website on the forms RFP forms section. This
RFP03 form comprises crucial information pertinent to the
contract addressed in the RFP; additionally, the information in
RFp form informs survey team specific areas that elicit interest
and requiring further evaluation before the company awards the
contract.
The pre-award survey team is comprised of a system auditor,
the chief technological officer, chief System analyst as well as
two members of the steering committee. These people will be
tasked with determining the capacity towards meeting the
requirements of the RFP.
The survey team leader schedules the pre-award survey by
contacting the prospective contractors. Since this particular
RFP does not have a pre-qualification stage the survey team
leader contacts all prospective contractors and schedules pre-
award surveys. The pre-award surveys are then carried out upon
the agreed time.
Once the survey team completes the survey they issue a report
pertaining to the contractors’ capability of fulfilling the RFP
this report is tehn used as the basis of further elimination after
the bids opening.
After receiving the report, the project manager of the RFP in
question will then notify all the contractors of the issues
surrounding the RFP. This stage can become the
prequalification stage where bidders who do not meet the

satisfactory metrics in the pre-award survey are rejected.
c) What the pre-award survey Team does
A pre-award survey will focus on almost all the facets of the
contractor’s business operations from; technical capability,
quality assurance, to financial stability.
To some extent the pre-award survey is a chance for the
prospective contractor t offer evidence that they are best suited
for the task described in this RFP.
6. Sealed Bid Requirements
Bids should be enclosed in a sealed package or envelope and
addressed as shown below
GERMINATE SEED COMPANY. PLC
SEALED BID # RFP NO 2015-003
INVENTORY CONTROL SYSTEM
AUSTIN, TEXAS
a. requirements
a. All mails and packages should also be addressed as above.
b. Bids that will not be addressed as indicated above will ignore
the confidentiality of the sealed bid. As a result, the bill will
not be considered and will be returned to the bidder as
authorized.
c. All reposes to the RFPs will be handwritten or typewritten in
ink. On the same note, any corrections should be initialed in
ink. Proposals and bids written in pencil will be rejected
automatically.
d. Every bid and proposal should include a bidder’s original
signature accompanied by a properly executed exclusive
affidavit. These must be accompanied with an original
signature.
b. PRICING: the contractors must submit all the cost they wish
the company to consider. In any case the pricing of equipment
should capture all costs including Freight On Board costs, as
well as, the delivery costs if the equipment is shipped from
oversees. On the same note, every contractor needs to
understand that the additional costs not captured in the above
context will not be honored. The company hopes that the

inventory management system will be delivered and installed
alongside configured and ready to use devices if any.
7. Basis for Bid Evaluation
The Germinate Seed Company (hereinafter known as “GSC”
shall open bids at the company’s headquarters, in Austin, Texas
on the date, as well as, time indicated on the RFP form. Bids
shall be in conformity with these and any additional instructions
to bidders and shall be submitted on GSC’s form. The RFP
(Request for Proposal) form has to be completed in full and
signed appropriately by the bidder. If your RFP response
requires more space, the bidder may attach more pages;
however, the RFQ or RFP form must be completed and signed
while at the same time the additional pages must be referenced.
As indicated earlier, all responses to the RFP must be
handwritten or typewritten in ink, while at the same time all
corrections to the bid responses shall be initialed in ink by the
author or authorized agent.
a. Bid Opening
Bid opening is one of the most crucial activities in request for
proposals. It is done in the presence of the bidders or their
representatives in the location as well as date and time indicated
in the RFPs. The public opening of the bid is to ensure that the
process is transparent. During the bid opening session, the bid
oversight committee has to make the following information
public.
(i) Bidder’s name, or company’s name.
(ii) Bid price
(iii) Any Discounts both conditional and unconditional
(iv) any Modifications to the Bid
(v) Bid withdrawals
(vi) Bid security and its amount or absence
GSC also requires the bidder’s representatives to sign their
presence and accept the announced information as pertains to
their bids. All the information with regard to the activity of bid
opening will be retained as part of the crucial procurement
record for Audit purposes. The bid opening oversight committee

will prepare official minutes of the bid opening activity. These
minutes will be kept in records of the project manager for
overall project implementation purposes.
b. Stages of Bid evaluation
Prior to going on with the procedure of bids evaluation
the three key stages in the evaluation are hereby listed as
follows:-
i. Intermediary Examination to include:-
(a) is the bidder licensed to participate in public RFPs
(b) Is the bid properly signed by the bidder or authorized agent
as required in the RFP.
(c) Is the bid security available and does that security conform
to the bid data sheet as required by GSC.
(d) Does the bid in general and significantly meet the
prerequisites of the bid documents?
(e) Does the bid have sufficient conditions for elucidation,
if required for authentication of any rudiments desired by
GSC?
ii. Check for calculation errors and approval of amendments by
the bidders
iii. Bids Comparison
(A) Determination of the assessed bid price for every bid
by carrying out any alterations, as necessary which may
comprise:-
(a) Application of conditional/discounts absolute discounts
(b) Making adjustments for errors
(c) Excluding interim Sums & unsubstantiated amounts
(d) Making modifications for slight, but acceptable variations
based on commercial or technical grounds
(e) Making alterations for anecdotal completion time offered by
the bidders, if acceptable.
(B) Consideration of impact of any bid loading
c. Bid Opening Record
Bidders or representatives of bidders are invited to the bid
opening activity, where information regarding bids is read-out
and noted down for record keeping, the information about the

parties in attendance is recorded and filed alongside bid
information. The documentation is organized for timely
transmission to the person in charge of project management
and implementation. Bid opening activities are as prescribed in
the bid opening section above. Annex-I to this document shall
be used as a checklist or guideline for bid opening and
recording of bid information. It is preferable that the checklist
be filled out for every bid in the bid opening activity. The
announcement and reading of every bid must be in original
version of every bid. Similarly, other crucial details, as well as,
the actual amounts should be read out and marked for later
verification. Where bids are articulated in a single currency
the recording of bids must be accompanied by the record of the
percentage of any other currency expressed there in.
8. Responsibility for Surety Bonds
The successful bidder shall at all times in the duration of
the contract work mentioned in this RFP take out, maintain
and pay the following amounts as a surety bonds.
1) Workers' Compensation — statutory including Employer’s
Liability of $500,000
2) Comprehensive Commercial General Liability:
a. bodily/Personal Injury — $1,000,000 per occurrence
$2,000,000 aggregate
b. Property Damage — $1,000,000 aggregate
3) Contractual Liability — same as indicated above
GSC retains the right to revise the insurance responsibility of
this section as indicated above during the contract period, as
well as, to ask for modification of the surety amounts and their
limits whenever deemed prudent and necessary by the company.
These changes will be based upon changes in local and federal
statutes, court orders, or the claims trends in the industry, and
the Contractor.
a) Required Provisions
I. The bidder must show Prove of Carriage of Insurance – this
can be shown by documents such as All policy documents,
which must be provided, and filed with the company.

II. All documents submitted for this RFP and as evidence of
insurance shall provide Germinate Seed Company will receive
an unqualified one month written notification in case of
termination or any major alteration.
III. As to all appropriate coverage, policy documents shall name
Germinate Seed Company and its employees, officers, as well
as, any other elected persons or body of persons as an additional
insured.
IV. All duplicate documents evidencing the insurance shall
indicate bid number and the name of the project relevant to the
particular insurance.
V. The Contractor consents to allow subrogation against
Germinate Seed, or any representative thereof working on
behalf of the company for injuries, or accidents resulting to
death, destruction of property, including any other losses to the
extent that the losses, if any, are covered by the terms of the
insurance.
VI. The Vendor will be responsible for ensuring that any sub-
contractor(s) performing tasks under this RFP is adequately
insured and that such subcontractor furnishes GSC with the
proper and sufficient documentation for verification of the
insurance coverage in question.
Germinate Seed Company believes that overhaul and
replacement of the current faulty inventory management with a
new Inventory Management System will enable the company to:
· precisely control inventory
· Improve customer satisfaction by eliminating incidences of
stock-outs.
· Reduce overall stock costs by reducing component elements of
total costs such as carrying costs and ordering costs.
· Improve efficiency of material or inventory requisition
· Make filing and invoice as well as order processing faster
· Save on resource wastage as inventory will only be purchased
when required
Germinate Seed Company believes the above benefits will by
far improve its outlook when it comes to warehouse operations.

An Inventory Management System is an important tool in
tracking and managing inventory turns to enhance purchasing
and asset controls. This will also help the company minimize
losses that occur due to poor inventory management, as well as,
improve on overall performance. The system alerts will be used
to notify stores personnel of low stock levels and thereby
initiating requisition of the inventory in short supply.
The inventory management system will also generate good
reports that will be used for decision making on areas revolving
inventory management.
9. Overview
Germinate Seed Company requires an Inventory Tracking
System for its warehouse located at Austin, Texas. The
warehouse has a shelf capacity of more than ten thousand bags
of seeds, as well as, seed treating materials and fertilizers. In
the past, the materials and untreated seeds, as well as, the
processed seeds were stored together and only receipts were
recorded while sales were registered in the sales ledger. This
system was flawed because losses through faulty processes and
lost records were not accounted for. The new system will bring
change to how the company controls its inventory.
The current inventory management system largely depends to
manual input of information into spreadsheets. This system is
prone to errors and faults, as well as, corruption. The
warehouse has a floor area of 13,000 square feet. However,
additional shelving and bins may be required and
recommendations for such changes are requested from Vendors.
The system will incorporate smart digital devices such as
barcode scanners that will be used to record materials
information into the system.
There are 5 employees stationed in the company’s warehouse.
The company will assess the need to enlist the services of more
employees in the warehouse after the new Inventory Tracking
System. The vendor will, however, be responsible for training
the employees on how to use the new system.
On receiving materials, barcode scanners will be used for

recording the information. On the same note, the system will
generate an electronic ledger no for the materials entering the
store. These numbers will be used for recording the numbers of
the materials that are dispatched to processing department. This
information will then be stored in the stores database for
accurate record keeping.
10. Constraints and Implementation
i. . The Inventory Tracking System must is scheduled to be in
production by June 15, 2015. Vendors must make adjustments
for this timeline in the schedules that are already set to be
implemented. Germinate Seed Company anticipates that the
contract award be before March 1, 2015.
ii. . Germinate Seed Company requires Microsoft SQL
Database as the standard database in the company’s Information
Technology platform.
iii. . The inventory tracking system should also embed security
features for every individual user in the company.
iv. . The vendor will be required to carry out substantial part of
the work in the contract on site to enhance creation of encoding
within the system.
v. . The Inventory Tracking System will generate Status
Reports for stock, purchase returns and history of material
movement; this refers to purchase records, dispatch to other
departments or sale of processed seeds.
11. Requirements
The following are the specific requirements for the Inventory
Tracking System in Contract
· The system must be a warehouse electronic on-line based
system for inventory control
· Receive items and dispatch supplies
· Store assets in different parts of the warehouse, rack, row, bin.
· Track movement of the inventory between the internal
departments of the company
· Scan barcodes
· Create barcode stickers
· Produce stock out warnings, as well as, expiration

· Produce re-order points automatically.
· Track lot numbers of items within the company
· Incorporate user security features
· Manage dispatch of items to various departments
· The vendor shall is required to have trained the staff of the
company by the august 15, 2015
· The system installation should be accompanied with user
manuals, as well as, diagnostic tools
12. PROPOSAL SUBMISSIONS
A. Required Forms
1) Proposal Signature Form (index 1)
2) Supplement Signature Form(s) (if applicable)
3) Insurance Certificates
4) Deviations and Deficiencies Form (index 2)
5) References (index 3)
6) Proposal Pricing Form
B. Contractors Background
This is an executive summary that tells more of the contractor’s
business and experience in this kind of contract. The contractor
should also tell the number of years they have been in business.
C. Services Rendered
Give more information on the proposed inventory
control/tracking system.
Provide information on the timeline for implementation of the
system under the contract
D. Employees Experience and Qualifications
Provide a short description highlighting staff background,
qualifications and experience. The contractors should also
enclose samples of staff members resumes.
E. Cost Proposal
The contractor must quote the total cost pertaining to the
acquisition of the inventory control system. Such costs must
cover implementation, as well as, any other related costs.
The contractor must also give a quotation of the maintenance
costs for up to five years after implementation
13. Evaluation Criteria

Germinate Seed Company will employ the following
methodology to evaluate the bid responses
Contractor Profile 25%
Project Management and Approach 30%
References 15%
Cost Proposal_______________________30%
Total Possible Mark 100%
All bid responses must meet the prescribed format described in
sections above failure to comply with the terms of this RFP will
result to automatic disqualification.
Index 1
PROPOSAL SIGNATURE FORM
The undersigned agrees this proposal becomes the property of
Germinate Seed Company after the official opening.
The undersigned affirms he has familiarized himself with the
local conditions under which the work is to be performed;
satisfied himself of the conditions of delivery, handling
and a storage of equipment and all other matters which may
be incidental to the work, before submitting a proposal.
The undersigned agrees if this proposal is accepted, to furnish
any and all items/services upon which prices are offered, at the
price(s) and upon the terms and conditions contained in the
Specifications. The period for acceptance of this Proposal will
be sixty (60) calendar days unless a different period is noted by
the proposer/respondent.
The undersigned affirms that they are duly authorized to
execute this contract, that this proposal has not been prepared in
collusion with any other Proposer/Respondent, nor any
employee of
Germinate Seed Company, and that the contents of this proposal
have not been communicated to any other proposer/respondent
or to any employee of Germinate Seed Company prior to the
official opening of this RFP.
The undersigned affirms that they have read and do
understand the specifications and any attachments contained

in this RFP package. Failure to sign and return this form will
result in the rejection of the entire proposal.
NAME AND ADDRESS OF COMPANY: AUTHORIZED
REPRESENTATIVE:
_________________________________________
Signature______________________________
_________________________________________ Date
_________________________________
_________________________________________ Name
________________________________
_________________________________________ Title
_________________________________
Tel. No. __________________________________ FAX No.
______________________________
E-Mail Address:
_____________________________________________________
__________________
AFTER HOURS EMERGENCY CONTACT:
Name: ___________________________________ Tel. No.
___________________________
COMPANY IS:
Business included in a Corporate Income Tax Return?
______YES ______NO
_____Corporation organized & existing under the laws of the
State of ___________________________
_____Partnership consisting of
_____________________________________________________
___
_____Individual trading as
_____________________________________________________
________
_____Principal offices are in the city of
____________________________________________________
THIS FORM MUST BE SIGNED AND THE ORIGINAL AND
FIVE (5) COPIES RETURNED WITH PROPOSAL

Index 2
DEFICIENCIES AND DEVIATIONS FORM
Following is a listing of ALL deficiencies and deviations from
the requirements and/or provisions as outlined in this Request
for Proposals and Qualifications. Unless specifically listed
here, your response will be considered to be in FULL
compliance with the RFP. Respondent assumes the
responsibility of identifying all deficiencies and deviations and
if not identified, all requirements of the RFP stipulated must be
fulfilled at no additional expense to Germinate Seed Company.
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________

_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
____
Index 3
References
REFERENCE ONE
GOVERNMENT/COMPANY NAME:
_____________________________________________________
___
LOCATION:
_____________________________________________________
______________________
CONTACT PERSON AND TITLE:
_____________________________________________________
____
TELEPHONE NUMBER:
_____________________________________________________
____________
SCOPE OF WORK:
_____________________________________________________
_______________
CONTRACT PERIOD:
_____________________________________________________
______________
REFERENCE TWO

_____________________________________________________
___
LOCATION:
_____________________________________________________
______________________
_____________________________________________________
____
TELEPHONE NUMBER:
_____________________________________________________
____________
SCOPE OF WORK:
_____________________________________________________
_______________
CONTRACT PERIOD:
_____________________________________________________
______________
REFERENCE THREE
_____________________________________________________
___
LOCATION:
_____________________________________________________
______________________
_____________________________________________________
____
TELEPHONE NUMBER:
_____________________________________________________
____________
SCOPE OF WORK:
_____________________________________________________
_______________
CONTRACT PERIOD:

_____________________________________________________
______________
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