Analyzing Your Proposal Cost Estimates and Contract Win Rate

Have you thought about doing a forensic analysis of your company’s proposal cost estimates? What are the benefits of doing this analysis? How could the analysis help improve your approach for producing proposal cost estimates as well as the company’s bottom line? Anything you can do to increase the likelihood of winning a contract and successfully executing the scope of work within the schedule and cost objectives of the contract is a win for your company as well as your customer.

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Enabling a Closed Loop Cost Estimating Searchable Database

A previous blog, Leveraging Closed Loop Cost Estimating, discussed creating a searchable database of reliable source data to help proposal teams produce data driven cost estimates easier and faster. Creating a useful database of historical performance and actual cost data also requires putting some thought into how you organize the data. It helps to have a general framework in mind as you are collecting the data for the database. The intent is to make it easier for proposal teams to search for similar tasks and evaluate whether the similar tasks are relevant for their proposal.

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Leveraging Closed Loop Cost Estimating

What do we mean by “closed loop cost estimating?” It is a defined process to routinely collect and organize relevant source data for proposal teams that they can use to substantiate the basis for their cost estimates. The goal is to create a searchable database of reliable source data so they can produce data driven cost estimates easier and faster.

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How to Develop a Basis of Estimate for Government Contracts

A basis of estimate (BOE) is an organized set of data and narrative information that explains the logic, methodology, calculations, and assumptions you use to define the tasks and determine the resources needed to accomplish the scope of work described in a government or other request for proposal (RFP). Developing a credible BOE requires reliable historical and actual cost source data that you can trace back to the applicable business system, such as accounting, purchasing, material management, manufacturing, or time keeping. The BOE narrative is important because your proposal team and the customer must be able to verify the data, calculations, and rationale you used to arrive at the cost estimate.

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BOEMax Tech Tips – Bi-Directional Cost and Schedule Integration with P6

One of the many challenges proposal teams face is ensuring their cost estimate and proposal schedule data are in alignment.  Bi-directional cost and schedule integration with Oracle Primavera P6 is just one of many functions built into BOEMax proposal software designed to simplify life for proposal teams.  This blog is an introduction on how this bi-directional cost and schedule integration can help proposal teams create quality proposal cost and schedule data.

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BOEMax Tech Tips – Establishing a Process Library

BOEMax, our propsal software, was designed to help our clients create data driven cost estimates easier and faster.  The Process Library is just one of many functions built into BOEMax for this purpose.  Here, we present an introduction to the Process Library and how it can help cost estimators improve the quality of their cost estimate data.

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Creating Data Driven Basis of Estimates

What is a data driven basis of estimate (BOE)? It is a cost estimate that is based on verifiable data and usually managed with proposal software. Ideally, the BOE should have historical or other data that is traceable to the source business system, such as accounting, timekeeping, material management, purchasing, or manufacturing. Along with verifiable data, the rationale used to arrive at the estimate must also be clearly documented and easily available. The proposal team and customer must be able to follow the thought process, methodology, assumptions, and calculations used to arrive at the cost estimate.

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Still Using Excel for Your Proposal Cost Estimates?

A Better Way: Quality Proposal Cost Estimates

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The Price is Right: 5 Pricing Strategies that Win Government Contracts

If you think about it, the steps of pricing to win a government contract is a lot like being a contestant on the game show The Price is Right, considering that you: See a product (government request for proposal) Think about how much it costs (how much the government will pay for the product or deliverable) Try to figure out what other contestants (your competitors) will bid Make the most educated guess to win the game (contract)

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