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Published: 10-09-2019

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Marvin's organization

What other aspects must Marvin and his group think about? To bid or not to bid on a job is a strategic choice for Marvin’s organization. The elements which Marvin has taken into consideration so far prior to bidding are – 1. It is a extended term project from 1 of their crucial clients. If they get this contract, then it would be the largest contract Marvin’s organization has had.

The new RFP is released by the client and the contract is cost-reimbursable. Earlier projects had been Firm Fixed Cost (FFP). WBS pointed out on clientele RFP has a breakdown of 5 levels. Factors which they need to take into account apart from the ones talked about above are: They have talked about how lengthy the contract is, but they haven’t talked about the sort of project that they are going to get. Knowing about the project aids us to place in the organizations knowledge and resources promptly. There are also some objective considerations like – what will the bid price (time/income)? What is the probability of winning the bid? Is the contract profit possible? Subject considerations like – who is the competitor? Should I win the bid just to keep the insider edge with the client or ought to the competitor win?

Must they bid on the job? Getting a project driven organization and winning several competitive bids. I personally feel Marvin and his team need to bid on the job.

Purpose being, 1. This contract is from a single of their important client, therefore it might give an edge more than other competitors. The reason why they are hesitating is they do not want to expose the expense structure of the organization to the client. Correct, but then once again they earn a lot more profit in the lengthy run and will maintain great partnership with the client. References: Passer, R. (n.d.). Variables that influence bidding decisions/behaviour of building organizations and a description of two contemporary bidding models.
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