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How to know when not to bid an opportunity
Most companies bid a lot of stuff they shouldn’t. So to help you find a reason to “no bid” here’s a list of reasons not to:
- You find out about the opportunity when the RFP is released
- The customer has no budget or can’t afford what is actually required
- Your competition is cheaper
- There are too many competitors
- A key subcontractor backed out
- There is a requirement in the RFP that you can’t live with
- The price risk is too high
- The performance risk is too high
- You have negative past performance
- The customer doesn’t like you
- You don’t like the customer
- Customer won’t answer critical questions
- You have no advanced awareness
- The opportunity doesn’t fit corporate strategies
- The RFP is too vague
- The RFP is too specific
- There’s not enough profit in it
- You don’t have enough staff available to write the proposal
- You have a conflict with certification requirements
- The customer is unrealistic
- The schedule is unrealistic
- You don’t have the staff to do the work
- You can’t promise delivery of the key personnel
- You don’t know who the competition is
- You don’t know who the evaluators are
- The customer likes someone else
- You think the customer is trying to justify a selection already made
- The customer is just fishing/not serious
- Location, location, location
- You have a conflict with the delivery requirements
- There are intellectual property issues
- The contract type is not appropriate for the type of work
- Your awareness is limited to what’s in the RFP
- There is no potential for follow-on work
- Pursuing it would distract you from other opportunities
- You are not investing in the proposal effort
- You started working on the proposal after the RFP hit the street
- You can’t articulate why you should be the one to win
- The customer doesn’t know you
- You don’t know how the customer is organized
- You don’t know how the procurement fits into the customer’s strategic plans
- You can’t adequately perform at the price you plan to bid
- The technology requested is already obsolete
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