How to Write Business Proposal

How to write a Business Proposal

Objective

Generally buyers and sellers both writes the proposals. In case of buyer wants to describe his/her needs and requirements to sellers, buyers writes the Request of Information (RFI), Request for Quotation (RFQ) and Request for Bid (RFB). In response to RFI or RFQ or RFB, sellers prepare a detailed proposal which describes their products or services in details including price of Products or Services in case of Request for Quotation and request for Bid.

Types of proposal: There are three types of proposals.

Formally Solicited Proposals: These types of proposals are produced by both buyers and sellers. Buyers generally produce to explain their requirements like Request for Proposal, Request for bid, and Request for information. Sellers generally provide such types of proposal in response to formal request of buyer or customer.

Informally Solicited Proposals: These types of proposals are generally provided in response of a short oral meeting between buyer and seller. Such kind of proposals are generally of 30 to 50 pages. It describes in details the offerings of Product or Services.

Unsolicited Proposals: such kind of proposals are generally distributed at the end of any meeting or seminar. It generally increases the chance of sales. Such kind of documents also describe various features of Products and Services in details.

Content

Front page

There must be a front page which clearly mention the name of proposal provider and proposal addressee. Front page clearly mention “Submitted By” and Submitted to”. If the proposal maker and proposal addressee both are company or organisation then front page must include logos of both the organisations. Page start at centre line and details of proposal maker comes first at the upper half of the front page. Thereafter the details of proposal addressee comes like logo, full name. Include address if one wants to be more specific.

Forwarding letter

Proposal must include a letter on the name of proposal addressee. If we wants to go in hierarchy of this letter then first mention the name, designation, organisation name and address. Thereafter mention a subject line. The objective of proposal should be clearly mentioned in the subject line. After subject line, include a small paragraph which describes the objective in details in case of Request for Information. But in case of Request for Quotation and Request for Bid it should include Price, quantity, terms and conditions if any and the validity of such quotation. In case of Request for Bid it should include details of Bank Guarantee if required. Thereafter comes the closing statement with thank you and explaining our best regards. And after it comes the name, address and contact details of proposal maker.

Index
If the proposal is of 30 to 60 pages or more it must contain an index. The step by step list of content should me mentioned in index. If you want to provide any additional details regarding any topic then this additional details should be provided as Annexure 1, Annexure 2 etc. at the end in index.

Achievements

In this section of proposal you should mention the detailed profile of your organisation. The number of costumer you have and the area covered by your business. You should also include images of Award winning, events organised by you and big event participation etc.

Offering details

In this section you should mention the detailed description of your requirements as in case of Request for Information or Request for Quotation. In case of reply of Request for Quotation or Request for Bid a detailed description of your Products or Services along with the price with respect to quantity, terms and conditions and validity of quoted price should be included. In case of reply of Request for Bid, bank guarantee should be included.

Annexure

If you want to provide additional details regarding any topic mentioned or additional details regarding the whole proposal, it should be included as Annexure 1, Annexure 2 ..etc.

Formal & Informal Groups in the Organisations

Formal and Informal Groups

Group discussions, Group Brain storming, Employees engagement events, Employees talk together are types of internal communications. When internal communications beguine either inside or outside the organisations, then two types of groups starts to form.

1. Formal Groups.

2. Informal Groups.

Formal Groups:

     Generally formal groups starts to form between hierarchically related employees in same departments of the organisation. Like between boss and his/her subordinates, If they have same thought process, skills and abilities to do work and can handle situations etc.

Formal groups takes each tasks as a challenge and each employee in the hierarchy tries to do his level best because in formal groups all employees are tends to be loyal to his/her boss and subordinates. In formal groups all employees wants to achieve good impressions in his superior’s mind so they can get good positions in the organisation in future with good rewards.

     Formal groups are good for the organisations because formal groups are helpful in achieving organisational goals. An organisation can develop good reward and recognition technique to cultivate advantages of formal groups.

Informal Groups:

     Generally informal groups are created between employees of different departments with random hierarchy. Informal groups are created on the bases of same thinking either positive/negative and friendships. When employees of different departments comes together inside or outside the organisations then informal groups starts to form.

     For every initiative of the organisation, there are discussions takes place inside these informal groups. Informal groups drive the thought process towards either positive or negative.

     Informal groups also plays an important role in the progress of the organisations. Though informal groups plays either positive or negative role in goals achievement of the organisation, an organisation can manipulate the behaviour of such informal groups by rummers and fake news and with effective situations management an organisation can control the behaviour of such informal groups positively towards the goal achievement of the organisation.

     So by effective use of management techniques an organisation can take advantages of formal and informal groups in achievement of ultimate goals of the organisations.

Other Useful Links:

Types of Groups (Formal and Informal) | Management Study HQ

https://www.managementstudyhq.com/types-of-groups.html

Mod-01 lec-22 Informal and Formal Groups - YouTube

https://www.youtube.com/watch?v=6mBLT7gux2I

Business is C2B and not B2C

As a business person we all are aware about the two words like B2B and B2C.

Business to business (B2B)

Business-to-business means one business selling their products to another business like raw materials and products in wholesale. In B2B the quantity of products sold and purchased is large. In general, in B2B, one business states it's requirements and the other business fulfills the demand of the first business.

Business to customers (B2C)

B2C means business to customers. it means the business or the retailers selling their products directly to the end customers. In B2C, the business offering the products to the customers and if that product fulfills some requirements of customers then customers purchase that product.

The C2B Concept

Customers have  certain requirements  and all the products  are not fulfilling  their all the requirements. As you can see, the B2B and B2C business practices are fulfilling only the majority of requirements of its customers and not fulfilling all the needs of their customers.

In such situations, customers are always trying to switch to the products who fulfills their maximum requirements and in this situation the loyalty towards products or brand are not achievable by the businesses and organizations.

If customers switching to other products then businesses have to find new customers for their products and by doing so they are maximizing their expenditure on marketing activities.

There are primary two objectives of marketing activities, the first is to retain the existing customers and second is to maximize implied demand.

Now consider an organisation which always trying to get  feedback  from their customers  and  which is working according to its customer's requirements and trying to provide products which fulfills all the requirements of its customers, then in such environment, the customers are susceptible to be loyal to the organization and trying less to find another products which fulfills their all the requirements. 

This kind of business philosophy is known as C2B.

If an organisation follows this kind of philosophy then it can save huge expenditure on marketing of its retain part and also saves the time of its customers and of its own.

C2B philosophy has several other inherent advantages also.

In today's highly competitive environment, the philosophy of customers to business C2B is more helpful for businesses who are trying to sustain and prosper.

Proven entrepreneurs in the present era are always advocating the business philosophy of C2B.....

Dynamic Management

We all have heard about Strategic Management, Scientific Management and simply Management etc. but in present era of highly competitive and fast changing market, a new term comes into picture that is called Dynamic Management.

Strategic management relativity takes more time where as Scientific management relatively takes more calculations and related time for that calculations. Though both these methods has its own importance and priorities in hierarchy.

But in the present era of fast changing environment, we have to take faster decisions according to circumstances and we have to consider all the factors related to that decision making very fast.

For example, if you take only one month time into taking hire level management decisions then it will be wary late because if you consider a Smartphone market then you can see that there are several new phones launching in the market every month with new technologies and innovations.

If you wait for deciding the technology and innovations in your new product then someone else will introduce it. Research and development has it's own time constraints.

In this situation the role of Dynamic Management comes into play. We have to think in advance. We have to be the first and not the best. We have to believe in future when no one believes in that future.

For example if a product has any quality issues and we comes to know that after mass production, then repetitive purchase by customers will not be possible, but it should not be considered the case of lose.

Influence the demand of that product in the way that makes more single purchase and that single cumulative purchases becomes equal to the repetitive purchases and relatively it will be converted into revenue and profit.

Only of high quality and experienced managers can handle the situations in Dynamic Management.

This blog only indicates about very finite element of Dynamic Management but it can be a guiding direction.

Remember if you will not be succeed then definitely someone else will do it.....

Strategic Leader and Strategic Leadership

Strategic leader is a guiding force to drive an organization in the right direction. Strategic leader choose the right strategy at right time.

Strategy is a predefined set of actions to be taken to achieve certain goals or objectives.

If strategic leader continuously choosing the optimum strategies for various objectives and got success in achievement of majority of objectives then it can be said that the organization is under good leadership.

Strategic leader can be anyone like MD, CEO, COO, General Manager, Project Manager, Team leader or an individual Employee with respect to their work profile.

A strategic leader first of all define the goals or objectives. Then he / she selects alternative course of actions. Then he or she evaluates all the alternative course of actions and do the analysis bye considering various factors affecting the decision making dilemma.

There are two types of factors one is external factors and the other is internal factors. Rules and regulations of the country and geographical area, political conditions, public support, relative image of organization in society etc. are external factors where as good financial conditions, employees support, good relations with labor organizations and progressive environment etc are internal factors.

The effects of various courses of actions are also analyzed at macro and micro levels.

After that, by considering all the factors, the optimum course of actions can be selected and applied to achieve the desired goals or objectives.

Strategies are the big plan and minor changes are acceptable at various stages by time to time and according to circumstances. Plan, Do, Check and Act method is applied.

And in this way strategic leader prove his / her strategic leadership in the organization.

The strategic leader is always open to accept new ideas and always be ready to listen from...