~A proposal is a written offer from a seller of the idea to a prospective buyer of the idea. Proposals are often a key step in the complex process—i.e., whenever one considers more than one option in a situation.
~A proposal report puts the standard requirements in a context that favors somebody or a group and educates the buyer of the idea that the proposal is able to satisfy certain needs or solve certain problems.
~The proposal in a given situation, gives both parties what they want, a win-win situation.
There are two forms * The letter form * The formal form
There are three distinct categories of business proposals: * Formally Solicited * Informally Solicited * Unsolicited
A. Formally Solicited Proposal
Solicited proposals are written in response to published requirements, contained in a Request for Proposal (RFP), Request for Quotation (RFQ), Invitation for Bid (IFB), or a Request for Information (RFI).
Based on the response to RFI, detailed RFP is issued to qualified vendors who the organization believes can provide desired services. Proposals in response to RFPs are seldom less than 10 pages and sometimes reach 1,000's of pages, without cost data.
1. Request for Quotation (RFQ) Proposal
~Customers issue RFQs when they want to buy large amounts of a commodity and price is not the only issue--for example, when availability or delivering or services are considerations.
~RFQs can be very detailed, so proposals written to RFQs can be lengthy but generally much shorter than RFP-proposal.RFQ proposals consist primarily of cost data, with small narratives addressing customer issues, such as quality control.
2. Invitation for Bid (IFB) Proposal
~Customers issue IFBs when they are buying some service, such as construction. The requirements are detailed, but the primary consideration is price.
For example, a customer provides architectural blueprints for contractors to bid on. These proposals can