Discussion: Bidding Process

Discussion: Bidding Process
Discussion: Bidding Process
Permalink:
Barbara just received the good news: She was assigned as the project manager for a project that her company won as part of competitive bidding. Whenever a request for proposal (RFP) comes into Barbara’s company, a committee composed mainly of senior managers reviews the RFP. If the decision is made to bid on the job, the RFP is turned over to the Proposal Depment. Part of the Proposal Department is an estimating group that is responsible for estimating all work. If the estimating group has no previous history concerning some of the deliverables or work packages and is unsure about the time and cost for the work, the estimating team will then ask the functional managers for assistance with estimating.
Project managers like Barbara do not often participate in the bidding process. Usually, their first knowledge about the project comes after the contract is awarded to their company and they are assigned as the project manager. Some project managers are highly optimistic and trust the estimates that were submitted in the bid implicitly unless, of course, a significant span of time has elapsed between the date of submittal of the proposal and the final contract award date. Barbara, however, is somewhat pessimistic. She believes that accepting the estimates as they were submitted in the proposal is like playing Russian roulette. As such, Barbara prefers to review the estimates.
One of the most critical work packages in the project was estimated at twelve weeks using one grade 7 employee full time. Barbara had performed this task on previous projects and it required one person full time for fourteen weeks. Barbara asked the estimating group how they arrived at this estimate. The estimating group responded that they used the three-point estimate where the optimistic time was four weeks, the most likely time was thirteen weeks, and the pes- simistic time was sixteen weeks.
Barbara believed that the three-point estimate was way off of the mark. The only way that this work package could ever be completed in four weeks would be for a very small project nowhere near the complexity of Barbara’s project. Therefore, the estimating group was not con- sidering any complexity factors when using the three-point estimate. Had the estimating group used the triangular distribution where each of the three estimates had an equal likelihood of occurrence, the final estimate would have been thirteen weeks. This was closer to the fourteen weeks that Barbara thought the work package would take. While a difference of 1 week seems small, it could have a serious impact on Barbara’s project and incur penalties for late delivery.
1. ©2010 by Harold Kerzner. Reproduced by permission. All rights reserved.
Case Study 735
Barbara was now still confused and decided to talk to Peter, the employee that was assigned to do this task. Barbara had worked with Peter on previous projects. Peter was a grade 9 employee and considered to be an expert in this work package. As part of the discussions with Barbara, Peter made the following comments:
I have seen estimating data bases that include this type of work package and they all esti- mate the work package at about 14 weeks. I do not understand why our estimating group prefers to use the three point estimate.
“Does the typical data base account for project complexity when considering the esti- mates?” asked Barbara. Peter responded:
Some data bases have techniques for considering complexity, but mostly they just assume an average complexity level. When complexity is important, as it is in our project, analogy estimating would be better. Using analogy estimating and comparing the complexity of the work package on this project to the similar works packages I have completed, I would say that 16–17 weeks is closer to reality, and let’s hope I do not get removed from the project to put out a fire somewhere else in the company. That would be terrible. It is impossible for me to get it done in 12 weeks. And adding more people to this work package will not shorten the schedule. It may even make it worse.
Barbara then asked Peter one more question:
Peter, you are a grade 9 and considered as the subject matter expert. If a grade 7 had been assigned, as the estimating group had said, how long would it have taken the grade 7 to do the job?

So much stress and so little time? Take care of yourself: let us help you with your task on
Discussion: Bidding Process
Get a 20% Discount on this Paper
Get Help Now
Calculate the price
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
Sign up, place your order, and leave the rest to our professional paper writers in less than 2 minutes.
step 1
Upload assignment instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
s
Get personalized services with Do My Homeworkk
One writer for all your papers
You can select one writer for all your papers. This option enhances the consistency in the quality of your assignments. Select your preferred writer from the list of writers who have handledf your previous assignments
Same paper from different writers
Are you ordering the same assignment for a friend? You can get the same paper from different writers. The goal is to produce 100% unique and original papers
Copy of sources used
Our homework writers will provide you with copies of sources used on your request. Just add the option when plaing your order
What our partners say about us
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Finance
Thank you
Customer 452445, September 8th, 2021
Business and administrative studies
Thank you so much for your help!!!!!
Customer 452519, November 9th, 2022
Other
THANK YOU SO MUCH!
Customer 452493, May 16th, 2022
Other
Thank you!
Customer 452493, May 29th, 2022
Other
Thank you! :)
Customer 452493, May 14th, 2022
Classic English Literature
Much appreciated - thank you very much!
Customer 452493, April 13th, 2022
Leadership Studies
This is great! Thanks a bunch
Customer 452485, March 1st, 2022
Classic English Literature
THANK YOU SO MUCH!!!! :)
Customer 452493, April 19th, 2022
Anthropology
Thank you
Customer 452445, August 20th, 2021
Education
Looks good. Thank you!
Customer 452523, September 27th, 2022
Philosophy
Thank you! Will definitely use the writer again.
Customer 452443, October 22nd, 2021
Business Studies
I can't even explain how much your help meant to me. Thnk you always
Customer 452443, November 15th, 2021
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat

Order your essay today and save 15% with the discount code ESSAYHELP