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1、Bid management: A systems engineering approachSimon P. Philbin?Institute of Shock Physics, Imperial College London, South Kensington, London SW7 2AZ, United Kingdoma r t i c l e i n f o a b s t r a c tAvailable online 25

2、 October 2008 The successful management of bids is of fundamental importance to project-based organizations,such as many high technologycompanies.However, there isa distinct lack of formal methodologiesto help bid manage

3、ment practitioners cope with the complexities around developing contractopportunities through the bid management cycle and converting bids into funded projects. Frombuilding on literature studies into bid management and

4、project management through systemsengineering, this paper provides a new systems-based process for bid management. Thisconceptual framework is supported by extensive literature studies that provide representativesystems

5、related tools, techniques and methodologies for each stage of the process.© 2008 Elsevier Inc. All rights reserved.Keywords:Bid managementSystems engineering1. IntroductionAn organization's capabilities in the m

6、anagement of proposals or bids can have a direct and major impact on its success (JudStrock,1994). No more is this the case than within organizations that operate on a project basis (Hobday, 2000) such as within a raftof

7、 high technology industries, namely the aerospace (Thomsen, Kunz Peña-Mora Schwalbe, 2006).In this context a project can be viewed as an organizational abstraction of the contract and the project is managed in ord

8、er to deliverthe requirements detailed in the contract. These requirements are governed by the contractual terms and conditions, which are furthergoverned by national, or international, legal requirements. However, in or

9、der to transition to this delivery phase that is associated withfulfillment of the contract requirements, there is a need to first ensure that a contract is signed and that any proposals or bids that wererequired to supp

10、ort this process are produced satisfactorily. The generation of bids is therefore essential in order to allow project-basedorganizations initiate new projects and hence to deliver the corresponding organizational outputs

11、. Bids are delivered to externalcustomers and they are then assessed against customer requirements, such as value for money and cost considerations, technicalperformance as well as schedule and delivery aspects. Bids tha

12、t are successful then transition to become projects. Therefore, themanagement of bids and the corresponding transition to project status after winning a bid is an important area of management.This general area of operati

13、on for an organization can be characterized as involving the emerging discipline of bid or proposalmanagement. This is an area of management that can be highly complex with many uncertainties, yet has received little att

14、entionin the academic literature. In fact this subject has featured more extensively in the sphere of management consultancy. There is ascarcity of understanding in the systematic application of conceptual models to aid

15、practitioners in the area of bid managementand there is a general lack of awareness of some of the underlying issues. However, there have been many studies into theJournal of High Technology Management Research 19 (2008)

16、 114–127? Tel.: +44 20 7594 8605.E-mail address: s.philbin@imperial.ac.uk.1047-8310/$ – see front matter © 2008 Elsevier Inc. All rights reserved.doi:10.1016/j.hitech.2008.10.004Contents lists available at ScienceDi

17、rectJournal of High Technology Management Researchjournal homepage: www.elsevier.com/locate/hitechBertolini, Braglia, and Carmignani (2006) have proposed the analytic hierarchy process (AHP) as a tool to help the generat

18、ion ofproposals for public works contracts. The study points out that an inability to properly manage the proposal phase can lead to anumber of problems, such as the incorrect allocation of resources, communication diffi

19、culties and even missed or lost contractopportunities. The authors surmise that it is sensible to deploy the required tools, techniques and decision-making processes inorder to help the production of a winning proposal.

20、The AHP methodology was developed in order to directly help inform thedrafting of proposals and the supporting decision-making processes; it is composed of two distinct phases which are the definitionof a hierarchy tree

21、definition and the subsequent numerical evaluation of the tree. The output of the process being, in the casedescribed, information on the recommended discount to be used for the proposal and this method is therefore used

22、 to improve thecommercial value offered by the proposal.Bid management has been investigated from a knowledge management perspective (Apostolou indeed thisdifficulty represents a major challenge for many organizations t

23、hat seek to enhance their corporate knowledge repositories andassociated management processes (Coff, Coff, construction bid price evaluationusing statistical analysis (Salem Hiyassat, 2001); and the development of indic

24、ators for assessing final construction costs at thetime of bidding (Nutakor, 2007). Finally, the subject of bid documentation has been discussed (Gooley, 2003) and in particular theimportance of incorporating the necessa

25、ry types of information in request for proposal (RFP) documents.3. Project management through systems engineeringThe combination of engineering methods, such as statistical process control and more generalized forms of i

26、ndustrialmanagement has been shown to contribute to the management of high technology products (Thamhain, 1992). Indeed themanagement of high technology projects can benefit from different approaches, such as risk manage

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