Answer this question to avoid losing an important contract or customer

Everyone likes to win, and no one likes to lose. Yet we all lose business sometimes. Losses can be difficult to handle, but many are preventable, as long as we do the work and thinking that really builds long-term customer relationships.

This week, I read a very raw and personal story about a major account loss written by Aureus Asset Management CEO Karen Firestone. Here’s how she felt from the time her client requested an unscheduled meeting, until she got the news.

“In my purgatory hours, I reviewed the client’s holdings, their performance, our previous correspondence, and notes from our meetings; I found nothing alarming, but nothing particularly calming either. The phone rang at exactly 2:30 (and he) got straight to the point. It took less than a minute for him to fire us from the account, very matter-of-factly, with little attempt to acknowledge the eight-year relationship that had seemed (we thought, obviously, in error) to be very positive. (He) explained that they had hired another manager with a very strong track record who required a high minimum investment; they were redeeming from several other managers to meet that threshold. ….By the time I got off the phone and looked at my screen, the transfer information was already there.”

If you have ever lost an important contract or customer, I really feel for you. None of us are robots. We are people with feelings. Losing a customer or contract creates hurt and fear, both of which are huge drags on creativity, energy and enthusiasm — the very things that we need the most when we need to compete for the business again.

The good news is that it doesn’t need to come to this. If you have an important contract or customer in your care, show them that you REALLY care about them by bringing them new ideas today to help them operate or do business better. Here’s a simple question to spark some ideas: “What’s the one thing that would make us look like heroes to this customer, if we could achieve it?”

Robyn Haydon is a business development consultant specialising in business won through formal bids, tenders and proposals. She is the author of two books on proposals and sales, including Winning Again: a retention game plan for your most important contracts and customers http://www.winningwords.com.au/winning-again/

Competition is coming

No matter where you are in the procurement cycle, one thing that you can be sure of is competition. Whether it's from the customer putting your business out to tender again, or from competitors pushing their own agenda, competition never really goes away.

Yet the way we approach the certainty of competition says a lot about our likelihood of future success.

In her book Mindset, psychologist Dr Carol Dweck explains the difference between fixed and growth mindsets. Those with a growth mindset, like champion athlete Michael Jordan, find success through learning and improving. Others with a more fixed mindset regard success as “establishing their superiority”. As a result, while growth-minded athletes see setbacks as a motivating wake-up call, those with more fixed mindsets give up because they are scared to lose.

One way our mindset is evident in business is in how we engage with customers over the life of a contract. Suppliers with a fixed mindset are full of nervous energy when submitting the tender response, in a flurry of activity when getting the contract set up and hit a flat line of delivery over the course of the contract until the Request for Tender arrives again. On the other hand, suppliers with a growth mindset are always bringing new ideas to the customer – not just when they’re obliged to.

As we end the month of January and are about to run full tilt into the rest of the year, it’s time to engage your growth mindset. What do you know about your most important customers' plans for 2015? What big items do they have on their agenda this year? How can you help them achieve success with these? How can you be ready for events that are going to shape and change their business? When you already have the business, these are not challenges to be fearful of – they are exciting opportunities that will help you win again.

Robyn Haydon is a business development consultant specialising in business won through formal bids, tenders and proposals. She is the author of two books on proposals and sales, including Winning Again: a retention game plan for your most important contracts and customers http://www.winningwords.com.au/winning-again/

How to Build Business-Winning Innovation in Your Services Business

Most service businesses sell to business customers — either exclusively, or in addition to consumers.

When you sell to other businesses or to government, and when you reach a certain level, you will be selling to procurement.

For example, Victorian government departments need three quotes for any purchase above $25,000. Above $150,000, they are required to conduct a formal tender.

Most businesses that sell at this level end up winning at least two-thirds of their business through some kind of formal submission. When you win a contract that way, you only get to keep it by competing for it again, generally, once every three years.

That’s a lot of revenue at risk through the procurement cycle.

When I talk to people who sell services, they often tell me that they are so busy working in the business that there never seems to be time to work on it. The marketplace is getting more competitive all the time, and the pace of change is so intense that it can be hard to keep up with what competitors are doing – let alone come up with new things yourself.

To make things even more challenging, there is the frustration that customers don’t really understand what you do, let alone value what you do.

There is a better way to sell services. If you’re struggling with these problems, I can help.

The Revenue Revolution: Building Business - Winning Innovation in Services Organisations is a program for owners and leaders of service businesses. Together, we will look at what your organisation knows, does, and delivers, to identify what you offer that is:

1. Extremely valuable to customers, and has the highest currency right now;
2. May be outdated, and of limited value to customers; and
3. Can be built in order to create greater value to customers over the next 6 to 12 months.

At the end of the program, you will have a blueprint to develop services that will position you as the clear winner with customers or funding bodies.

Contact me for a white paper with more information about how the Revenue Revolution Program can help you grow your services organisation.

The Revenue Revolution: How to win and retain your most important business customers

The Revenue Revolution: How to win and retain your most important business customers
FREE 30-MINUTE WEBINAR

Friday 29 August at 12.00pm (AEST)

Sponsored by Bank of Melbourne

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There is no doubt about it, selling services is tough.

Products are tangible and tactile; we can see and feel them. Services are invisible.

Products encourage two-way conversation; they can be pulled apart, debated and analysed. Services are harder to talk about.

Products usually have masses and masses of information to support them; customer research, data sheets, and product reviews. Services often don’t.

84% of Australian small businesses operate in the services sectors. Most service businesses sell to business customers, either exclusively, or in addition to consumers.

If you sell services, you have probably had at least one experience of talking to a prospective customer about what you do where you’ve been met with polite nods (at best) or blank stares (at worst). Unfortunately, the sale of services often stalls at the presentation stage.

These days, a formal bid, proposal, submission, or tender response is often the only way to win work with business customers. Customers often see only the very transactional parts of what service businesses do, and it is dangerous to keep responding to an agenda that is based on this limited knowledge.

This Friday I’m running a free 30-minute webinar for the Bank of Melbourne to help celebrate Small Business Month. If you run a service-based business, please register and come along.

Creativity Creates Opportunity!

While it's great to have an efficient and effective business that is meeting all the obligations you have today, grasping opportunities requires new thinking. It also means bringing new ideas to your customers all the time — and not just at tender time!

You know the feeling. Business is running along pretty smoothly. You're pretty much on top of your work load. Customers are happy. All’s right with the world.

But the next day, something disturbing happens. A juicy tender comes out that should have your name all over it, but it’s asking for something completely unexpected. You go to a routine meeting with a customer, and they pepper you with questions about a competitor. You meet up with an ideal prospect, and they raise a problem that you haven’t even thought about yet.

The opposite of reaction is not “proaction” — it’s creation. Actor Ray Liotta once said “As soon as I started producing my own stuff, I started getting other roles.” Action generates energy, and energy makes stuff happen.

Lately I have been talking to senior procurement leaders as part of a project I’m working on. All express frustration that their existing suppliers don’t bring them new ideas nearly often enough — in other words, there is just not enough value creation.

The more ideas you create that are of value to customers, the better your business development results will be. What are you creating right now?

A Contract Isn't a Gift for Life!

Winning a contract is really just a licence to keep doing good work. Even when there is an option for the buyer to renew the contract, it’s dangerous to assume that the renewal will happen automatically.  Think of your contract end date as more of a “use-by” date — a hard deadline by which you need to have a compelling strategy win the customer all over again.

As consumers, most of us have contracts that we would rather not put too much effort into.  These often roll over automatically, or are renewed with very little effort on our part. I once went three months before I realised that my phone was out of plan, and therefore the handset was fully paid for. I had to call Optus to get my rate reduced and my money back. Likewise, when insurance is up for renewal, we are often happy enough just to pay the invoice, rather than researching other options.

The businesses we buy from set it up that way, and good for them – they are the ones who are really in charge.

But when you are the supplier, selling to procurement, the situation is very different. The buyer sets the contract and the terms. Even when there is an option to renew, it’s their option, not yours.

Because of the way we see contracts operating in our personal lives, we sometimes tend to assume that “renewal” means “rollover”, but this is a mistake.

Consider for a moment how you think about use-by dates on food. Do you throw out food that is past its use-by? Is the use-by date a hard deadline for you, or more of a flexible one? I was once given a gigantic Toblerone, which I was hugely excited about, at least until I bit into it. The chocolate was crumbly and awful, and it turned out that it was 18 months past its use-by.

No one really wants to test their intestinal fortitude with food that old. In effect, though, this might be what we are asking our customers to do when we treat the renewal of a contract as a given, rather than as a genuine opportunity to win their business again.

Rather than a “rollover”, a more useful way of thinking about your contract end date is that it’s an opportunity for renovation, redevelopment, and reinvigoration. Competing successfully as an incumbent means working on projects that will create customer value, and this project work needs to start well before the contract use-by date.

Take More Risks and Create a Stronger Competitive Advantage

By definition, competitive advantage doesn’t mean doing exactly what everybody else is doing. But it does mean taking risks and moving away from what we know — something that is neither comfortable nor easy to do.

Have you ever seen movies where the hero swings across an impossible impasse, runs up the side of a building, or does a backflip off a dumpster? Then you’ve witnessed parkour, where adventurous types get from A to B using only their bodies and their surroundings to propel themselves. To avoid injury, parkour practitioners must look at their environment in ways that most of us can’t even imagine.

When it comes to the competitive landscape, I reckon we could learn a lot from this idea. We tend to see our market as a familiar track we have run around many times before, rather than as an exciting playground full of new things to try.

For example, in Australia, professional football is big money, and all AFL clubs are looking for an edge to win a premiership flag.

In April, The Age ran a story about Peta Searle, who gave away her job as a high school PE teacher 7 years ago to become a full-time football coach. Searle worked as assistant coach in the VFL (the amateur league), where she built the competition’s best defence back line at Port Melbourne. Port won a premiership in 2011 and came runner-up in 2012. Unfortunately, Searle was paid only $5,000 a year in the role, and needed a job with the AFL to make a decent living. Despite her outstanding track record, she couldn’t get one, and had to give away her football dream.

From a purely commercial standpoint, this is crazy. Searle is a proven performer. If she had been a bloke, her results would have started a bidding war.

Fortunately, Peta Searle’s story has a happy ending. This month, St Kilda recruited her as the AFL’s first female development coach. I’m guessing that St Kilda will have one of the best backlines in the competition before too long, and with it a sustainable competitive advantage.

If you’re pitching for a multimillion dollar contract, you will be in a competition of equals who can probably do the job just as well as you can. Often, it’s the very small things that will tip the buyer over the edge to choose a winner. What will yours be?

Point of View Comes Before Point of Difference — A Tale of Two Big Winners

There’s a lot of talk about unique selling propositions, but clients often see far less difference between suppliers than we think they do. It takes work and commitment to identify your point of view about a new business opportunity, build an offering and a strategy around it, and be rewarded for it. Last week, two of my clients were announced as big winners in the Department of Health’s sector reforms of mental health and alcohol & drug treatment in Victoria. One, a consortium headed by UnitingCare ReGen and Odyssey House, grew their business in all the metropolitan Melbourne regions that they pitched for.

The second, the Australian Community Support Organisation (ACSO) won intake and assessment services across both drug treatment and mental health services in regional areas of Victoria, a significant chunk of new business that adds 30% to their annual operating budget and means they can employ more than 50 extra staff. Both had been setting the ground work and scaffolding that led to these wins for a long time. I worked with Odyssey and ReGen for six months before the RFT came out, and have now been working with ACSO’s business development team for almost a year. All are great people who do great work that helps a lot of people take back control of their lives, and I am beyond thrilled for them. (Congratulations guys!!).

In The Challenger Sale: Taking Control of the Customer Conversation, Matthew Dixon and Brent Adamson set out a solid base of research proving that clients value suppliers who challenge the way they think about how they operate and compete. “Customers appreciate it if you can confirm what they already know to be true”, Dixon and Adamson say, “….but there is vastly greater value in insight that changes or builds on what they know in ways they couldn’t have discovered on their own.”

When the client has bought a service before, every formal tender is a red flag for change. It doesn’t matter whether the Request for Tender explicitly spells out an agenda for change (as the Department of Health’s did) or not.

“Improvement in the status quo” is the underlying expectation that sits behind every Call for Submission, Request for Tender, or grant proposal request you will ever see. It’s a warning for incumbents to up their game, and an opportunity for challengers to come up with something new and exciting for the customer to buy.

Manage Your Commitments, Master Your Success!

Although we all want to win new business, in truth, we are often valuing something very different when it comes to the way we are spending our time.  Woody Allen famously said that 80% of success is just showing up.  What he really meant was that 80% of success is doing the work, and then “showing up” well prepared, in the right place and ready to pitch to the right people.

“People used to always say to me that they wanted to write a play, they wanted to write a movie, they wanted to write a novel, and the couple of people that did it were 80 percent of the way to having something happen,” Allen has said. “All the others struck out without ever getting that (far). They couldn’t do it, that’s why they don’t accomplish a thing, they don’t DO the thing. Once you do it, you are more than half way towards something good happening.”

He’s right — success starts with commitment and intention.

Something I have noticed in my Persuasive Tender and Proposal Writing Master Class— through which I’ve trained several hundred people — is that the students who are highly committed, keep promises to themselves, and do the work get huge value from the program. Students who lack commitment, or become distracted, don’t end up achieving as much as they could have. Their success has little to do with how smart they are, or what they have to offer. It’s all about how they show up.

Likewise, if you have a growth agenda, and are pursuing new business through formal bids and tenders, don’t get distracted by other things while you’re waiting for the RFT. Successful pursuits are the result of intentional positioning, and being clear about your personal commitment to the outcome.  To start with, ask yourself these questions:

• What will it mean for my business if we win, or do not win?
• What do I personally stand to gain from this?
• Have I really committed to this outcome?
• Do I know what it will take, and do I have a clear plan to get there?
• Is there space in my life and calendar?
• Do I have mentors around me who can accelerate my success and keep me accountable?
• Do I have supporters who can help me get the work done? 

Are You Playing a Finite Game with Your Most Important Contracts and Customers?

Retaining business is a game of strength and stamina, but it often doesn’t feel that way. The milestones imposed by the procurement cycle put invisible limitations on the way that we approach the job of selling, particularly to existing customers. In his new book Game Changers, Dr Jason Fox —an expert in motivation and game design for meaningful work— says there are two types of games we can play; finite games or infinite games.

Finite games are played for the purposes of winning, while infinite games have no fixed outcome — only the sense of progress.

I reckon this is a neat way of describing how we view the game of pursuing and retaining business.

Most new business pursuits are treated like finite games. We win, or we lose, and we move on. Wins are inherently motivating, while losses have the opposite effect. There is actually a third outcome that some find even more demotivating than a loss; no outcome, despite a lot of effort. I can remember two such situations. Years ago, I worked with a large professional services firm on a bid for a multinational client. At what was supposed to be a celebration dinner for the bid’s lodgement, the lead partner told us that the bid had been pulled due to competitive concerns from an international office. Two dozen faces around the table dropped like stones. On another occasion, I was working on bid with a team from the UK when my father-in-law died. Due to the deadlines, I was the only person in the family who couldn’t take time off to support my partner or help with funeral preparations. Months later, we heard that funding for the program we were bidding for had been cancelled due to a policy change. In both cases, thousands of hours of work went down the drain.

Thinking of new business pursuits as a finite game is okay up to the point where the contract is won, but what happens next? Nurturing and building relationships with an existing client is an infinite game – a game of patience, possibility and progress. But because the procurement process introduces artificial milestones — because we know we have to re-bid for the contract every three years — this makes it feel like a finite game. As a result, we spend too much time using the existence of the Request for Tender as an excuse to procrastinate, instead of making progress. This is a losing game for us and for the customer.

If the contract signing is the whistle signalling the first bounce at a football game, the first RFT is just the first quarter siren. Even when competition is tough, and change is endemic, there’s no reason your relationship with the customer can’t extend for all four quarters — more than a decade — and for years and years after that. The game of serving a customer needs to start the day the new contract is won, and it is a game that doesn’t need to end unless you want it to.

What Does It Really Take to Win Business through Continual Innovation?

Innovation is not a one-time thing – it’s an “all the time” thing.  Individuals and teams who keep thinking and keep innovating are always going to win more business than those that don’t. Bidding to provide services, in particular, is never going to be 100% transactional and all about price. It is always about something more. Buyers need help to navigate complex problems that weren’t conceived of a year ago — let alone 10 years ago — but some suppliers are still offering solutions that are well out of date. New solutions can come from anywhere; from a multinational in Texas to a small business from Australia.

For example, Birdon, a small-to-medium marine engineering company from Port Macquarie, was recently awarded a contract worth $A285m to supply the United States Army with 374 specialised boats.  Birdon won against global competitor General Dynamics in a four-year tender process. SmartCompany ran an interview with Birdon Group General Manager Iain Ramsay, in which he acknowledged innovation as the key to the bid’s success. Birdon had purchased an innovative marine propulsion system when it acquired another company, NAMJet, in 2011. Ramsay said  “Our boat design was superior to its competition… The innovation which went into it allowed us to win, even though we weren’t the cheapest on price.”

Innovation isn’t it just about the systems, products and services you build. It’s actually about having a process for continuing to generate improvement ideas.

There are formal, organisational innovation processes like the Ten Types of Innovation, and then there are things that we can each do individually to improve our ability to innovate. In an interview with emotional intelligence expert Daniel Goleman, Teresa Amabile — Director of Research in the Entrepreneurial Management Unit at Harvard Business School — identified the four key ingredients for continuous innovation by individuals as domain expertise; the ability to learn new things; creative thinking; and working hard. Domain expertise is about having a depth of knowledge and skill in the area you work in. Being able to learn new things — both inside and outside of what you do and know — will help with creative thinking and original ideas.  Hard work speaks for itself.

To me, this sounds like a pretty good recipe for career success. When innovation becomes a habit, you win, the team wins — and so does the customer.

Why Making Assumptions Could Just Land You A Winning Bid

One of the reasons why sales people who are trained in consultative selling methods can find it challenging to write bids and proposals is because the writing process lacks the feedback loop that they are used to. On the other hand, bidders who are successful in picking up new business through formal bids and tenders — even with prospects they’ve never met or spoken with before — are great at providing insight into the problems and issues the prospect is likely to be facing based on what they know about the clients that they are already doing business with. These assumptions, based on their expertise, are what form the core messages of their winning bid.

One of my favourite sales experts is Jill Konrath, who wrote the book Selling to Big Companies and who writes an excellent blog on sales. She also has a lot of great ideas about successful strategies for achieving cut-through with what she calls “crazy-busy prospects”, who just aren’t interested in educating suppliers any more.

In this video, Jill has posted the best and most succinct example I’ve seen so far as to why making assumptions works in sales.  It will only take 90 seconds to watch and Jill has thoughtfully provided a summary as well, so you can read it if you’re not in a position to listen.

Why Innovation Matters to Your Most Important Customers

Have you ever lost a bid or contract because the winner put up something different to what the buyer was asking for?  Then you lost to a competitor who was better at innovation. If you win almost everything you bid for, congratulations. It’s likely you are doing something innovative that creates enormous customer value and that your competitors haven’t yet been able to copy.

However, your current innovation won’t hold your market space forever.

Eventually it will become best practice in your market because it resets the baseline expectation of the customer.

Remember Palm Pilots? I used to have one of those. Palm Pilots, Pocket PCs and Blackberries were the first wave of the smartphone category. Some of these were available as early as the turn of the century (which makes them sound as old as they seem to us now). These early smart phones were an innovation that killed off the market for paper diaries.

The iPhone launched in 2007 and revolutionised the way we organise and live our lives forever.

But similar Android smartphones started appearing in 2008, and two years later they were everywhere. Apple’s iPhone innovation dominated the mobile market for a decent amount of time (in tech years) but things have changed. By the end of 2014, Samsung accounted for 32.3% of all smartphone shipments, while Apple came in at No. 2 with 15.5%. That means that Samsung now sells double the number of smart phones that Apple sells.

Continual innovation — not just continual improvement – is the key to holding an incumbency advantage in long-term contracts with business customers.

In their book Ten Types of Innovation: The Discipline of Building Breakthroughs, Larry Keeley, Ryan Pikkel, Brian Quinn and Helen Waters explain that innovation works best in teams, as no individual can possibly know enough to innovate by themselves. According to their research, the most successful innovators analyse the patterns of innovation in their industry and tackle the hardest problems first.   They emphasise that innovation isn’t about what easy for us — it’s about solving deep problems for our customers. 

I’ve seen first-hand that innovators who solve their customers’ most entrenched and difficult problems are more successful than anyone else when it comes to winning bids, retaining customers and growing revenue. So what are you innovating right now?

Your Credentials Are Not a Sales Pitch – or Why Not to Fall in Love with Your Own Story

There’s more information in the market than ever before, but two things haven’t really changed.

The first is that customers really only care about their own pressing problems — the things that they are charged with figuring out or delivering within their own organisation.

The second is that the great majority of suppliers are, naturally, quite keen to sell their own products and services.

So, as a result, there is often a real disconnect in the way that suppliers deliver their message to customers.  Many “proposals” are really just credentials pieces that push the supplier’s story and assume that the customer will be able (and motivated) to read between the lines and see how that’s relevant to them. This is just showboating — it’s not an actual sales pitch.

The rise of competitive tenders has actually compounded this problem, because “proposal production” has become an assembly-line job that is delegated to the least experienced and least knowledgeable members of staff. A lot of the boilerplate information available to cut and paste into proposals is really just white noise to the customer, who is busy being kept awake by problems that suppliers don’t seem to understand and definitely don’t look like they have a solution for.

Too frequently, suppliers often become unhealthily attached to our own story, and it takes maturity and presence to know when it’s time to change a pitch we spent a lot of time and effort on.

In The Challenger Sale: Taking Control of the Customer Conversation, authors Matthew Dixon and Brent Adams describe a pitch that a group of sales reps had spent six months putting together, and that they had to change on the fly to focus on the single issue the customer CEO had most on his mind the day they got a chance to see him.  It’s a good reminder that the sales pitch you prepared is not necessarily the one that the customer wants to hear — or the one that will actually end up closing the deal.

Obsess about Your Customers, Not Your Competitors

Do you spend a lot of time watching what your competitors are doing? If so, it might be time for a re-think. It's summer time in Australia, and for many of us in business, it represents an opportunity for down-time and reflection that we don't get time for during the year. It's tempting to spend that time in contemplation of what competitors are doing — but if you do this, it will only make you crazy.

We all present the best and shiniest face of ourselves to the public. So if you're trolling competitors' websites, looking at their social media feeds and everything that they're putting out publicly, it's likely that what it looks like they're doing is a lot shinier and more impressive than what they actually are doing.

At best this is historical (and sometimes aspirational) information, and at worst it’s simply fiction — not to mention a huge waste black hole of wasted time and effort.

I've worked with companies in industries where every player focuses obsessively on their competitors, and it is a great way to get a headache, not a customer.  This makes perfect sense when you think about it. If everybody in your industry is spending time watching each other, then who is looking at what the market is struggling with or asking for?

So, if you are planning to spend this summer developing your strategy for 2014, start by looking at what your market and your customers are doing. What did they achieve last year? What are they looking to do in 2014? Where are there gaps that you can help them with?

Focus on your customers and what you can do for them — not your competitors — because that's where true competitive differentiation (and sales) actually come from.

Dear Procurement: all I want for Christmas is…

Last December I ran this letter in the Winning Pitch, and it had the highest open rates of all my newsletters in 2012. So if you missed my Christmas letter to Procurement it, here it is again, with a few amendments to bring it up to date for 2013. Unfortunately, the bad news is that not much has changed in the buyer/supplier relationship in the past twelve months. The good news is that there is still room for improvement!

Here's hoping that the New Year brings more balance for all of us in the tendering system. No matter what side of the fence you sit on, I wish you a Merry Christmas and a happy New Year :-)

Dear buyers,

You need stuff done; we know how to do things.  We need each other, and we really want to work with you to do great things together.

Unfortunately, the tendering system is turning us into adversaries, not collaborators. Like us, you are probably drowning under a pile of forms and schedules, and you must be wondering if there is a better way to make buying decisions.  We think there is.  Here is how, with only a few small adjustments, we can change this system for the better.

• Let us talk to you again. A tender isn't the only way to scope the market and for complex purchases, it really isn't the best option. So let’s have a chat. Things change quickly and you might be surprised about what we can do for you now that you haven't yet heard about. And, while we’re on the subject…
• Bring back Expressions of Interest.  If you want to assess potential suppliers on paper, why not use an EOI, rather than an RFT? These are short and reasonably straightforward for us to complete. They make us feel like we’re in with chance, and not like we are jumping over a very high hurdle for a very small likelihood of return.
• Say what you mean. Years have passed since the introduction of competitive tendering, but the tenders themselves haven't changed very much in all that time. They are often hard to interpret, and the evaluation criteria don’t always match the questions. With better instructions, any supplier with a bit of common sense will be able to bid confidently. That’s good for you, and it’s good for us.
• Timetable a response period that’s reasonable. We run a pretty tight ship these days; our staff are stretched and it can be difficult to keep up with complex RFT requirements and shrinking deadlines. Crunching us for time because you’re late to market only means you get rushed, poor quality submissions. On the other hand…
• Don’t issue a timetable and then grant a last-minute extension just before the deadline. This unfairly disadvantages (and discourages) the suppliers that are prepared, and have made it a priority to respond to your RFT.
• Please, answer our questions when we ask them. We think very hard before we submit questions about an RFT, because we don’t want to waste your time. But often, we don’t get meaningful answers (or sometimes, any answers). Better information will mean better proposals for you to evaluate.  And finally…
• Have a heart - don’t drop a tender on 21 December.  We know you like to come back to a full inbox, but we would like to see our families too.

There's no doubt the tendering system could work better, and together, we have the power to make it happen. 

You know, at the end of the day, we are all just people. We all put our pants on one leg at a time. So come meet some of us; we bet you will like what you see and hear.

With hope and best wishes for a Happy New Year, Your Prospective Suppliers

The Power Of Graphics For Page-Limited Submissions

This week, I’m coming to the end of a strategically significant bid process, working with a large team on a submission that has been in the making for a very long time. I will miss this delightful, talented and committed group of people very much when we hit “send” on the proposal next week. This is a consortium submission from incumbent suppliers pitching to retain a complex range of services worth tens of millions of dollars, and where dozens of people’s jobs are on the line.

Notwithstanding the bid’s complexity, the RFT response templates are — as always, it seems, these days — highly limited in what they will let us include. In one case, we have a total of three pages to cover our expertise, experience, and understanding of the service delivery need. Getting this message across within such tight word limits is extremely difficult, and we have used graphics extensively in this proposal to help overcome our space challenges.

Unfortunately lack of space in RFT responses is a trend that isn't going anywhere.  (Check out my blog post "Why Buyers Are Asking For Short Proposals").

Last year I ran a short program in conjunction with Colleen Jolly of 24 Hour Company in the USA on International Best Practice in Proposal Graphics.  Today, Colleen shared a link to an article written by Mike Parkinson — her colleague and the author of Billion Dollar Graphics — on the topic of Using Graphics in Page-Limited Proposals.

It seems Mike’s clients over in the USA are feeling the same pain as my team and I are feeling here. Mike says “RFPs often ask for the sun, moon, and stars in 10 pages. The challenge we face is when, where, and how do we add graphics to a 10-page proposal (that should be 40 pages to effectively answer the RFP)?”

If you’ve wondered about this yourself, check out Mike’s article where he discusses the reasons why graphics are easier to understand than text alone; why they get the point across more quickly than words; and how graphics reduce perceptions of risk.

"Trust Me – I’m A Professional" - The Limitations of Defaulting To Your Expertise

For technical professionals, such as engineers and project managers, getting a report or recommendations accepted often means getting the customer’s head around fairly complex concepts and problems that the professional understands a lot better than the customer does. Despite this, it is often difficult to convince technical professionals that they shouldn’t be peppering their technical reports with dense and impenetrable jargon that nobody really understands but them.

Last night, I had the pleasure of presenting a webinar to a group of 120 young engineers on the topic of Customer Focused Writing. It's always great working with groups of young professionals who are open to new ideas.

Getting people to actually adopt and integrate new techniques - as opposed to just seeing and hearing them presented — is one of the great challenges of a teacher, and particularly one who only gets to interact with trainees once and for a couple of hours, as was the case for me last night. Often the best that you can hope for is that people understand enough about the need to change that they are compelled to review and practice the techniques they have been shown, and to build upon the limited exercises that they get to do in a short training session.

One of the techniques we looked at in the webinar was how to present complex technical concepts. To illustrate the idea that densely packed technical language is hard to understand, I had the group analyse a piece of medical writing that was unfamiliar to them. This piece only contained 150 words, but most people could identify more than 20 unfamiliar terms. That’s almost 15% of the document that the audience had absolutely no hope of understanding.

At the end of the webinar, I was encouraged by comment that came from Paul, who said "You know, I write reports all the time, and I usually just present my recommendations. I never really think about just how much work needs to go into making them persuasive." I’m pretty confident that Paul does now, and that his career will benefit enormously as a result.

Think Like A Journalist When Planning To Present – by Simon Mossman

To be persuasive, you need to have a point of view, and then you need to make an argument that brings the audience around to that point of view. This is something that journalists do every day, and do very well.  I strongly believe that the more you read of what professional journalists write, the better your writing will be.

A friend of mine, Simon Mossman, is a former journalist, and he has written a Slideshare presentation on a related topic.

These days Simon is a media and communication advisor and presentation skills coach, working with business owners and corporate leaders to address their business challenges through communication. If you like this presentation, check out Simon’s blogs at www.commseilleur.com and www.confidencetricks.com.au

Why you should think like a journalist when planning to present from Simon Mossman

Why buyers are asking for short proposals

Like me, you are probably seeing a lot more word and page-limited tender response requests coming out from the market these days. A quick check of the tenders I worked on over the past six months revealed that more than half had page limits for responding to each criterion. On the surface it makes sense as to why this might be happening. After all, if you're a procurement officer or a buyer and you're expecting dozens or hundreds of tender responses, you would want them to be as succinct as possible so that you don't have to wade through pages and pages of unnecessary information in order to score the response. Page limiting and word limiting proposals might reduce your workload by as much as 50%.

But there's another reason why it's a good practice to ask for word and page-limited responses.

That's because buyers understand that it actually takes much more effort to write something within a tight set of limits than it does when no limits are given.

There's a famous quote by the French mathematician, physicist, and inventor Blaise Pascal, who lived in the 17^th century. Pascal said, "I have made this letter longer because I have not had the time to make it shorter."

To me, that sums it up nicely. When suppliers are not limited in how much information they can provide, it's easy to just throw the kitchen sink into the bid and let the buyer sort it out. This has led to a lot of lazy, assembly line proposal writing.

Buyers know that they will get better quality responses if they force you to think about how you can make your proposal shorter. If you have less space and fewer words to get your point across, the good proposals will be better —and those that were never going to be any good anyway at least won't be as tiring or taxing to assess.