MINNESOTA SOCIETY OF PROFESSIONAL SURVEYORS

2012 ANNUAL MEETINGF E B R U A R Y 1 5 - 1 7 , 2 0 1 2

J O H N M A T O N I C H , P . S .

Winning Contracts with Successful Proposals and

Presentations

You have opened the mail and someone is asking for your services (along with some others)……..Now what?

Respond or Not?

Implement a Go/No Go procedure

May be quite simple

Pre-Qualify Clients

Understand the potential relationship

“I fired my last surveyor”

PROPOSAL TYPES

RFQ – Request for Qualifications

RFP – Request for Price

PREPARATION

Gather examples of similar proposals

Establish background

Site visit

File review

Prior projects

Communication

Prospective client

In house staff

Good differentiation requires good research

RFQ BASICS

Tailor Package to Specific Proposal

Can use “canned” material for fillerGuard Against Negative Impression

TyposMisspellingsAwkward DesignSub-Par Aesthetics

Make Sure Message is Clear

OWNER EXPECTATIONS(Prospective Clients are Getting Much Smarter)

Basic Contact InformationQuality Photography

Review Examples for IssuesSafetyConflict of Interest

Organizational HighlightsAnswer the Question:

“ Why This Firm?”Be Brief and To The Point

FORMAT

Cover letter Address “Why be hired?” Include hook

o Hit hot button

Representative ProjectsReferencesGeneral Firm infoResumesCosts

Not only state WHAT is included in cost, but also what is NOTincluded

Tailor as much information to fit specific proposal, as possible.

COVER LETTER EXAMPLE

COVER LETTER EXAMPLE (CONT’D)

POTENTIAL MARKETING MATERIALS:INCLUDE YOUR BRAND

Project Sheets

One Page (color)

Brief Description

PICTURES

Resumes

One page with picture (color)

POTENTIAL MARKETING MATERIALS (CONT’D) :

General Firm Background/Brochure

POTENTIAL MARKETING MATERIALS (CONT’D) :

Mailers

General Service

Postcards or

Tri-Folds

POTENTIAL MARKETING MATERIALS (CONT’D) :

Exhibit Pieces

Project Pictures – Large Scale

POTENTIAL MARKETING MATERIALS (CONT’D) :

Copies of Technical Articles, Publicity Pieces, or Press Releases

References

POTENTIAL MARKETING MATERIALS (CONT’D) :

Testimonials (Great Additions to Other Items)

Client Comments

•“I love working with ROWE on projects. Leanne is always so helpful! Anytime we ever need anything she always gives above and beyond to make sure our questions are answered. Hope to do many more projects with her in the future.” 2008, Tina Sauve, Village of Metamora (Dryden Road Resurfacing)

“Doug’s creative design and welcoming attitude towards our project was exceptional. He listens intently and works through the concept challenge to exceed expectations. If you want to see an amazing, creative, and neighborhood friendly project that is best in class design, you have to see Doug’s work at the Midland Community Center.” 2008, Chris Tointon, Midland Community Center

POTENTIAL MARKETING MATERIALS (CONT’D) :

All info together called “Statement of Qualifications” (SOQ)

POTENTIAL MARKETING MATERIALS (CONT’D) :

INDIRECT MARKETING

Organization Memberships

Service Clubs

Church

Chamber of Commerce

INDIRECT MARKETING

Community Supporter

Support Ads

Volunteerism

Sponsorships

INDIRECT MARKETING (CONT’D)

Pertinent Show Exhibitor

Education/Speaking Opportunities

Written Pieces

Articles

Mailings

INDIRECT MARKETING (CONT’D)

Existing Equipment

Survey Trucks

Office Building

Crew Members

How does your

equipment, staff and

office work?

RE-CAP

Qualification Packages Do Not Win ProjectsTheir Presentation of Relationships Do

Package Must Explain Why a Firm is Worthy of Performing the Project

Must Create a Positive First ImpressionDifferentiate Your Firm From Your Competition

Written Specifically for this Request and Not Off the Shelf

Watch and Eliminate Extraneous Material that is Not Serving the Goal

PRESENTATIONS

Know your audience Who is on selection committee

Use naming process

Find out who is the UDM (Ultimate Decision Maker)

Visit the UDM prior to presentation The bigger the project, the more visits necessary

Shows aggressiveness

Elevates importance of your firm

Separates you from competition

Make sure to listen!

Use people around UDM if UDM unavailable

Start at the end What is the decision you want

Understand UDM

Process

Results

Bureaucrats

want ABC

approach

Middle Managers

(get yanked

both ways)

CEO wants CAB

approach "Start

at the end"

Use this model to identify clients and then assign right staff to handle

POWER OF THREE

Most people remember 3 things

Rules for using power of three Invoke Power of Three

“There are three reasons to hire us……”

Make them short

Use the most important as #1 or #3

Give them the finger

ORGANIZE YOUR AUDIENCE

Parts to your presentation Promise – Most important part

It’s the “hook”

It should separate you from your competition

Prior points

Use three of them and make sure they know

Conclusion

Repeat promise

Grand Blanc Township Example

CONTRACTS

Always have a written contract that outlines:

Scope of services

Fee Schedule

Standard terms

Have it reviewed by E&O carrier

GENTLEMEN’S AGREEMENT -

“A deal that neither party cares to put into writing.”

-ANONYMOUS

CONTRACTS

CONTRACTS

Special Provisions:

Client bound to contract

Shall not assign contract to others

If some provision is found invalid, others are still valid and binding

Shall not be liable for delays

Mediation/Arbitration clause

Fee escalator clause

CONTRACTS

Special Provisions (cont’d):

Consultant not liable for actions of others

Client pays cost for litigation necessary to enforce this contract

No understanding except as in contract

Papers and documents are property of consultant

Retain the right to lien

CONTRACTS

Special Provisions (cont’d):

Estimates are estimates only

Consultant makes no warranty

Right to complete services

Billed monthly

A late fee of _% per month

Client pays for extra work

CONTRACTS

Special Provisions (cont’d):

Required wage increases paid by client

Client pays for survey re-staking

Client pays all fees connected to project

Right to terminate contract of suspended or abandoned project

Right to terminate contract if not paid 30 days after invoice

HOW TO NEGOTIATE CONTRACTS

Is the client in trouble and needs your help?

Be patient

Understand Deadlines as used by buyer

Fee vs. Deadlines

Make small concessions

Don’t get trapped by the ballpark figure for planning purposes

HOW TO NEGOTIATE CONTRACTS

The client wants to get the negotiation completed just as much as you do

Negotiate with the right person

Aim high and come out better

Don’t believe everything the client tells you

Believe in the quality of your product

Trade off a limit of liability clause for a lower fee

QUESTIONS & DISCUSSION

John D. Matonich, P.S., President & CEO540 S. Saginaw St., Ste. 200Flint, MI 48502

Phone: (810) 341-7500Fax: (810) 341-7573jmatonich@rowepsc.com