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Any properly conceived idea, service, project, plan whether theoretical or practical in nature, put forward for action or implementation is a proposal
A proposal is a document that requests support-usually money- for work a proposer wants to do. what makes a proposal a proposal is that it asks the audience to approve, fund, or grant permission to do the proposed project.
To buy a service To convince the reader of the existence of a
situation and to take a course of action To convince your department of your need
for a new technology To provide you with funds (loan/grant)
Internal and External-according to the target audience
Solicited and unsolicited-according to the source
Business Proposal, Research Proposal, Technical Proposal- according to contents and objectives of the proposal
Internal proposal: If you write a proposal to someone within your organization, it is an internal proposal. With internal proposals, you may not have to include certain sections (such as qualifications), or you may not have to include as much information in them.
External proposal is one written from one separate, independent organization or individual to another such entity.
Solicited proposal: If a proposal is solicited, the recipient of the proposal in some way requested the proposal. Typically, a company will send out requests for proposals (public announcements requesting proposals for a specific project ) through the mail or publish them in some news source.
Unsolicited proposals are those in which the recipient has not requested proposals. With unsolicited proposals, you sometimes must convince the recipient that a problem or need exists before you can begin the main part of the proposal.
Written to someone within your organization. example:The chairman of a company asks the personnel
manager to develop a training program for the new recruits
No need to include qualifications/bulky information
Can be submitted in the form of manuscript/memo.
Content of an internal memo comprises of the problem, suggested solution, the financial effect and how the suggested plan is better than the existing one
Written from one separate, independent organization or individual to another such identity .
Recipients could be existing or prospective clients
ex: An independent consultant can propose to
do a project for another firm / An advertising agency may propose to design a scheme for a nationwide ad campaign for a bank
Internal External
Are the basis on which decisions are taken within the organization
Are the basis on which contracts could be drawn up
Are not competing with other proposals
Not a legal binding
Are prepared for recipients outside the organization
Are meant for internal decision making
May often compete for business
If accepted, external proposal become legal binding
Response to some invitation by other companies Companies invite proposals from goods/service
providers to compete for the business. Such invitations are called Request for Proposals (RFP)
RFP contains details about the project, its nature, specifications, a time frame and an approximate cost
RFPs are sent to various reputed companies and are also published in newspapers and magazines
As a response to such invitations, business proposals are made
Generally promotional in nature When you initiate a proposal yourself Generally persuasive in nature and claim to solve an
existing problem in a company Form of detailed advertisement/brochure that introduces
the company to prospective customers showing variety of services it could provide , range of expertise it possesses and possibly earlier clientele
Can be internal/external Ex: you perceive that some changes in the hiring policies of
your company could improve morale and performance of company’s employers-unsolicited internal
Ex: a govt agency is attempting to improve working conditions and advertises the availability of funds for rectifying common problems. The agency invites any qualified person to submit a grant proposal using agency’s guidelines.-external solicited document
Business Proposal-If a proposal deals with any aspect of business , commerce or industry
Research Proposal-If it is concerned with a project requiring scientific enquiry or systematic investigation
Technical Proposal-When the objective of proposal is to modify or create something requiring technical knowledge and skills.
Classification According to Contents and Objectives of the Proposal
AIDA (Attention, Interest, Desire, Action) Attention-is caught towards what is being
proposed Interest-is created by pointing out how
the plan would be executed Desire- to accept by highlighting the
benefits or advantages that would accrue Action-An impulse for action is induced
by persuasive reasoning
1. Title Page Cover of the proposal Contains-title, name & designation of
proposer, name of the organization to which he belongs to, month & yr of submission
2. Table of Contents-given only when the proposal is long running into 15 or more pages
3. Executive summary- Summary of entire proposal Problem Solution (what will take place/how many people will
benefit/where it will operate/for how long/who will staff it)
Funding requirements Organization & its expertise4. Statement of the Problem- Enables the reader to learn more about the issues Presents the facts and evidence that support the need
for the project Establishes that your organization understands the
problem and can reasonably address them
5. Objectives- To what extent your proposal is going to
solve the problem or effect the change should be clearly specified
May be listed in terms of long term and short term goals
6. Technical Plan- Describe In technical terms how the proposal
would solve the problem Discuss theoretical principles / analytical or
experimental methods to be followed Equipment/instruments/materials needed and
how you are going to utilize them to execute the proposed project.
In case of production of a new instrument, component or part of a machine, highlight technical/operational advantages that would accrue from it.
7. Management Plan Describes how you will accomplish the
proposed task Indicates plan of action (division of work/time
required for completion), facilities required/personnel who will execute the project
Plan of action should specify how work will be divided, who will be responsible for each division and time required
Provide a brief description of qualifications , achievements and experience of personnel involved in execution
8. Cost Estimate- Kingpin in the proposal Solicited-cost data required would be already indicated,
only supply information Unsolicited-show all the items of anticipated expenditure Estimate should be realistic & complete Include the amount required for the following items-
materials/equipment/computer time/lab testing/salaries of personnel /travel/office/contingencies/infrastructural facilities (land, building, water, electricity..)
9. Conclusion (optional)-state briefly the significance of the project and highlight once again the benefits
Cover Letter/Memo with Separate Proposal-Write a brief cover letter/memo and attach the proposal after it
Business Letter proposal-Put the entire proposal within a standard business letter
Memo Proposal-Put the entire proposal within a standard office memorandum
Times Roman 10-12 point type Use of color whenever possible Extensive use of graphics
Who (will do the work/is responsible or to be contacted)
What (needs to be done or delivered/cost) Where (will the work be done/will it be
delivered) How (will it be managed/long will it take/will
the work benefit the customer) When (will you start/will the project be
complete/is payment due) Why (should the customer selected the
proposal)
Specify the scope clearly. Be realistic in your estimate of time, money
and personnel required. Establish your credentials for accomplishing
the task. Highlight the benefits that would accrue to
the customer. Keep the proposal short and precise. Use plain language. Ensure that the presentation and layout are
neat and attractive.