Business Proposals

and Plans

What is a business
proposal?

What is a Proposal?
A

persuasive message in which the

writer analyzes a problem and
recommends a solution

The

proposal is a way of solving a

problem for the reader or giving a
benefit such as improved safety,
increased productivity, or decreased
accidents in the parking lot.
2010 Cengage Learning. All Rights Reserved. May not
be scanned, copied or duplicated, or posted to a publicly
accessible website, in whole or in part.

Types of Proposals
Informal

or formal

Internal

or external

Unsolicited

or solicited

Informal Proposals vs.

Formal Proposals
Informal:
Formal:

letters, memos or email

structured formal reports

Unsolicited Business
Proposal
What

is an unsolicited business
proposal?

Give

me examples of unsolicited
business proposals.

Unsolicited Business
Proposal
Proposals

prepared at the writers

initiative
Represent an independent analysis
of problems/needs and the creation
of possible solutions.
Pose special challenges such as .

Challenges Faced
Company

x does not know whether

Company Y is open to its proposed idea

Challenge

is not only to sell the concept

but also the company

Needs

to be a blend of creativity and

persuasion based on clients anticipated
questions.

Solicited Business
Proposals
Prepared

in response to a request

Solicitation

may be face-to-face, in
writing, etc.

May

be external or internal; formal or

informal

Request for Proposal

Describes

a project, product, or
service need

Invites

potential suppliers to propose

solutions

RFP,

RFI, RFB, RFQ

RFP content
Introduction
Project/Product/Service description
Vendor requirements
Restrictions
Proposal guidelines
Evaluation criteria
Confidentiality statement
Submission and contact information

 What

are the features of an effective

proposal?

Features of an effective
proposal
Purpose is clearly stated
Problem is defined clearly
Solution is innovative and convincing
Benefits outweigh costs
Personnel are qualified
Solution can be achieved in a timely

manner
Proposal is honest, factual, realistic,
and objective
Presentation is professional and
attractive

Elements of a Formal
Proposal
Cover letter or memo
Title page or cover
Reference to authorization
Table of contents
List of illustrations
Proposal summary
Purpose
Problem or need
Background

2010 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to
a publicly accessible website, in whole or in part.

Ch 11 15

Elements of a Formal
Proposal (slide 2)
Benefits of the proposal
Description of the solution
Evaluation plan
Qualifications of personnel
Time schedule
Cost
Glossary
Appendixes
Reference list (if required).
2010 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to
a publicly accessible website, in whole or in part.

Ch 11 16

Cover Letter / Transmittal

message
Introduces
Reviews

the proposal to the reader

the highlights of the

proposal
Encourages

action

Title page or cover

Title

of the proposal
Name and location of the receiver
Name and location of the submitter
Date of submission

Proposal summary
Write

it after the proposal is

prepared
Should offer a complete overview of
the proposal
Short proposals: a paragraph
Long proposals: 1- 10 pages.

Purpose of the proposal

The

reason you are making the proposal

The nature of the proposal how it will
accomplish the purpose.
Examples
This

is a proposal to reduce manufacturing

costs 10 percent by replacing the Assembly
Line A conveyor system.

What

would you say for the Subway proposal?

Problem or need (establish

the client companys need)
This

section describes the problem

being solved or the need being met.
With the presence of social media in
todays 24 x 7 connected world, Dolphin
Media Inc. hesitated to make the leap
from traditional marketing to social media
marketing. Their marketing tactics seem
to be losing effectiveness and the
company feels as if they are missing out
on a large segment of their market. In
addition, their competitors have begun
acquiring the majority
of Verma,
the business in
Source:
the market and have
brought
2014,
PearsonDolphin

Background
May

be combined with the Problem

or Need section

Explain

the problem how it

developed, its magnitude, and the
consequences if nothing is done.

Benefits of the Proposal

States

the outcome of implementing the

proposed solution

Must

be written using you-viewpoint

Must

serve the interests of the reader

Be

careful not to overstate the benefits

Make

them concrete, realistic and honest.

Description of the
solution
Specify

what you are proposing be

done. Include 5 Ws and H.

Most
You

important section

will want to stress:

the innovative aspects of your proposal

the special nature of the resources you are

recommending
the strength of your solutions rationale.

Example (Solution)

The solution that is recommended for Dolphin

Media Inc. is to deploy their company on all
of the major social media channels. For this,
a marketing campaign must be created
utilizing these media channels and creating
immediate engagement with your audience.
In order to do this successfully, start by
acquiring some fans, followers, subscribers,
and connections and invite them to join you
in a particular discussion or attend a specific
event.

Evaluation Plan
An

evaluation plan provides a way to

judge the success of proposal
implementation.

Qualifications of
Personnel
Include

education, experience,
accomplishments, successes, and
evidence of achievements that
directly relate to each participants
involvement in the proposed
solution.

Time Schedule
Realistic

start and completion dates

Cost
Present
For

in logical parts

example,

Personnel
Supplies
Equipment
Facilities
OR
Benefits
Solution Segments
Time Phases, etc.

Glossary and Appendix

What

does a glossary do?

What

is the purpose of an appendix?

Preparing a Proposal
Research
Planning
Writing

Source: Verma, 2014

Research stage
In

case of an unsolicited business

proposal, the client company may
not be willing to giving you explicit
details of their need.

Research

the competitors of the

client company and their customers
as well.

Planning stage
Analyzing

guidelines/RFP
Preparing problem solution
Developing an implementation plan
Preparing project cost

Writing stage
Drafting

and re-drafting
Reviewing and editing
Proofreading
Including relevant appendix
Submitting the final copy