1. This presentation is being provided for educational purposes only Please refer to the RFP for specific instructions If there are any inconsistencies, the RFP and Amendments shall take precedence over this presentation

2. Overview of the PIPS Best-Value Process Kristen Barlish Arizona State University 07/18/2012 State of Idaho WIM and MDC Projects

3. Agenda Best Value Concepts PIPS/Best Value Process – Phase 1 – Phase 2 – Phase 3 Examples Summary 3

4. Education Meeting WIM Project Scope: “…to provide and install a permanent Weigh in Motion Sensor System (WIM)…” Budget: $420,000.00 Other considerations: location requirements, permitting, and training MDC Project Scope: “…services to carry out a Mobile Data Collection (MDC) solution…” Budget: $1.0M (State FY 2013) & $1.2M (FY 2014) Other considerations: expected benefits, project phases and dependencies 4

5. 5 PBSRG’s Research Results Worldwide as a leader in Best-Value Systems  17 Years  210 Publications  550+ Presentations  900+ Projects  $4.6 Billion Services & Construction  71 Different Client (Federal, Public, Private)  98% On-time, On-Budget, Customer Satisfaction  Various Awards (PMI, NIGP, IFMA, IPMA)  Clients: Federal, State, Local, School Districts, Private  Applications: Construction & Design/Engineering, IT Services, Facility Services, Business Services, University Services, Health Insurance, Medical Services, Manufacturing

6. Why Best-Value??? 6 Performance Issues – Project delays – Cost increases – Poor quality – Lack of accountability – Claims / Disputes – Litigation Managerial Issues – Do more with less – Spend taxpayers money wisely ERROR

7. Seems Similar, but…. The PIPS BV process is similar to traditional processes – Factors in Cost – Factors in a Proposal – Factors in Past Performance – Factors in Interviews However, there are minor tweaks to each on of these factors along with an additional requirement called the Pre-Award or Clarification Period CriteriaTraditionalPIPS Price-Basedxx Performance-Based?x Pre-Planning?x Measurementx

8. Factors For Success Fair (state/follow rules) Open (no prequalification / open to all with experience) Impartial (minimize evaluator bias) Transparent (provide documentation and debriefing upon award) Efficient (minimize efforts) 8

9. Best-Value Concepts

10. Not “Business As Usual” Approach is different Can’t wait until awarded the project to plan Submittals are your opportunities 28% Projects are Successful 46% Projects are Unsuccessful 26% Projects Completely Failed / Cancelled 202% Average Cost Overrun 111% Average Schedule Overrun 10 The Standish Group, Chaos Reports - Collects case information on IT failures. Has studied over 70,000 projects in 15 years (Eveleens and Verhoef, 2010)

11. Example

12. Suggestions Identify who your best people are (should be done through measurements) Have your best people sit down in a room and think about this project Adapt their comments/ideas into your Risk and Value Assessment Plans Correlate any suggestions/ideas/solutions to documented performance Keep marketing people away (risk of reformatting, names, words, etc.) Stick to the page limit (look at the major items first) Keep it simple and non-technical (so anybody can understand) 12

13. What does it mean? “Expert” “Dominance” “Vision” 13

14. Expertise 14 FACTS: Owners are not experts (they have an idea of what they want) RFP’s are rarely 100% accurate Experts should know more about the service than the owner Experts should know what the Owners need (even if the Owner didn’t describe it) We are looking for an expert to provide us with their vision and expertise What the Owner Described What the Owner Really Needed What the Consultant Specified What the Contractors Installed

15. It Is More Important For The Vendor To Know What To Do Than It Is For Client To Know What The Vendor Should Do. 15

16. Picture the Happy Client – New Model System meets the intent Expectations are met/exceeded Project meets cost and schedule Satisfied Approach is to work backwards, how did you get there? This becomes your plan… 16

17. Assumption: Vendors are Not a Commodity 17 …but how do we know who to select?

18. Which is more dominant? Which Vendor would you pick for your construction project? What is your criteria? How do you justify? Does everyone agree?

19. Dominant vs. Non-Dominant Non-Dominant A decision needs to be made Not everyone can understand Evaluator must have technical expertise Not everyone will agree Difficult to justify a decision Dominant Anybody can understand Everybody should see the difference No decision needs to be made (“no-brainer”) Very easy to justify purchase

20. 20 Vision Project Uses information & logic to increase vision Risk Must be minimized from the beginning Every vendor has “Vision” Highly Experienced Can See End to Beginning

21. PIPS Best-Value Process

22. 22 PIPS Best-Value Process Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3

23. Request For Proposal (RFP) Contents: – Current / Existing conditions – Desired outcomes / Objectives – Proposal requirements and selection criteria 23 RFP

24. What If You Have a Question? All proposers must meet the minimum requirements / objectives If a proposer does not understand, they must ask a question prior to submitting a proposal. If a proposer cannot meet a requirement, they must inform the State prior to proposing – Identify which requirement cannot be met – Provide recommendations or alternatives that the State may consider – The State will then issue an addendum with their response 24

25. Your Proposal Must Minimize Surprises Delivering something that doesn’t work Delivering something that isn’t what the client is expecting Delivering something that isn’t what the client needed Changes that add more cost Changes that add more time 25

26. 26 PIPS Best-Value Process Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3

27. Proposal Package (Attachments) TECHNICAL PROPOSAL ENVELOPE Attachment A – Proposal Cover Sheet Attachment B – Proposal Form Attachment C – Risk Assessment Plan Attachment D – Value Assessment Plan Attachment E – Reference List Attachment F – Survey Questionnaires Attachment G – Past Performance Information Scores Idaho Signature Page Affidavit - Concerning Alcohol and Drug-Free Workplace Affidavit - Concerning Illegal Aliens COST PROPOSAL ENVELOPE Attachment H – Cost Proposal Form 27

28. WIM – Criteria and Weights 28 No Criteria Weights 1 Cost 250 2 Risk Assessment Plan (Controllable) 100 3 Risk Assessment Plan (Non-Controllable) 100 4 Value Assessment Plan 50 5 Past Performance Information 200 6 Interviews 300 Total Points: 1,000 Points

29. MDC – Criteria and Weights 29 No Criteria Weights 1 Cost 200 2 Risk Assessment Plan (Controllable) 100 3 Risk Assessment Plan (Non-Controllable) 125 4 Value Assessment Plan 75 5 Past Performance Information 150 6 Interviews 250 7 Demonstrations 100 Total Points: 1,000 Points

30. Evaluation Committee Will be used to evaluate specific portions of the Proposal Evaluators will not be provided with the names of any Proposers, product names, cost, or any additional information Evaluators will independently review and score the items comparatively to one another Objective of the scoring is to not make a decision (looking for “dominant” differential) Evaluations will be scored on a 1/5/10 scale – “10” = Dominantly higher value than the average (clearly shows differential) – “5” = About average (insufficient information to make a clear decision) – “1” = Dominantly below the average (clearly shows differential) 30

31. Critical Formatting Requirements Must use templates (“Attachments”) NOT allowed to alter the templates (change font size, font type, boarder widths, add color, add images/graphics, re-format, re-create, etc.) Risk Assessment and Value Assessment Plans (Attachments C and D) MUST NOT contain any names that can be used to identify who Proposer is (such as company names, personnel names, project names, or product names) and not identify the Proposer’s cost or fee for this project. Proposal is limited to – 1 Page = Controllable Risk Assessment Plan – 1 Page = Non Controllable Risk Assessment Plan – 1 Page = Value Added Plan – Single side of page only! 31

32. Risk Assessment Plan – How To Identify and prioritize all major risks (that the Proposer sees that are unique and applicable to this project) that may impact a successful delivery of the project. Risk = not completing on time, not finished within budget, generating change orders, or sources of dissatisfaction to the owner. The risk should be described in non-technical terms and should contain enough information to understand why the risk is a valid risk. Proposer must also explain how it will avoid or minimize the risks from occurring. Solutions must be nontechnical, logical, easily understood, or contain verifiable performance information. All risks/solutions must be included in the cost proposal 32

33. Controllable Risk Assessment: risks, activities, or tasks that are controllable by Proposer, or by entities/individuals that are contracted to by Proposer. This includes things that are part of the technical scope of what Proposer is being hired to do. Project risk that other vendors have due to lack of experience and expertise Non-Controllable Risk Assessment: risks, activities, or tasks that are not controllable by Proposer. This may include risks that are controlled by Agency, Agency’s representatives, or completely uncontrollable. Although these risks may not be controlled by Proposer, Proposer must identify a strategy that can be followed or used to mitigate these risks. Expert’s greatest risk are things they don’t control 33 Risk Assessment Plan

34. To Be Considered “Dominant” Solutions Must Be: Clear and concise Non-technical descriptions Logical Measurements that document time, quality, and cost Document performance results

35. 35 Risk Assessment Example Controllable Risk VENDOR 1 – RISK: Noise from our demolition may result in student/staff complaints (since we will be doing demo in an in-operational library during finals week). – SOLUTION: We will work with the user to minimize the impact of noise from demolition. VENDOR 2 – RISK: Noise from our demolition may result in student/staff complaints (since we will be doing demo in an in-operational library during finals week). – SOLUTION: To minimize this risk, we have planned to demolition during off hours and weekends. We will also install rubber sheets on the floors to diminish noise and vibrations. Both solutions can be performed within your budget.

36. 36 Risk Assessment Example Non-Controllable Risk VENDOR 1 – RISK: The local water company must have the water turned on by June in order for us to properly water the newly installed recreational fields (or the grass will die). – SOLUTION: We will coordinate and plan our schedule with the water company as soon as the award is made to make sure that we get water to the site to irrigate the fields. VENDOR 2 – RISK: The local water company must have the water turned on by June in order for us to water the newly installed fields (or the grass will die). On past projects, the water company has failed to meet the schedule 90% of the time. – SOLUTION: To minimize this risk, we will coordinate our schedule with the water company as soon as we are awarded the project. If they fail to meet our schedule, we will setup and connect temporary waterlines to the nearby fire hydrants and we will also have water trucks on-site to irrigate the fields.

37. 37 Risk Assessment Example Non-Controllable Risk VENDOR 1 – RISK: Since this is a revenue based contract, the greatest risk is that the student population on campus does not grow as expected (which will impact our financial projections). – SOLUTION: We will implement a plan based on our past expertise to stimulate student growth and enhance our marketing plan to the students (which we have done at several accounts). VENDOR 2 – RISK: Since this is a revenue based contract, the greatest risk is that the student population on campus does not grow as expected (which will impact our financial projections). – SOLUTION: We expect that we can still increase revenues even if the student population does not increase as predicted. At two similar accounts, we increased growth by more than 10% in two years, despite flattening enrollment, through concept and menu updates, increasing convenience (speed of service), convenience store additions, and expanding points of sale.

38. 38 Risk Assessment Example Controllable Risk VENDOR 1 – RISK 1: The existing ballasts and lamps are hazardous – SOLUTION 1: We will dispose of them properly – RISK 2: A 2950 lamp is not as bright as a 3150 – SOLUTION 2: We will use the 3150 lamp – RISK 3: Once power is turned off, it will be hard to see in between the stacks – SOLUTION 3: All employees will have headlamps VENDOR 2 – RISK 1: There are sprinkler heads located 12” above the light fixtures we will be retrofitting. If a head gets hit with a ladder, conduit, or lamp, it is possible that the sprinkler could go off and damage the books on the shelves. – SOLUTION 1: To mitigate this risk, we will temporarily install sprinkler head guards around the sprinklers in the areas we will be working in.

39. Risk Assessment Example Controllable Risk RISK: Major risk items typically associated with transit implementations revolve around change management and business process impact. New technology implementations create change for the users. Change often causes issues with technology adoption. Requirements and scope creep also creates challenges. Systems may have thought a certain technology or component was incorporated in the RFP and/or needs assessment process that is not included in the actual scope of work or contract. Communication is also an area that can be a challenge. SOLUTION: A clearly defined scope of work and communication of the scope at the beginning of the project minimizes scope creep. If there is a discrepancy, scope or requirements can be discussed early on in the process versus at the end of the process. Communication is the key to successful implementations. Change management and business process re-engineering for organizations can be minimized at the technology and management levels. Management can get early buy-in at the “grass roots” level and include them in the technology planning process. The Team focuses on providing very configurable and flexible tools to minimize process re-engineering tasks. The Team focuses on automating existing business processes and providing additional tools to improve those processes that need to be improved such as data management….

40. Technical Information vs. Verifiable Performance Information 40 RISK: A poor roofing system can result in roof leaks, which may inconvenience building occupants, increase complaints, increase maintenance, damage building contents, and be a source of mold issues. Vendor A Solution: To minimize this risk, we are proposing a thermally-welded roofing system that has a tensile strength of 2,130 PSI, elongation of 300%, tear strength of 312lbs, has been tested for 10,000, and has a cold brittleness of -30°C. Vendor B Solution: To minimize this risk, our proposed roofing system has been installed on over 400 roofs and has had an average roof age of 18 years, in which 99% of the roofs don’t leak and 100% of the end clients are satisfied.

41. Things to Avoid Marketing data: – Our company is known worldwide as a leader in… – We will use our long history to… – We will use state-of-the-art process to… Technical data: – The system we propose has 200% elongation and 600psi tensile strength. – The product will pass the ASTM-568a test. – The system can process up to 24GB per second Transferring risk back to client: – We will work with the owner to resolve issues… – We will work with the user to establish the proper tests/procedures to ensure that data is transferred properly… – We will have team meetings / partnering meetings with the owner…

42. Avoid General Statements Clear communication between all parties is essential Project planning is vital to keeping the project on schedule and on budget. Meetings are essential to gathering information to define and implement the solution. Tracking tools will aid in keeping the project on schedule. It is important to have buy-in from key stake holders. An experienced project team will increase the chances of success Complex systems may not be embraced by the end users 42

43. Opportunity for the Proposer to identify any value added options or ideas that may benefit the State/Agency. May also be referred to as additional or optional system functionality or services. This may include ideas or suggestions on alternatives in implementation strategies, timelines, project scope, modules, methodologies, or financing. All value added ideas must be logical and/or based on verifiable performance metrics. All value added options must be related to a cost or schedule impact. Value added ideas must NOT be included in the cost proposal. Prior to award, the State will determine if the value added items will be accepted or rejected. 43 Value Assessment Plan – How To

44. 44 Example: Value Added Items Reroofing this building will not stop all water leaks. The majority of the leaks are caused by cracks in the parapet walls, broken/missing glass, and poor caulking. For an additional $10K and 3 weeks in schedule we can replace and repair all of these items.

45. Example: Value Added Items We may be able to increase revenues to the University by an additional 5% per year, if we are allowed to install and operate our own vending machines throughout campus. 45

46. Example: Value Added Items Instead of purchasing “Named Licenses”, the Agency may want to consider purchasing “Concurrent Licenses”. In a “Named Licensing” model, the software designates a license per user and only that particular named user can use/access the license. If that named user is in meetings, on vacation, or not using the system, the license is not utilized. In a “Concurrent Licensing” model, the server keeps track of the total number of licenses and loans the licenses to users as they log in. If a user is inactive, the server releases the license and allocates the license to the next user. The advantage is that the Agency is not required to purchase licenses that are not being used, which can result in approximately 25% savings in cost. 46

47. Remember… Be clear and concise Non-technical descriptions / solutions Logical Measurements that document time, quality, and cost Document performance results / verifiable results

48. Past Performance Information PPI will be collected on the following Entities: – The Firm – Project Manager (Individual) – WIM additional requirements Each Entity must prepare and submit a Reference List (Attachment E), Survey Questionnaire (Attachment F), and Past Performance Information Scores (Attachment G) 48 Vendor ENTITY Prepare and Send Survey Questionnaires to Past Clients Step 2 Step 3 Collect/Receive Completed SurveysPrepare Reference List Step 1 Enter data into Reference List Step 4 Package all material (Reference List and Surveys) and Submit Step 5

49. Reference List (Attachment E) For each Entity, Proposer must prepare and submit a list of clients that will evaluate Entity's performance. The maximum number of references that can be submitted is 5 for each Entity. The past projects must be: 1.Installed and operational 2.Related or similar projects The reference list must contain different: 1.Projects 2.Clients The client must complete the survey The State of Idaho or its employees cannot be used Note: Each Entity can use the same references provided that they were used or applied on that particular project. 49

50. Survey Questionnaire (Attachment F) For each Entity, Proposer must prepare, send out, and collect survey questionnaires to each individual listed on the Reference List. Proposer must modify so that the surveys are returned back to the Proposer. All returned surveys MUST be evaluated AND signed by the client. Returned surveys must be packaged together and submitted with Proposer's proposal (Proposer should keep a copy of all returned surveys for Proposer's records). 50

51. Past Performance Information Score (Attachment G) Proposer shall input the survey scores, and “Overall Average Score” Proposer shall also count the “Total Number of Returned Surveys” State may contact the reference to clarify or to obtain additional information. If the reference cannot be contacted, the survey may be deleted. The State may also adjust the scores if the State determines that the criteria/requirements have not been followed. 51

52. MDC - Cost Proposal 52 NoPhase and DescriptionResponse 1 Phase 1: 10 Units to cross-section equipment, locations, and road maintenance requirements. $ 2Phase 2: Districts 1, 2, and 3 deployment (approx. 170 trucks).$ 3Phase 3 : Districts 5, and 6 deployment (approx. 210 trucks).$ 4Phase 4: District 4 (approx. 60 trucks).$ 5Maintenance and Support (see Section 2.6), 5 Years$ 6Yearly Escrow Fee (see Section 8.10), 5 Years$ TOTAL COST $_____________________

53. WIM - Cost Proposal 53 NoCriteriaResponse 1 Weigh-In Motion Sensor$ 2Training and Technical Support$ TOTAL COST:$

54. How The Submittal Process Works The Procurement Manager will create a linear matrix model to assist in analyzing and prioritizing the responsive Proposals based on: – Cost – Risk Assessment Plan – Value Assessment Plan – Past Performance Information The three (3) highest ranking proposals will be selected as the Shortlist Proposers. The Procurement Manager reserves the right to increase or decrease the number of Proposers in this list based on the competitiveness of the proposals. RAWA DATA NoCriteriaUnitWeights Firm AFirm BFirm CFirm D 1Cost($)250 $ 415,022.00 $ 419,999.00 $ 401,111.00 $ 410,200.00 2Risk Assessment Plan (Controllable)(1-10)100 5.175.337.503.67 3Risk Assessment Plan (Non-Controllable)(1-10)100 5.005.83 5.00 4Value Assessment Plan(1-10)50 5.008.337.505.00 5PPI – Firm (1-10 Scores)(1-10)50 9.199.899.468.94 6PPI – Firm (# of Surveys)(#)50 5.004.005.00 7PPI – Project Manager (1-10 Scores)(1-10)50 9.169.929.179.00 8PPI – Project Manager (# of Surveys)(#)50 5.004.005.00 Total Points: 1000 766877914904 Sample

55. 55 Key Personnel Interviews The Client may interview the following individuals: – Lead Project Manager (overall contact / will be involved on the project every day) – Other key individuals (as identified by the RFP and addenda) All individuals must be available for interviews on the dates specified in the RFP. If a team member is not present for the interview, they will jeopardize the team’s competitiveness. – No substitutes, proxies, phone interviews, or electronic interviews will be allowed. The State may also request to interview additional personnel or request additional information. The client will actually “interview” each individual. This is not a “presentation”. No other person from the Proposer’s organization may sit in during interviews. Goals: – Meet the critical personnel that are being assigned to the project – Identify if the personnel have experience and have thought about this project – Identify if the personnel can think ahead and minimize potential risks

56. 56 Interview Format Individuals will be interviewed separately (the Client may also interview as a group). No other individuals can be present during interviews. The individuals cannot bring any notes or handouts. Interview times will be approximately 15 minutes per individual A standard set of questions will be asked to each individual. The client has the option to clarify any responses. Questions will be non-technical Evaluators will rate/score the interviews comparatively to one another on a 1-5-10 scale

57. Goal: Minimize Risk “I have no idea why I am here today” “My boss called me last night and told me to show up for this interview” “I did not participate at all in preparing our proposal” “I am not currently employed by this company, but if we win this project, they will then hire me” “I have never managed a project of this size/scope” “There is no risk on this project” “The greatest risk that I always face, is how to accomplish all of the things that our sales team promised we could do” 57

58. MDC - Demonstrations The Short Listed Proposers will be required to setup and prepare end user demonstrations with a user currently using a product/system that is similar to the product/system being proposed The purpose of this demonstration is to: – View an actual installed and operating system (that is similar) – Identify the end users’ satisfaction with the product, system, installation, and services Detailed timeline and script of items that are to be demonstrated is to be provided The end user will be asked to demonstrate basic product or system functionality to the evaluation committee Evaluators will rate/score the demonstrations comparatively to one another on a 1-5-10 scale 58

59. Demonstration Format Proposer: Responsible for scheduling approximately one (1) hour with the end user May assist the end user during the demonstration if required; however, greater credit will be given to demos that require little interaction from Proposer (how well an actual end client can use the system). Can travel to the end user’s site to setup and establish an online, real-time webcam and microphone, along with a web application that will allow the Evaluation Committee to view the demonstration (such as WebEx, GoToMeeting, Adobe Connect, etc). 59

60. Final Prioritization 60 RAWA DATA NoCriteriaUnitWeights Firm BFirm CFirm D 1Cost($)250 $ 419,999.00 $ 401,111.00 $ 410,200.00 2Risk Assessment Plan (Controllable)(1-10)100 5.337.503.67 3Risk Assessment Plan (Non-Controllable)(1-10)100 5.83 5.00 4Value Assessment Plan(1-10)50 8.337.505.00 5PPI – Firm (1-10 Scores)(1-10)50 9.899.468.94 6PPI – Firm (# of Surveys)(#)50 4.005.00 7PPI – Project Manager (1-10 Scores)(1-10)50 9.929.179.00 8PPI – Project Manager (# of Surveys)(#)50 4.005.00 9Interviews(1-10)300 5.175.006.67 Total Points: 1000 877914904 Sample

61. 61 PIPS Best-Value Process Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3

62. 62 Note: Phase 2 is Most Critical Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3 Vendors Are ExpertsVerify EVERYTHING!!!

63. What is the Pre Award Period? (Proactive vs. Reactive)

64. What is the Pre Award Period? Period of time allotted (prior to award) to the potential best-value vendor Vendor will preplan the project in detailed (start to end) Vendor will clarify that their proposal is accurate and has captured all of the clients requirements Vendor will respond to any questions or concerns from the client Vendor will make sure that expectations are aligned Vendor will minimize all “surprises” Vendor will prepare/provide a Pre-Award Document NOTE: This is a significant difference between the PIPS Best Value Process and Traditional Processes 64

65. What Could Cause a Surprise? Delivering something that doesn’t work Delivering something that isn’t what the client is expecting Delivering something that isn’t what the client needed Requiring the client to do something (that they did not know they had to do) Requiring things from the client that they cannot provide Expecting that something will happen as planned Assuming that things are clear and understandable Assuming that things will be done as planned Changes that add more cost Changes that add more time vs. 65

66. 66 Coordination With All Parties Client, Designer, Project Manager, Regulatory Bodies, etc Subcontractors, Suppliers Potential Best Value Vendor

67. How Can We Minimize Surprises? Carefully preplan the project in detail – Coordinate the project/service with all critical parties – Prepare a detailed project plan (work plan, staffing, communication, training, implementation, organization change, etc.) – Revisit the sites to do any additional investigating – Prepare a detailed project schedule identifying critical milestones – Perform additional product demonstrations Cost Verification – Detailed cost breakdown – Identify why the cost proposal may be significantly different from competitors – Review big-ticket items – Value added options 67

68. How Can We Minimize Surprises? Align expectations – Identify any potential deal breakers – Clearly identify what is included and excluded in the proposal – Perform additional product demonstrations – Review selected functional and technical requirements with Client – Review interview statements – Client roles and responsibilities – Any contract terms and conditions Identify and Mitigate All Risks – Client concerns/risks – Other proposers risks – Previous project risks 68

69. How Can We Minimize Surprises? Identify all assumptions – Prepare a list of all proposal assumptions (with associated impacts) Identify all uncontrollable risks – Prepare a list of risks that the Proposer does not control Identify how the vendor will track and document their performance – Performance metrics – Weekly risk reports 69

70. Pre Award Document 70 1.Financial Summary (financial details, how funding will work, etc.) 2.Complete Project Schedule (a coordinated schedule showing major milestones, risky activities, client actions, client action item list, etc.) 3.Project Risks/Concerns (all controllable risks/concerns, all non-controllable risks, and solutions) 4.Assumptions (all project assumptions with associated impacts, identify what you need from the client and have a plan for obtaining it, roles and responsibilities of the client, etc. ) 5.Performance Metrics (how the vendor will monitor performance, document success, metrics used, frequency, baseline for comparison, how will it assist the client, etc) 6.Scope of Work (plan of action, detailed work plan, how technical requirements will be met, baseline expectations, implementation plan, transitional plan, data migration plan, staffing plan, communication plan, training plan, organization change plan, what’s included, excluded, etc.) 7.Contract (language, terms and conditions, etc.)

71. 71 Goal of Pre-Award is Not to Get Contract Signed…. …But to Ensure That Project Will Be Successful!!!

72. 72 Must Prepare & Preplan Before You Propose!!! Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3 How can you submit a proposal without properly preplanning the project???

73. 73 PIPS Best-Value Process Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3

74. Weekly Risk Reporting System Excel Spreadsheet that tracks all risks on a project Risk = Any impact to time, money, or quality WRRS will incorporate Proposers Performance Metrics Vendor must submit the report every week (Fridays) The final project rating will be impacted by the accuracy and timely submittal of the WRRS 74

75. 75 Summary Identification of Potential Best-Value PHASE 1 Pre Planning and Quality Control PHASE 2 Award | Measurement & Documentation PHASE 3 Proposal ($ & Time) Risk Assessment Value Assessment Interviews Demonstrations Past Performance Pre Award Phase Award Weekly Reporting Post Award Metrics Final Documentation

76. WIM Sensor System – Schedule 76 ActivityDate RFP Released7/10/2012 Pre-Proposal/Educational Meeting (Mandatory)7/18/2012 Due Date for Questions7/20/2012 Proposals Due8/09/2012 Interviews8/21/2012 Identification of Potential Best-Value8/23/2012 Notice of Intent To Award9/18/2012

77. MDC Sensor System – Schedule 77 ActivityDate RFP Released7/10/2012 Pre-Proposal/Educational Meeting (Mandatory)7/18/2012 Due Date for Questions7/20/2012 Proposals Due8/09/2012 Evaluations8/15/2012 Interviews8/21/2012 Demonstrations8/22/2012 Identification of Potential Best-Value8/23/2012 Pre-Award Summary Meeting9/12/2012 Notice of Intent To Award9/18/2012 Award9/24/2012

78. Summary This is not business as usual Change in approach to submittals and projects Be dominant and visionary Objective is to award to the best-valued vendor (performance and price) Vendor’s responsibility to prove to the client that they are dominant Proposal should minimize marketing material Vendors should assign best people/team and preplan the project prior to submitting a proposal Proposal will not contain any names to minimize bias and create a fair environment and selection process Be simple, non-technical, and logical. Use verifiable/documented performance information

79. 79 We are Looking for Contractors Who Can Think Ahead… …And Act in Our Best Interest!

80. 80 Comments / Questions W W W. P B S R G. C O M kbarlish@exchange.asu.edu

81. Advice Measure your people, subs, suppliers Identify your highest performing team Educate the team Assign them to the project Have them get together in a room and think about the project (end to start) Have them prepare your plan Identify the things you don’t know (ask the client) Identify the major risks (control and don’t control) Identify your assumptions Prepare/Submit your plan Be prepared to clarify your plan during pre-award (do not wait until then to think about your plan) 81