Setting up your company background in an RFP

So, you’re thinking about buying consulting services. You must already know it but let me reiterate — it’s a journey that can be longer and more complicated than the plot of an M. Night Shyamalan movie. But don’t worry, we’ve got your back with this podcast series that, we hope, will make you a pro at it!

Now, before you dive into the consulting pool, you need to learn how to craft the perfect RFP (Request for Proposal). And in case you missed it, we’ve already covered a lot of ground in previous episodes – like when you need an RFP and what you should include in it.

But in this episode, we’re tackling a crucial topic – how to set your company background in the RFP. It’s like painting a picture of your company for consulting firms to see, without giving away too much confidential information. It’s like a dance between being open and being secretive. And trust me, it’s not a cha-cha, it’s more like a tango.

Luckily, your favorite host Helene is a pro at this stuff and she’ll teach you how to do it right. So, tune in to master the art of writing perfect RFPs!

Key Takeaways

Before starting the RFP process, it is essential to set the stage, give context about the company, and tailor the proposal accordingly.

Integrating information about the company into the RFP effectively is crucial, especially if the consulting firms are unfamiliar with the company background.

Sharing information relevant to the project, such as describing the business or department in detail, including footprint and reporting lines, is crucial for consultants to understand how the company operates and how the project fits into the larger picture.

Knowing the company background will help consultants understand the technical and political implications of the project and, in turn, will help in designing a solution customized to the company’s needs.

Transcript

Hi everyone, and welcome to the fourth episode of your series: “How to buy consulting services like a pro.” Today’s topic, “how to set your company background in your RFP”.

Sounds exciting, right? But instead of diving straight into today’s topic, let’s take a quick recap of the previous episode.

Let us tell you what you missed last week. We talked about how you’re not just making a purchase, but rather solving a problem. So, when you’re looking for a vendor or consultant for your project, don’t get too hung up on the specific means they propose to use. Instead, focus on the expected outcomes and benefits of the project.

Now, before you jump into the RFP process, it’s important to set the stage. Give some context about your company and the environment you operate in (unless, of course, you’re only working with consulting firms you already know). This will help potential consultants understand the bigger picture and tailor their proposals accordingly.

Remember that projects are rarely one-dimensional. Understanding the technical and political implications of the project is crucial for designing a solution that’s customized to your needs. So, make sure you’re communicating the assignment’s context clearly.

Next, lay out your goals in plain English. Spell out the benefits and deliverables you expect from the project, as well as any constraints you’re facing. This will help potential consultants understand what you’re trying to achieve and how they can help.

Finally, be transparent about the RFP process. Let consultants know what to expect, what you’re looking for in their proposals, and how you’ll be making your decision. And, if I may add, ditch the “tough procurement guy” act – it’s so last year! Be approachable and open to collaboration. After all, you want to work with someone who understands your needs and can help you achieve your goals.

Check out the Smart Consulting Sourcing episode from last week! All of the usual suspects, such as Spotify, iTunes, and YouTube, have our podcasts available. The full transcript is accessible in the Thought Leadership part of our website consultingquest.com if you’d prefer to read rather than listen or watch. Additionally for further insights, read this article ”Looking Ahead – How Consulting Clients Can Prepare for 2023.

Now Today, I am taking you embarking on an epic quest to help you find the right consultant. We will be journeying through Middle Earth to set the company background 

Now that we’ve set the stage for our adventure, it’s time to start packing our bags with the essentials we’ll need for the journey ahead. In the case of consulting, that means crafting a Request for Proposal (RFP) that clearly communicates our mission and goals to potential consultants. We need to ensure that the consultant we choose understands the perilous path we’re on, has the skills to navigate it, and is a true companion on the road. Think of it like crafting a map to Mordor – it needs to be clear, concise, and accurate.

Now That You’re Ready for Your Journey, Pause for A Moment and Set your Company Background

We, at Consulting Quest, consider this a core requirement, as it helps potential consultants understand who you are, the environment you operate in, and the challenges you face.

The question is how you integrate this information about your company into the RFP in the most effective manner.

We’ll explain this by exploring how a fictitious world leader in personal lines property and casualty insurance in Europe – Insurance Co – navigates the process of improving their risk organization’s efficiency. We’ll dive deep into the details of this project as they craft an RFP to improve the efficiency of their risk organization. Keep your ears open, take notes, and join us again next week to continue following Insurance Co on its journey!

Your company background should be nice, and short. But if you are not familiar with the consulting firms you want to invite to the bid, you may want to provide more background about your company, your business unit, or your department, and how it fits into the grand scheme of things. This will help level the playing field and introduce new players to the competition. Understanding the background of a company is like identifying potential comparable projects and clients in a consultant’s past experiences – it helps them understand the lay of the land and navigate the twists and turns ahead.

Start by giving a high-level presentation of your company – its industry, footprint, and even some of its financials – to provide an overview for our potential consultants.

Now, let’s apply this to Insurance Co. It could sound like this:

“Insurance Co is a world leader in personal lines property and casualty insurer in Europe, serving more than 25 million households. Founded in 1920, Insurance Co has been dedicated to protecting our customers from life’s uncertainties and preparing them for the future for almost 100 years.

Headquartered in Germany, Insurance Co is present in 15 countries across Europe and generated $150B in total assets in 2019.”

Now, we are familiar with the company’s mission and market positioning, as well as its footprints and financials. It was a breeze!

Share Company Information Relevant to the Project

There’s more to it than just a high-level company presentation that you could find on their website. To really give consultants a complete picture, you’ll want to dive deeper into who exactly the client is for this project. That means describing your business or department in detail, including everything from your footprint to your reporting lines. This information is crucial for consultants to understand how your company operates and how this project fits into the larger picture. So don’t hold back – share everything that might be relevant to the project.

For example, in our fictional case with Insurance Co, we have identified The Risk and Compliance Team as the department in charge of direct risk management activities at the group level. That’s the group that you need to describe in your background. It could sound like this:

The Risk and Compliance team is the department in charge of risk management activities at the group level. It is responsible for identifying, assessing, and mitigating potential risks that could impact the organization’s operations, reputation, and financial stability .The group is composed of 10 employees, mostly based in Germany, operating in a decentralized manner with operations.

Explain the Project in the Context of the Company’s Overarching Strategy

It’s also important to assess your consulting project’s strategic alignment with your overall business strategy. In our example, consider how this project fits into Insurance Co’s overall strategy. Are there any strategic ambitions or initiatives that this project aligns with? If the company is in the midst of a merger or transformation, it’s crucial to explain how this project fits into the larger picture and how consultants can help achieve the company’s goals. This information will be invaluable to potential consultants as they begin to craft their proposals.

Keep It Short and To-The-Point

Before we move on, I want to emphasize that there’s no need to write a novel or a Lord of the Rings book for your company background. Most of this information is publicly available, with the exception of any details about your group. The key is to strike a balance between providing enough information to level the playing field while also testing the consultant’s ability to understand your business and do their homework. So, be mindful of the amount of information you share. A skilled consulting procurement leader knows how to provide just enough information to assess a consultant’s ability to understand their business and determine if they are the right fit for the project.

Carefully Choose What You’re Going to Include in the RFP and What You Aren’t

As we draw this discussion to a close, there is a final point worthy of consideration. It’s no secret that some confidential information may be held within your organization – but it should not pass beyond those doors! It’s important to carefully consider what information is necessary to include in the RFP and what can be kept internal. If there are any confidential details that need to be included, it’s crucial to ensure that any consulting firms invited to participate have signed a non-disclosure agreement (NDA) or have a solid confidentiality clause in their master services agreement (MSA) with your organization. So, keep all sensitive content well-guarded for peace of mind moving forward!

Now, as Gandalf said: “All we have to decide is what to do with the time that is given us.” And so it was decided! Today, we uncovered and explained your company background – but alas, the day passes quickly when you’re having fun like this. Next week you can look forward to diving into the context of your project together!

To Summarize Today’s Episode, Here Are the Key Points to Remember:

Companies often overlook the importance of describing your company background before diving into the details of their RFPs. Yet, beginning with an even playing field is essential to ensure that all who receive your invitation – be it potential consultants or existing partners – have equal access and understanding. Taking this extra step can make a world of difference in how successful your project’s outcome will be.

A comprehensive background of the company should be included in order to provide a thorough understanding of its industry, geographical reach, and financials. Don’t forget to include information on the department responsible for this project alongside any other relevant details. Furthermore, it is essential to explain how this particular project ties into the larger objectives and vision of your organization.

While it may seem intimidating, consulting sourcing experts know exactly how to find the ideal balance between too much information and not enough. Reaching this equilibrium is attained through repetition; experience truly pays off in these scenarios.

You might find yourself asking if it is necessary to include confidential information in the background of a project. The answer is simple: yes, so long as it is relevant to the matter at hand! Prior to incorporating any sensitive data, however, be sure that you have signed an NDA or confidentiality clause within your MSA (Master Service Agreement) so as to protect both parties involved.

Have you noticed this was a themed episode? My youngest son has long been a die-hard fan of The Lord of the Rings, and I wanted to make him smile. Hopefully, you had as much pleasure listening as I did crafting it! If not, don’t worry – just let me know your favorite movie or book and I’ll give you a personalized joke in another episode.

That’s all for today! We have only just begun our exploration of creating the ideal RFP for consulting. Next week, we will take a deep dive into how to describe the context of your project. As with this week, I will provide real-world cases so that you can better comprehend what it should look like in practice. Thus, come prepared with pen and paper since this lesson is loaded with data and useful tips to kickstart your journey!

Till then, stay safe and happy sourcing and if you have any questions regarding today’s topic or any consulting procurement-related topic actually, remember you can always contact me directly on LinkedIn or by email because I’m always game for a chat.

Bye and see you next week, au revoir.

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Helene Laffitte

Hélène Laffitte is the CEO of Consulting Quest, a Global Performance-Driven Consulting Platform. With a blend of experience in Procurement and Consulting, Hélène is passionate about helping Companies create more value through Consulting. To find out more, visit the blog or contact her directly.

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