Learning the Lingo of RFPs

When I first got started in proposal management, all the new terms had my head spinning. There are a bunch of acronyms specific to the business, not to mention all the different sections of a standard RFP. It can definitely be a shock to the system but once you get it you get it.

To help you learn the lingo, here’s a list of some of the acronyms and terms that you’ll see often. While this list is not exhaustive, it will give you a good start.

1. FEDERAL ACQUISITION REGULATIONS (FAR) 
The FAR are a set of rules that regulate how federal agencies can aquire goods and services. In order for an agency to put out a bid for specific work or products that will use federal funds, it must follow the guidelines of the FAR. This ensures the competition for the work is fair, open, and standardized across the board. Some of the most important things to learn in the FAR include contract payments, scope of work changes, legal guidelines, accounting standards, and subcontracting. 

HOW TO USE THE FAR

Overall, the FAR has 53 parts and each part has smaller subsections. So, as you can imagine this is not a small document. It would be impossible to know every single detail about it just from reading it. Luckily, federal agencies reference specific sections of the FAR in RFPs and contracts where applicable so you can go directly to that section for the information. 

While you don’t need to read through the entire FAR, as I mentioned earlier , it’s a long one, it’s important to understand why it exists and how it’s set up. Take a look for yourself here.

2. SUBCONTRACTING

You’ll hear a lot about subcontracting in the proposal world. It’s a way for businesses to bid on contracts even if they don’t have all the capabilities or personnel to fulfill the work. Say you are a Human Resources (HR) company that employs five people. There is an RFP you want to bid on but the work requires that you have at least 10 HR associates. Instead of not bidding on the work you can find another HR business that can provide five more associates so you can meet the RFP requirement. This is subcontracting. 

You can be the prime contractor which means your company is the one to submit the proposal and include subcontractor information in your response about the work they will do; or you can be the subcontractor which means you work with the prime contractor to submit the RFP and provide services under them. When you are the subcontractor, you will also get paid by the prime contractor and not directly from the government. Either way be sure the proper paperwork is in order so each party knows how they will get paid and fit into the overall contract.

3. PAST PERFORMANCE

Past Performance is exactly what it sounds like and is often a section you will submit with your proposal. This is your time to shine and highlight past work you have done that is similar to the work you are bidding on. This is also an area where subcontractors can come in handy. If you don’t meeet an RFP requirement and need to fill that gap, you can bring on a subcontractor and they can provide a past performance write up that makes your bid stronger. 

4. KEY PERSONNEL RESUMES

Although the word resume is likely not new to you, resumes are often asked for with RFPs for service providers. When submitting resumes with your proposal, they should be tailored to meet the RFP requirements. If the RFP states a position should have 10 years of experience in a specific area, make sure the person you are bidding for that role has 10 years of experience doing that specific type of work. A generic resume won’t cut it here.

RFP SECTIONS

RFPs are typically broken out into sections from letters A through M. Not all RFPs will specifically label the sections as Section A, Section B, etc., but the information that each section provides is usually included. While Sections B, C, L, and M are the most important sections of an RFP, I’ve included a few others that you should know as well.

SECTION A: GENERAL INFORMATION

This is section includes basic information about the solicitation like when it’s due, where to submit it, the solicitation number, and the agency contact info. A Standard Form-33 (SF-33) is typically used to show all this information and will typically be signed and submitted with your proposal.

SECTION B: SUPPLIES OR SERVICES AND PRICE

This section is all about how the work will be priced and includes a full list of billable items for things like labor and supplies called Contract Line Items (CLINs). It also tells you what type of pricing structure the contract is: firm-fixed price or cost-reimbursement. 

SECTION C: STATEMENT OF WORK (SOW)

Section C is probably the most important section of an RFP. It is the SOW which includes all the things the issuing agency or potential customer wants. You’ll find a lot of the shall, will, and must statements a contractor will need to do if awarded the work. The SOW is the basis for your response outline as this will be where you explain what and how you’ll do the work that the government needs. The SOW can look a little different for each RFP in terms of what is included but know this is where you really get to understand all the requirements that need to be met to win the work.

SECTION K: REPRESENTATIONS, CERTIFICATIONS, AND OTHER STATEMENTS TO OFFERORS

Often shortend to Reps and Certs, this section includes the qualifications for bidding on this work. You’ll have to provide information and proof of your company’s designations like tax information and business status. Its definitely important to read this section early on in the proposal process. This will ensure your company is actually eligible to bid on the work. 

SECTION L: PROPOSAL INSTRUCTIONS

RFPs include a lot of info but fortunately it also tells you exactly how to format and submit your proposal. Section L tells you the format the proposal needs to be in and often includes requirements for font style and size, header/footer format, page numbering, order of sections, cover page/letter information, and even margin size. Some solicitations will be more detailed with the instructions while others will be less specific. Either way, read through this section carefully and follow it exactly—no need to get creative here. Not following the instructions is an easy way for evaluators to kick out your response before they even get to read it. 

SECTION M: EVALUATION CRITERIA FOR AWARD

Section M includes how the government will evaluate each proposal and what factors are most important. This sections exists so it’s easy for evaluators to score your proposal and decide which company wins the contract. It will also help guide your response outline so its easy to find the evaluation criteria in your proposal.

And, that’s it—well not really, there’s plenty of industry lingo to learn—but these are some of the terms you’ll hear often when it comes to responding to an RFP.