contract bidding
CHALLENGE
How does Hughes-Raytheon win a $600M+ government integration contract in a area where it previously maintained no market share?
SOLUTION
The positions, influence, interests and capabilities of over 60 groups involved was examined including multiple US government agencies, Congress, competitors, senior executives and various subcontractors. The bidding issues spanned price, technology, partnerships, integration, management and risk.
Initial analytics revealed that Hughes was poorly positioned to win the bid due to lack of strong subcontracting partnerships and management experience in this particular market segment. Our detailed tactics, strategies, and paths included:
Approach a different, specific partner and reconfigure subcontracting team to gain political capital to offset any perceived bid weaknesses
Restructure the bid, leveraging technological advantages and lower life cycle costs compared to the competition
VALUE
The strategy resulted in Hughes-Raytheon winning the contract in a new market segment at a 7% price premium over its competition, resulting in an extra $41M in the contract amount.