Tag: Industrial & Petrochemical
When It Comes to MMbbl vs. Mbbl, You Can’t Be Too Careful
Fun fact! MMbbl and Mbbl can mean the same thing.
Our writing team was recently working on a whitepaper and needed to pull some statistics about oil production volume.
We noticed that, in some of the sources we used, “Mbbl” was used to represent thousands of barrels.
In others, “Mbbl” referred to millions of barrels.
In still others, millions of barrels was written as “MMbbl.”
We had to do a bit of cross-referencing and fact-checking to make sure we knew what we were reading (and writing).
The takeaway?
Don’t assume that “Mbbl” means 1,000 barrels or “MMbbl” means 1 million barrels or that you’ll see these abbreviations used consistently across different publications or industries.
If you’re not sure, take the time to verify.
And, just for fun, here’s something we stumbled across as we tried to unravel the whole Mbbl vs. MMbbl conundrum:
Some people say that the origin of the abbreviation “bbl” for “barrels” dates back to the late 1860s, when U.S. oil producers decided that 42 gallons should be the standard volume for oil barrels.
When Standard Oil started making the 42-gallon barrels, they made them in one color: blue.
Eventually, “blue barrel” — or “bbl” — became synonymous with 42-gallon oil barrels.
Interview: Simplifying the RFP Response Process
Regardless of the size of your business, you will likely have to answer a Request for Proposal (RFP) at some point, in order to secure larger, more lucrative contracts. But with so many RFPs containing 100 pages or more, the proposal writing process can be overwhelming for many companies. In this interview, writing expert Wintress Odom breaks down the response process into more manageable pieces and answers some of your most important questions about how to write a proposal that will land your company at the top of the “yes” stack, including:
- What are some of the biggest mistakes companies make when drafting an RFP response?
- How should you prepare for an RFP?
- What challenges do companies typically face when answering an RFP?
- How can you best overcome those challenges?
Click the play button below to listen to the interview.
RFP Response Roundtable: Procurement Experts Divulge Best Practice Tips
Have you landed the world’s largest customer? The U.S. government is the largest single purchaser of goods and services in the world, awarding approximately $500 billion in contracts every year.
And the government isn’t only interested in contracting with big corporations. Most government agencies set aside a percentage of their acquisitions for small businesses, sometimes focusing on specific designations like: women-owned small businesses (WOSB), service-disabled veteran-owned small businesses (SDVOSB), and small businesses that are located in historically underutilized business zones (HUBZone). In fact, 23 percent of all prime government contract dollars (totaling over $90 billion annually) are directed to small businesses.
But you have to jump through lots of hoops to get a share of those billions. The government contracting process is notoriously rife with legalese and red tape. Reading a complex RFP is challenging enough, but composing an articulate response that addresses all points can seem mindboggling indeed.
So, we’ve rounded up a panel of experts to help cut through the jargon (also see the glossary at the bottom of this post).
We interviewed experienced procurement professionals to determine the ins and outs of writing a show-stopping RFP response. They shared opinions on how to get your RFP response noticed as well as practices guaranteed to land your proposal straight in the trash bin.
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Meet the Experts
Kyla Moore is a contracts specialist for the State of Washington Office of Superintendent of Public Instruction.
Brett Cook is a contract specialist for the Department of Veterans Affairs.
Kelly Porter is Senior Multimodal Planner at Capital Area Metropolitan Planning Organization.
Lourdes Coss is a procurement professional with over 25 years of experience, and the author of Procurement Methods: Effective Techniques.
Beth Morley taught courses in Business Communication and Advanced Business Communication at the University of Texas at Dallas, within the Naveen Jindal School of Management.
Carol Wilson is Director of Procurement for the State of Connecticut Department of Administrative Services.
Q: What are things you like to see in a proposal?
Kyla: Well designed, professional proposals tend to visually stand out. However, that doesn’t always mean they contain the best content or are best suited to provide the services requested in the RFP. In the end, the proposal that best meets the requirements and is most advantageous to the State will be declared successful.
Kelly: All tasks were addressed in the proposal response and a unique approach is clearly articulated. Clear budget with staff time allocations, project timeline, and an executive summary.
Brett: An RFP response that stands out from the crowd is one that first and foremost has followed the “Instructions to Offerors” carefully. Many companies gloss over the instructions on what exactly they need to include in their response. Also a response that looks professional, organized, and one that is easy to navigate (table of contents, clear section headings, etc.). I personally like to see a company’s price quote separate from the technical proposal when submitting responses electronically.
Beth: When responding to RFPs in general, make sure you do basic things like spell the company name right and take the time to explain to them that you understand their problem. Make sure it’s personalized and customized to their particular problem. Show expertise in their industry and that you’re not just providing generic solutions to the problem.
Carol: Some companies have it together and present their information in a really organized format. You can tell they read the RFP, understood it, and are responsive. They took their time in reading it and knowing what they need to provide.
Q: What are things that land a proposal in the reject pile?
Kyla: Late proposals are the biggest cause for rejection in our agency. Additionally, incomplete proposals may be deemed non-responsive.
Kelly: When a proposal is non-responsive or does not include required documentation. We follow our proposal format guidelines closely.
Brett: Mistakes, such as not addressing all of the evaluation factors, not signing and acknowledging all amendments to the solicitation, and submitting responses after the specified due date and time, all send the proposal to the reject pile.
Lourdes: Disorganized proposals because that forces the committee to spend a lot of time figuring it out so they could be a little frustrated. Canned proposals that are so general you can tell that no thought was put into it. Sometimes people use a previously submitted proposal and forget to change the name of the agency – this shows a lack of attention to detail. Incomplete proposals where they don’t submit all of the required forms.
Q: What are the biggest mistakes you’ve seen companies make?
Beth: You have to follow directions because [government agencies] will disqualify you for any little thing you miss. Whatever their requirements, make sure you’ve ticked off each thing and follow their specific format. Don’t get overly verbal. Look at the way you’re formatting your proposal so you don’t give them a novella.
Carol: If the RFP includes a sample contract, read that, too, to make sure you can agree to the terms and conditions. Some companies just look at the price schedule and skim over the terms and conditions, which can lead to problems. This is usually due to a lack of reading.
Lourdes: Sometimes [companies] are worried about meeting the criteria on financial capacity or don’t have all their financial information in order, so they don’t submit the required financial information. Here’s a suggestion: [Rather than leaving the information out altogether], say, “We’re privately held,” offer a ratio for your total assets, and add, “If you need more information, you’re welcome to coordinate a meeting with us, and we’ll show you our space.”
Q: What are contractors most confused about in the RFP process?
Kyla: The question I tend to see most often is from independent consultants asking how to represent their team structure and/or internal controls. This part of our proposal asks the vendor to provide a description of the proposed project team structure and internal controls to be used during the course of the project. Many independent consultants are confused by this part because they are the sole person providing the task. We suggest that they simply identify themselves as a sole proprietor that will provide all services listed in the procurement, if that is the case.
Brett: Many companies want to meet with contracting officers or end users at the hospital regarding specific upcoming requirements. We cannot discuss specifics before a solicitation is posted publicly on either FBO or GSA. This keeps certain companies from having an unfair advantage when responding to solicitations. The best thing a company can do is to view solicitation postings daily on GSA or FBO to see if there are requirements they are capable of responding to.
Also, many small businesses do not know the best way to get their foot in the door with the government. The best first steps small businesses can take is to visit the Small Business Administration’s website, SBA.gov, or contact their local government agency’s contracting office to see if they can speak to their Small Business Liaison.
Lourdes: [Companies] have trouble interpreting terminology. These forms are often drafted with legalese, not business language. As procurement officials, we advocate for simpler language but sometimes it has to be written a certain way. Procurement officials have trouble with forms that are filled out incorrectly or incompletely.
Carol: Government doesn’t make it easy. I was in private procurement for 15 years before I came here. The processes are the same but it’s different in government because of all the laws the attorneys implement in the contract. In Connecticut, our basic contract is over 30 pages long. It intimidates small businesses to look at that without hiring a lawyer. In each state there’s a PTAC, a Procurement Technical Assistance Center, funded by the state and federal government. While I can’t help a vendor respond to an RFP, these centers can help them write and respond better.
Q: What should companies do when an RFI is issued?
Lourdes: This is your opportunity to offer strategies without revealing corporate secrets. The agency probably hasn’t even formulated the problem. You can present examples of technology that you’ve implemented somewhere else, and this helps the agency in their thought process as they’re developing the RFP requirements. This allows you to position yourself to make your technology and your products more desirable. You put yourself in a better position if you take advantage of this preview opportunity and respond to the RFI.
Carol: For an RFI, [government agencies] just want information. [RFIs] don’t end up as an award, so just share what you have, so we can learn from you and your product or service. This enables us to be better educated.
Q: Tips for Women- or Minority-Owned or Economically Disadvantaged Small Businesses?
Lourdes: The set asides for these are usually smaller projects, routine tasks that are not high profile. But it could be a multi-year contract. Sometimes these groups go beyond the scope of the RFP and end up being too [costly], making them less competitive. Instead of pricing a Cadillac, price within the scope. Ask questions to clarify the scope. Then if you have “value added,” you can price that separately.
Carol: In Connecticut, we set aside 25% for small and minority businesses. Each state has a different spin on it. The federal government and state government have different requirements so there’s a lot to sort through if you’re a small local business. We try to help with educating them on requirements and on how to do business with the state. I would advise them to be as complete as possible and don’t hesitate to call with questions. But call before the due date! Start working on your proposal as soon as possible.
RFP Dos and Don’ts
RFP Response Best Practice
- Provide clean and crisp writing, free of grammatical errors.
- Maintain a professional tone and incorporate industry jargon.
- Use substantive language without filler.
- Format the document according to RFP specifications.
- Fully understand the solicitation and address all points.
RFP Response Red Flags
- Offering gifts, loans, or gratuities to government employees.
- Submitting a late proposal.
- Providing vague statements instead of specific details.
- Using fluffy language instead of professional wording.
- Overinflating your price.
- Including technical or grammatical errors.
If you aren’t selected for a contract, consider asking for a debriefing to learn what may have influenced that decision and what you can improve on future proposals.
GLOSSARY
Proposal Jargon
- RFP: “Request for Proposal” – A formal invitation for contractors to submit a proposal to provide certain goods or services.
- RFI: “Request for Information” – Issued in advance of an RFP, an RFI is used to gather information about what contractors have the potential to offer.
- IFB: A formal request for contractors to submit a bid. The IFB selection is made strictly on price, whereas the RFP selection process considers other factors.
- RFQ: Similar to an IFB, the RFQ invites contractors to bid on a project. Selection is based on price without considering the more extensive factors involved in an RFP.
Small Business Special Classifications
Some of these classifications receive nearly 10% of federal contracts, making it well worth the effort to achieve certification.
- HUBZone: These businesses are located in Historically Underutilized Business (HUB) Zones.
- WOSB: Women-Owned Small Businesses.
- EDWOSB: Economically Disadvantaged Women-Owned Small Businesses.
- SDVOSBC: Service-Disabled Veteran-Owned Small Business Concern Procurement Program.
- SDB: Small Disadvantaged Business.
Procurement Vocabulary
- Offer: A reply to an agency’s solicitation.
- Acceptance: An action that forms a legally binding agreement.
- Consideration: The cause for entering into a contract.
- Mutuality of Obligation: Agreement that both parties are bound to the contract.
Major Roles in Government Contracting
- Contract Manager: Drafts documents, communicates with the contractor, monitors progress and performance, and approves the final product.
- Contract Administrator: Handles contract changes, dispute resolution, payment approval, and contract closeout.
- Purchaser: The authorized purchasing agent who legally binds the agency and enforces laws, policies, and procedures.
Thought Leadership
In today’s rapidly moving day and age, business arenas change and evolve all the time. And with all of those transformations and progressions come the want and need for the exchange of ideas, concepts and solutions. The oil and gas industry is no exception. That’s why many companies are incorporating, thought leadership into their business practices. They engage a targeted executive audience with compelling findings dispensed through articles, newsletters, publications and digital media.
Thought leadership revolves around establishing and maintaining a commanding voice about topics of relevance and concern to your target audience. It’s about providing answers to their biggest questions; it’s about addressing the newest hot topics in and offering reliable information—and, perhaps, your own perspective—about those issues. The ultimate goal of employing thought leadership is to establish your company as a leading authority in the world. It’s also a useful way to jump-start relationships where none existed, while enhancing relationships that already exist.
“Our hope is that whoever comes across one of our articles or blog posts will find some value in it,” explains Amal Abdallah, a social media and marketing coordinator for Clover Global Solutions, a Houston-based staffing agency for the industry. “We offer people a new perspective on something, especially if they’re not very familiar with that topic; the written piece sparks interest in the subject and lets people learn more about it.”
Clover’s questions at the end of its blog posts engage readers and spur thought leadership. A recent piece about competence assurance evoked quite a few responses. “It’s a way educate, inform, promote discussion and encourage people to think outside the box,” says Abdallah. “And we’ve been getting some really good responses from people who agree that it’s very important. They then offer their opinions on different types of disciplines within the industry.”
Practicing and disseminating thought leadership has numerous benefits. Besides educating readers about O&G, companies also use it to start new relationships, strengthen existing affiliations, build brand familiarity and form brand loyalty. Thought leadership content also gives companies exposure in their lines of work; it places them in the forefront of—and in a position of authority about—the current conversations and issues in their businesses.
Thought leadership can come from any source: executives, customers, product managers, designers, customer service reps and sales people. Each employee has a unique point of view, as well as valuable knowledge and experience.
AECOM recently tackled the issue of how people with creative minds and spirits can positively influence sustainable communities associated with extraction projects around the world. Paul Fennelly, senior vice president of business development for AECOM Environment business line, was invited by New York’s Storefront for Art and Architecture to participate in a panel discussion called Environments of Extraction. Fennelly developed a theme around the concept that most oil & gas exploration and production projects have a finite lifetime of 25 years, and one can think of them as having a discrete beginning, middle and end. Fennelly’s contributions to the panel resulted in some lively discussion about the future of fossil fuels and how the audience can learn more about sustainability issues surrounding large scale extraction.
Cardno, which has been providing services to clients ranging from global corporations to local specialized companies for more than 30 years, recently answered some of these questions regarding Australia: What’s the economic outlook for the industry in Australia, and what opportunities are there for growth?; Do you foresee continued growing demand for across international markets?; and, What are the top environmental concerns relating to the industry, and how can they be addressed?
Cardno experts Paul Webber (sector leader – Energy, Australia and New Zealand) and Anthony Lane (senior principal – Cardno Lane Piper) provided some valuable insights into this escalating sector.
And BP has addressed the topics of personal health and safety, readiness in case of an oil spill, sharing and embedding lessons learned from major accidents and managing the impact on protected wildlife
“Our thought leadership topics go with what the trends of the industry are,” says Clover Global Solutions’ Abdallah. “For example, if somebody is looking for a position in oil and gas, we address the best city to live if you want to work in that field and where the hot spots for oil in America are. In another example, we had a blog post that talked about some of the steps you can take if your company is being acquired by another and you might be losing your job.”
Clover believes that people seek out thought leadership because O&G is an incredibly dynamic industry that requires you to stay not only with game but also ahead of the game.
Abdallah sums up the role that thought leadership plays in her company’s 2014 plans: “We want our end result to be to find somebody who may be interested in working for Clover or who is interested in acquiring Clover as a client. Ultimately, though, we want to be sure that we can always offer intuitive and informative and educational blog articles as thought leadership so that we keep that level of integrity and professionalism.”
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A PRIMER
Thought Leadership 101
Writing a compelling thought leadership piece begins with the development of a topic. But if that first step seems like a big leap, take heart: Here’s some advice to clear the way and help you create a topic that will resonate with your readers.
- Thought leadership is an entry point to a relationship. A successful thought leadership article will intrigue, challenge, and inspire even people who are familiar with a company. It will help start a relationship where none exists and enhance existing relationships.
- Being an expert on something doesn’t automatically make you a thought leader. Thought leaders have a knack for sharing knowledge.
- Thought leadership requires an immediate information outlet, such as a blog, that allows you to comment quickly on news and changing circumstances in your field.
- Your thought leadership article should deliver answers to the biggest questions on the minds of your audience. Remember: The audience determines what the questions are. Keep the “I” out of your article as much as possible and focus on “You.”
- How do you know what’s on your audience’s mind? Ask! If possible, query your readers directly. But if that’s not possible, you can follow the example of an international oilfield services company that is embarking on a thought leadership campaign. They surveyed key managers who are close to customers to get a sense of what the customers are thinking.
- Some of the questions the company asked its managers were:
- What are the most pressing concerns of the oil and gas operators you talk to? What do they want to do better/smarter/more profitably?
- What have they been surprised to find out? What areas do they wish they knew more about or felt more competent about?
- What are the questions they ask you?
- What have you been asked to consult with operators about?
- Before you put pen to paper or fingers to keyboard, ask yourself if the topic you’re considering:
- addresses a timely issue
- offers new insight
- identifies an issue that readers might not even know about
- is interesting, provocative, or even counter intuitive
- Your thought leadership article should be educational, but it’s OK to also be entertaining. In fact, nothing turns most readers off faster than a dry, rote lecture. Include stories and examples that bring the topic to life.
- Include facts from credible, unbiased sources.
- Tell readers what to do. Seriously. Provide a practical, achievable call to action.