Proposal

PROPOSAL

COVER

September 1,1989

Mr.

President

BasketweavingLtd.

Rattan, Ontario

Dear Mr. Strawman,

Thank you for giving XYZCo. the opportunity to discuss

with you thefor a new registration system at ABC. As a result of these

discussions, included please findto implement this system for you.

to implement computersoftware

and custom written software to solve your present problems with registration,

course administration, managementand warehousing. The system

should meet your needs for the next 3

The cost of the hardware will be $100,000, the purchased software

the softwarecustomwrittenbyestimated toThe

system can be implemented in six months if we are given a timely go-ahead.
If we are given a go-ahead by October 1, 1990, we can start your
project January 1, and deliver by July 1,1991. This price quotation is good for 30 days. Hardware vendor is raising his prices by 10% on September 30th.. so a quick decision on your part will save both time and money.

Hoping to blah ..blah

Signed by,

Project Manager
(optionally)

Account

2. TITLE PAGE

"Proposal," theof the system, author, date, revision number, company logo, and

so forth.

3. TABLE OF CONTENTS

Section 1: Scope

2: Advantages

Section 3: Financial

addressed by thethe

size, extents andof the proposed sys-

temPg 3

Why you should choose XYZ

How the cost and delivery date was
mined, and payback graph Pg 5

270Appendix A

4: Project Planthat will be taken, the project team,

how user fits into each stepPg 7

Section5 :List of the itemsuser will receive9

Section6:How the system will be demonstrated to the

10

Section7: AlternativesWhat other solutions (vendors)could

choosePg 12

Section8: Terms, Conditions

and AssumptionsPg 15

9: Terminology:A glossary ofrelatedthat

may16

Proposal For Amalgamated Basketweaving Courses Ltd.

PROPOSAL FOR AMALGAMATED
COURSES LTD.

COPYRIGHTSOFTWARE CO. 1987

1.SCOPE

The purpose of this proposal is to prove how XYZ Software Co. can solve

problems with registration, course administration, management decision making, and

warehousing. [The general items that will go in here are:

Background .[Summarize the problem statement, and how the previous interviews

and/or assistance given to the user in writing the RD gave

ing of ABC. ]

Solution .[Summarize thethat

why it is the best choice. Show proven track record, etc.
Summarize [one or two sentences per department where

a thorough understand-

computer system and

"

terminals will be located, the departments that will use them and how. For example,

The registrar will have a terminal and will be able to answer students' queries by phone as well as register them on-line." Emphasize the improvements that will be

noticed by each department.

Future growth.[State the growth that will be anticipated as well as future improve-

ments that can easily be added on (you are already selling your next project!]
Limits. [This is not a specific section, but ensure that the user does not read into this

proposal major items that you do not intend to provide.

2. ADVANTAGES

XYZ has been in the software business for over seven years. We are experts at

oriented software. We implemented three such systems in the past, including Maintenance Courses Ltd.

The Brand X hardware and purchased software that we are recommending has
been available for the past five years, and has proven to be one of the most reliable in
the industry. Brand X is the world's nth largest computer manufacturer and has an
excellent reputation for reliability and service. has extensive experience on this

recommended hardware and software. We used it successfully on products for the past four years.

has an excellent reputation for quality and we stand behind every product that we develop.

Appendix A

3. FINANCIAL

Delivery Date( given go-ahead by July 1):30,1988

Costing Breakdown
Hardware

Brand X model 123 Memory

Disks

etc. [includequotes]

TOTAL HARDWARE

Software

Purchased DBMS

VSM Operating System

XYZ provided custom software

TOTAL SOFTWARE

GRAND TOTAL

PAYBACK GRAPH

DEVELOPMENT COST

100,000

10,000

10,000

80,000

100,000

$200,000

DEVELOPMENT COST

IIII

1991199219931994

YEAR ENDING

Figure A.13

The system will pay for itself in two and one half years, by the middle of 1992.

Other benefits: Reduction of Registrar turnover due to job satisfaction, savings in warehouse due to fewer losses, better customer relations, and unquantifiable benefit because you will be able to make better management decisions.

4. PLAN

The following will be the seven major activties involved in your project:

Proposal for Amalgamated Basketweaving Courses273

Analysis. In thoroughwith yourself and all the users of the

proposed system, we will determine and agree upon exactly how the system will

behave.

Design. Ourdesigners willhow we will build the system.

[A few words on PROGRAMMING and SYSTEM TEST]

Acceptance. We will demonstrate the system to you before dclivery to

prove that it works as we promised.

Operation. We willthe new system on at your site, train your users,

and provide someone at yourfor three weeks to handle any problems.

[Describe the project team and the project organization, as in the Preliminary Project Plan, but include only the items that will visible to the user.]

the following sevenphased, step-by-step projectmanagementmethod that
insures thorough planning and control of your project. [List here the seven phases, and

where the useroff will appear.]

In each phase there will be milestones that you will be able to review and see

project progress.

In addition, you will have the opportunity to be part of a steering...a nd

you will attend milestone review meetings ... and you will reccivc a Status Report

... ctc.

You will havc to provide for our use a project rcprescntative: someone who will

betobusiness questionsyour prcscnt operation and the

proposed system. This pcrson must havc authority to makeabout what the

new system will provide. You will also havc to provide sample data and files that you

presently use. ABC willcertainfor sign off from XYZ. These

documents must be approved and returned within five working days of receipt.

5.

XYZ will deliver following:

Brand X Hardware, VSM Operating System, DBMS softwares listed above.

items are available now with a delivery time ofmonths.

Customsoftwareto be produced in six months.

Brand X warrant their hardware and software for one year after

date of dclivery. Subscqucnt warranty can be purchased for detail]. XYZ

warrantunconditionally for six months after the date of delivery.

Thcrc will one pcrson at your sitc for one month after delivery to solve any

problcms. For two monthsthis, a pcrson will be available to solve any

problems bywillto solve the problem first on the phone,

otherwise by beginning work immediately on your problem. For three more
months after this period, a person is guaranteed to begin working on a phoned in
problem within four hours of call. Subsequent warranty can be purchased

for detail].

Appendix A

Documents. The following manuals will be delivered:
Brand X complete VSM documentation [detail it all].

will produce: User Guide: tells each of your users how to use the system

for their job. Operator Guide: tells how to bringsystem up, shut

it down,anderrors.

Training. We recommend Brand X 'VSM Concepts and Utilities' and 'VSM

System Management' courses forperson.

XYZ will provide. User Course: teaches each of your users how to use the system specifically for their job.

Operator Course. Teaches how Lo bring the system up, shut it down, restore and handle errors.

Method of delivery. The hardware and software will beand installed

at the user's appropriate locations.copy of the documentation will be

dclivcred withsystcm. Training will be delivered at the user's site, on his

computcr.

6.ACCEPTANCE

Acceptance will involve a thorough,by step demonstration of all the system

functions to theuscr bcforcactual delivery of the systcm. If ABC agrees that all the

functions work,will paystill owingless $10,000, which will

upon successful delivery of the computcr system.

7.ALTERNATIVES

An alternative solution would be toBrand Y with IDOT data base. We have not

chosen this one for the following reasons: detail]

8.TERMS, CONDITIONS AND ASSUMPTIONS

Amounts quoted here are good for 30 days after receipt ofletter.

XYZ reserves the right to all source code and documentations produced. XYZ is not liable for any losses due to our software.

This document is copyrighted.

is not responsible for anywith Brand X hardware or

software, or for the delivery dates promised by Brand X.

It is assumed that theresponsibilities will be fulfilled as detailed in

Section 7 of this document.

It is assumed that all information inof volumes, throughput, number

of users, and responserequircmcnts are asdown in the Requirements

Document VersionAugust 30, 1990.

9.TERMINOLOGY

[Glossary of all computerused.]