Based on the case study we need to explain the two question mentioned in description

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1. What other factors should Marvin and his team consider?2. Should they bid on the job?TO BID OR NOT TO BID2Marvin was the president and chief executive officer (CEO) of his company.The decision of whether or not to bid on a job above a certain dollarvalue rested entirely upon his shoulders. In the past, his company would bid on all jobs thatwere a good fit with his company’s strategic objectives and the company’s win-to-loss ratio wasexcellent. But to bid on this job would be difficult. The client was requesting certain informationin the request for proposal (RFP) that Marvin did not want to release. If Marvin didnot comply with the requirements of the RFP, his company’s bid would be considered asnonresponsive.Marvin’s company was highly successful at winning contracts throughcompetitive bidding. The company was project-driven and all of the revenuethat came into the company came through winning contracts. Almost all of the clients providedthe company with long-term contracts as well as follow-on contracts. Almost all of thecontracts were firm-fixed-price contracts. Business was certainly good, at least up until now.Marvin established a policy whereby 5 percent of sales would be used for responding toRFPs. This was referred to as a bid-and-proposal (B&P) budget. The cost for bidding on contractswas quite high and clients knew that requiring the company to spend a great deal ofmoney bidding on a job might force a no-bid on the job. That could eventually hurt the industryby reducing the number of bidders in the marketplace.Marvin’s company used parametric and analogy estimating on all contracts. This allowedMarvin’s people to estimate the work at level 1 or level 2 of the work breakdown structure(WBS). From a financial perspective, this was the most cost-effective way to bid on a projectknowing full well that there were risks with the accuracy of the estimates at these levels of theWBS. But over the years continuous improvements to the company’s estimating processreduced much of the uncertainty in the estimates.One of Marvin’s most important clients announced it would be going outfor bids for a potential ten-year contract. This contract was larger than anyother contract that Marvin’s company had ever received and could provide an excellent cash flowstream for ten years or even longer. Winning the contract was essential.Because most of the previous contracts were firm-fixed-price, only summary-level pricingat the top two levels of the WBS was provided in the proposal. That was usually sufficient forthe company’s clients to evaluate the cost portion of the bid.The RFP was finally released. For this project, the contract type would be cost-reimbursable.A WBS created by the client was included in the RFP, and the WBS was broken downinto five levels. Each bidder had to provide pricing information for each work package in theWBS. By doing this, the client could compare the cost of each work package from each bidder.The client would then be comparing apples and apples from each bidder rather than apples andoranges. To make matters worse, each bidder had to agree to use the WBS created by the clientduring project execution and to report costs according to the WBS.Case Studies 10112. © 2010 by Harold Kerzner. Reproduced by permission. All rights reserved.BackgroundBidding ProcessNew RFPMarvin saw the risks right away. If Marvin decided to bid on the job, the company wouldbe releasing its detailed cost structure to the client. All costs would then be clearly exposed tothe client. If Marvin were to bid on this project, releasing the detailed cost information couldhave a serious impact on future bids even if the contracts in the future were firm-fixed-price.Marvin convened a team composed of his senior officers. During the discussions whichfollowed, the team identified the pros and cons of bidding on the job:● Pros:● A lucrative ten-year (or longer) contract● The ability to have the client treat Marvin’s company as a strategic partner ratherthan just a supplier● Possibly lower profit margins on this and other future contracts but greater overallprofits and earnings per share because of the larger business base● Establishment of a workable standard for winning more large contracts● Cons:● Release of the company’s cost structure● Risk that competitors will see the cost structure and hire away some of the company’stalented people by offering them more pay● Inability to compete on price and having entire cost structure exposed could be alimiting factor on future bids● If the company does not bid on this job, the company could be removed from theclient’s bidder list● Clients must force Marvin’s company to accept lower profit marginsMarvin then asked the team, “Should we bid on the job?”TextBookKerzner_h_project_management_a_systems_a.pdf.pdfPosted: a day agoDue: 27/03/2020Budget: $5Tags: urgent fast Answers 1Rosie September4.8 (138)4.8 (1k )Chat13 hours agoPurchase the answer to view itCASE_STUDY_ON_BIDDING.docxTry it first(plagiarism check)Buy answer $10Bids 62The QuA lityRosie SeptemberKATHERINE BECKShassan0906PROF. 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This primary post should be at least 300 words in length. …Rated 1 timesproject managementneed help with below assignmentRated 1 timesProject ManagementRead the case study “Communication Failures” starting on page 329 and answer the questions on page 332.Please find the attachment for Text book and write minimum of 600 words wih 0 % …Rated 1 timesMinimum of 150 words each questionTask 1:Read the case study “The Estimating Problem” on page 734 and then answer the questions on page 735.Task 2:Read the case study “Teloxy Engineering (A)” on page 948 and answer …Not ratedPM DiscussionStudents must read the case study “The Invisible Sponsor” on page 658 and then pick one (1) of the following sets of three (3) questions to answer on page 660:Set 1 – questions 1-3Set 2 – …Not ratedassignment I have attached files. need to complete 3 of them.1) Discussion Question — assignment.docx2) Need to response1 to classmates discussion.3) Need to response2 to classmates …Not ratedDiscussionRead the case study “Creating a Methodology” on page 108 and then answer one (1) of the questions on page 110.Around 250 words along with References.27/03/20205businessfinance