Strategies To Win More Profitable Contracts

& Overcome The Low Bid Process

Strategies To Win More Profitable Contracts

& Overcome The Low Bid Process!

Presented By:
George Hedley CSP CPBC
Certified Speaking Professional
Certified Professional Business Coach
George Hedley founded & built his
commercial construction company
from $0 to $50 million in 7 years!
As recognition, George was named
construction Entrepreneur of the Year.
Georges expertise is based on his experience owning, leading and managing a profitable
construction & real estate development company. He has served as President of 3
industry trade associations and is the author of The Business Success Blueprint series;
On-PurposeOn-Target!; the bestseller: Get Your Business To Work!
and his newest book: Get Your Construction Business To Always Make A Profit!
George owns HARDHAT Presentations and presents speeches, seminars and
workshops to companies and associations. He is available to speak at your organization.
His BIZ-Building Programs include topics on: Building Sales, Profits, Leaders, Field
Productivity, Estimating and Getting Your Business To Work!
Today George provides BIZCOACH services to help contractors reach their goals.
As a Certified Professional Business Coach, Georges will work with you to implement the
BIZ-BUILDER BLUEPRINT Action Plan to get your company to grow and profit.
Construction business owners are invited to attend his 2 day BIZ-BUILDER Boot Camp
or become a member of an ongoing executive mastermind peer BIZ-GROUP that meets
regularly with other construction BIZ owners. He is also available to facilitate your
Strategic Planning management team retreat or serve on your Board of Directors.
Georges business is built on referrals from people like you. Email or give him your
business card to receive more information, offer a referral, learn how he can help your
company grow and profit, or sign up for his free monthly management e-newsletter.

George Hedley, CSP CPBC

HARDHAT Presentations BIZCOACH
800-851-8553 BIZSCHOOL
Email: GH@HardhatPresentations.com
www.HardhatBIZSCHOOL.com
www.HardhatPresentations.com 
 Strategies To Win More Profitable Contracts
& Overcome The Low Bid Process

Whats Your BIZ-DEV, Sales & Proposal Strategy?

Offer More Than Low Price!
- Be Pro-Active Do BIZ Different!
- Stop Waiting For The Phone To Ring & Customers To Call
Successful BIZ-Builders
- Know What They Want
- Have Written Plans
- Always Track & Make Progress Towards What They Want
Barriers To BIZ-Growth
Top Reasons Companies Stop Growing? 1.
- No Written Strategic BIZ-DEV Plan! 2.
- No Pro-Active Estimating, Marketing & Sales Action Plan! 3.
- Dont Get Off The Low Bid Treadmill 4.

Choices To GROW & PROFIT With HIGHER Margins Against LESS Competition
Lower ________________________________
Increase Profitable _____________________
___ Less Competition - High Barrier To Entry
___ Higher Margin Work
___ LOYAL Customers
___ Steady Work Flow Opportunities
___ Aggressive Sales & Follow-Up Tactics
Rely On Low Prices & Hope Old Customers Call

Draft Your Winning Sales, BID & PROPOSAL Strategy

Negotiate
Be Only Bidder
Get Last Look
LOYAL Customer Potential
Repeat Customer Potential
Proposal Odds > ________%
Only _____ Competitors

Have Specific Contract TARGETS = BID-GRID SIEVE

Projects Markets
Customers Contracts
Project Size Profit
Location Competition
CHICKEN LIST
Get Great Customers To Call You!
- Dont Be The SAME! - Be DIFFERENT!


 Strategies To Win More Profitable Contracts
& Overcome The Low Bid Process
100%
Generate More New Better BIZ Now!

Barrier To Entry
Differentiation

Relationship
Added-Value
- Grand Re-Opening!
- Stop Waiting For Low Price - Low Qualification - Low Margin - Projects & Customers
- Get In SHOW BIZ & RE-FOCUS! 0%
$ Price & Profit $$$

Seek Higher Margins Against Less Competition

Attack High Margin & Loyal Customers
The 88% RULE Customers Come From:
High Barrier To Entry _____% Repeat Customers - Who KNOW You
_____% Aware Of You - Who REMEMBER
Get On Difficult Select Short Lists _____% Recommendations - Who REFER
_____% Website & Internet Marketing
High Qualifications _____% Other

Performance Awards Need A BIZ-DEV PLAN To Get Customers To

- KNOW, REMEMBER & REFER You!

Competitive Advantages

Technical Qualifications

High Risk

New Customers

New Markets

New Services & Exclusive Products

Differentiate

Add More Value

Seek New Contract Delivery Methods

Get In The O BIZ (Opportunity)

$ales Targets & Goals # $ Year Year Year
Generate Multiple Streams of Revenue
LOYAL Customers
- Competitive Contracts, Projects & Jobs
REPEAT Customers
- Continuous Service Accounts
PAST Customers
- Investment Wealth Income
NEW High Margin Customers
- Select Pre-Specified Short Lists
Create A Winning
- High Qualifications
Customer Target List -

- Performance Awards
- Competitive Advantage
- Technical Qualifications
- Difficult Or High Risk


 Strategies To Win More Profitable Contracts
& Overcome The Low Bid Process

Winning Ways To Improve Your Bid-Hit Ratio!

Estimators GOAL - Role & Responsibility?

Winning Profitable Work Is MORE Than Pricing Jobs & Delivering Bids!
ACCURACY - Know Your #
- Accurate Estimates = ____________________ 1. Crew Rates - By Job Task Cost Code
2. Equipment Rates
- Win More Profitable Contracts = ____________________
3. Productivity Rates - Quantity / MH
- Improve Your BID ODDS = ____________________ 4. Job Cost & Cost History
5. General Conditions
Whos Accountable & Responsible For : 6. Job Overhead + Profit Mark-Up
7. Bid-Hit Ratio
- Accurate Estimates 8. Sub-Bid Coverage
- Improve Bid Odds 9. Annual Overhead & Profit Goals

- Bid Follow-Up COMPLETED JOBS RECAP SCOREBOARD

- Presentations
CREW HOURS % MH + Over +
- Negotiating Job Name PM SUPT FORE Target MH To Date Spent ( Under )
Smith Buildings Sam Joe Chuck 3,000 MH 3,200 MH 107% 200
Acme Warehouse Sam Will Fred 5,000 MH 4,700 MH 94% (300)
Track Our Proposal Bid-Hit Ratio By: ABC Center Dave Juan George 7,500 MH 7,900 MH 105% 400
Warner Plaza Dave Matt Harry 2,500 MH 2,100 MH 84% (400)
- City Center Building Bill Jack Ken 10,000 MH 9,600 MH 96% (400)
-
-
- BID-HIT RATIO 7RWDO-REV%LG7R+LW
Improve Your Bid-Hit Win Ratio! Bid Job Bid % # Sub Bid
Date Bidding $$$$$ Markup Competitors Coverage Results
4/2 A 30,000 40% 6 2.5 5th
PURPOSE For Your BID? 4/7 B 20,000 45% 3 3.2 3rd
4/12 C 40,000 35% 4 2.9 4th
- Your Bid Is ___________ To Get A __________________! 4/22 D 50,000 35% 5 4.2 1st
4/27 E 10,000 50% 4 3.8 2nd
FOLLOW-UP Bids & Proposals Aggressively! -------------------------------------------------------------------------------
APRIL $ 200,000 / 5 = $40,000 Ave. 5:1
- Always Try To Present In Person!
BID-HIT RATIO
- Make A Powerful Winning Proposal %\&XVWRPHU
Customers # Bids # Hits Bid/Hit
How Do I Look Is NOT a $ALES $TRATEGY! Cust 1 12 4 3:1
Cust 2 15 5 3:1
- Implement A Super Sales Follow-Up System Cust 3 8 1 8:1
Cust 4 21 3 7:1
Make Your IMAGE An Asset Others 69 12 6:1
----------------------------------------
Mark-Up
Total 125 25 5 : 1
Set Your Company Apart DIFFERENTIATE Distribution Plan

- PROVE Your Company Is The Right Choice


 Strategies To Win More Profitable Contracts
& Overcome The Low Bid Process

Construction Is A BIZ!
- Youre In The ___________ BIZ = Selling Trusted Relationships!
Marketing & Sales TOOLS
- PRICE - Perception Of Value My Schmooze Action Plan
Customer Action
- DIFFERENTIATION
- Better Product Or Service
- Expertise, Specialty Or Niche
- Difficulty Or Risk
- High Barrier To Entry My Referral Action Plan
- Trusted LOYAL RELATIONSHIP Customer Action

No Trust = No Sales!
How To Build Trust? - Familiarity
- Awareness
- FREQUENCY = 4 Times / Year = Score 24 $uper $ales $uccess $ystem
Emails & Phone Calls ___________ Count! My Personal BIZ-DEV Weekly Activity
___ F2F Meetings With Score 24
- Relationships Are Built ____________ To ____________
___ Sales Phone Calls / Week
- FACE MAIL! ___ Handwritten Notes / Wk = 1/Day
- DATE Your Customers - 4 Times / Year Company Annual Customer Contact
What Would Motivate Customers To Buy From You? ___ F2F Meeting Score 24 Every 3 Mo
___ Mail Fortune 500 Every 3 Month
- Low Price / Different / Expertise / Relationship Or _______________
___ Attack ___ New Targets / Month
Best Way To Get REFERRAL? - _______________ Them
= Positive $ALES GROWTH
- _______________ !!!

BIZ-DEV Action Plan

- Score 24 Loyal Customers - 4 F2F Meetings Or Dates /Year
- Sales Phone Calls - Minimum 1/Day
Customer Contact Tracking System
Customer Targets $$$ ROE F2F & Contact Frequency
- Attack New Targets - 1 to 2 Week
J F M A M J J A
+ Chicken List
Score 24 Loyal Top 24
- Send Personal Notes - 1 A Day Vitamin
Relationships
- Contact Fortune 500 - 4 Contacts/Year Repeat
- Weekly Sales & Estimating Meeting Current
- Monthly BIZ-DEV Strategy Meeting Fortune 500
Past
NEW Targets
Referring Parties