CHAPTER 5 :
Feasibility,
Bidding and
Proposal
1. Role Of The Event Interview
Manager 4. Proposal Document
2. Feasibility Study 5. Bidding
3. Initial Client Assessment
The project initiation phase in Is the event feasible?
corporate event project Is this the correct approach to achieve
the desired results?
management answers two
questions:
Output of this phase becomes specific plan for the corporate
event.
An event feasibility study is a detailed exploration of the
Introduction
alternatives for an event to ensure that the event meets the
client’s objectives.
An outcome of a feasibility study is the event proposal.
An event proposal is a detailed recommendation for an event.
Role of the Event
Manager
Role of the Event Manager
Event initiator: Event partner: Event assessor:
• The corporate event • Each participating • When the corporate event
manager suggests events for organization sends its event management is completely
approval by senior manager or a core team to outsourced, the
management of the division become part of the overall organization must assess
or corporation. In the event team. The various the viability of the event
project-based corporation hospitality events and monitor its progress.
this method will be standard surrounding the Olympics
for all departments. Events, were an example of this
just like other projects, will organizational process.
have to meet the selection
criteria of the company.
In all these situations, The event manager may The manager may
the organization must be in one of two submit a bid or proposal
understand event positions when or may create a request
feasibility and proposals. considering bidding. for proposals (RFP) and
assess the results.
Feasibility Study
Feasibility Study
• The major purpose of a feasibility study is to provide a choice of various models for
the event and to present the cost and benefits of each.
• The outcome is a decision-making document on which the pros and cons of the event
can be assessed.
• The most important section of the event feasibility study is the comparison of the
event models.
• This section will necessarily contain some approximation, but it can give a quick
overview of the points made in the study.
• The comparison must use the same aspects of the event and they must be a like
comparison, that is, “apples with apples.”
Table 5-1 Headings for the Feasibility Study
Introduction: Description of the goals of the study and the • Registration, ticket scaling
objectives of the event as well as how they fit with the strategic
objectives of the sponsor or client Event content
Choice of time and place Event options or models
• Factors in site/venue choice, including financial and political Comparison of event models
• Draft of suggested places Administration, including contracting and organizational
• Factors in the choice of date structure
Logistics Assessment of similar events
• Sourcing Recommended option
• Transportation
The next step
Estimating project cost Attachments
Revenue • Model matrix
• Funding sources—department budgets, partnering sponsors, • Overall flowchart
foundations • Draft schedule
• Payment schedule or funding transfer • Draft budget
• Invitation or ticket distribution
Visualizing the event is an important part of a feasibility study, and any graphs, photos, videos, or
charts can help.
The two major constraints of event management need careful attention.
Time is shown by the schedule and choice of date, and the venue is illustrated by a location map,
site plan, or floor plan.
Time and tasks can also be visualized by means of a flowchart.
This will help establish the sequence of tasks and their primary dependencies.
Flowchart for a Corporate Promotional Event
• A flowchart illustrates why
certain decisions can have
such long-range
consequences.
• Because it is important not to
get lost in the details, only
the information necessary to
make the important
decisions needs to be
included.
TOOLS FOR Event feasibility can draw on the tools
FEASIBILITY used in other disciplines.
SWOT analysis from marketing,
Particularly
useful are: Gap analysis from planning,
Cost-benefit analysis from finance.
SWOT Analysis
The SWOT analysis
is an effective tool in STRENGTH WEAKNESS
the feasibility study.
SWOT
THREAT OPPORTUNITY
Gap Analysis
Gap analysis is a risk It is best conducted during the
management tool that, in this drafting of the study because
case, looks for gaps in the the process of compiling the
feasibility study and event best study may uncover areas that
practice. have been left out.
As the event management may
be too far immersed in the
A gap analysis can be carried
study to recognize gaps, it is
out by using checklists or by
wise to have another corporate
comparing elements to
event manager or an
previous events.
independent event planner
review the study.
Cost-Benefit Analysis
The event manager should Depending on the size and
prepare a rough cost-benefit uniqueness of the event, the
analysis on whether to conduct a feasibility study may take a week
feasibility study. or longer to complete.
Initial Client Interview
Initial Client Interview
The initial client interview is critical to the People don’t prepare themselves for the
success of every event. proposal and the initial interview with
the client, and yet these steps are
extremely important in the process to
ensure a fit between the client and the
event planner or the corporate event
management team.
Proposal Documents
Proposal Documents
This highly targeted document The form and content of the
contains dense information document must reflect the
providing a solution within professionalism of the
the client’s specific corporate event management
requirements. staff.
It should demonstrate the
event management’s unique
The document may be a one-
knowledge and experience as
page proposal, a detailed
well as a commitment to the
folder, or a presentation.
client and the event
objectives.
In most cases the proposal for the event management is presented in
person; however, in the case of sub elements, government requests for
bid, or certain corporation regulations, the bid is submitted via mail.
The in-person presentation or mail version of the proposal can be
supplemented with a version on an internal or a secure external Web
site.
The advantage of the Web is that the stakeholders can access it at any
time, just about anywhere in the world, and the hypertext allows quick
navigation to areas of interest to the user.
The proposal can then have various levels of detail according to the
needs of the user.
However, the mail or Web version loses the impact that an in-person
presentation of the proposal can have on the decision maker.
A proposal does not have to be in
response to a request.
SELF- It can be developed from a perceived
opportunity.
GENERATE
D The event office may see an opportunity
to enhance staff relations though an
PROPOSAL inter- or intracompany sports event.
Or an event may be an opportunity to
improve a company’s public relations
with the local community.
• It is the only way a new event company can
enter the field.
• Government agencies are required by law to
THE put their needed supplies and services out
to bid.
CONTENT • Most private companies will do this as a
matter of good business to make certain
they are receiving competitive quotes.
S OF THE • The event industry is no different. An event
company will put together bid documents in
BID much the same way as any other supplier.
• Depending on the quality of its work, the
PROPOSA event company may be placed on a
preferred corporate supplier list, where it
will regularly be asked to put in a bid.
L • Preparation of a bid response can be an
arduous task, as the event company does
not want to be removed from the preferred
supplier list.
Below is a checklist of what may be contained in the
event proposal:
• Cover letter 2. Scope of work
• Title page 3. Stakeholders
4. Themes, design, and ideas
• Proprietary notice—cautions about unauthorized disclosure, which
should always be at the front of the proposal for legal reasons 5. Site/venue assessment
6. Resources required: AV, entertainment, catering, staff, and
• Table of contents (TOC) suppliers
• List of abbreviations 7. Marketing and promotional services required
• Executive summary 8. Budget—corresponding to functional areas of program
elements
• Body of proposal
9. Control management—reporting processes, organization
1. Profile of the event company structure
2. General, including mission, background, credentials 10. responsibilities
3. Specific, including previous similar events and resources 11. Schedules—planning, transportation, running order,
available promotion
• Project partners and their profiles 12. Environmental impact—natural environment, traffic,
transportation
• Event-specific information
13. Appendices
1. Objectives
PROPOSAL PREPARATION
Team formation for the preparation of a
Preparing a proposal can be viewed as
proposal is a project unto itself and requires
an unenviable task or as a chance for
the correct team configuration. It may be
the event management team to focus
internally sourced or use consultants and
all its skills and knowledge on an event.
partners.
With these inputs, the
Once the proposal team is proposal preparation can be
established, all the right broken into manageable
information needs to be units and divided among
collected and assembled. the team members.
Finally, the proposal
preparation schedule is
decided with enough buffer
time for any contingencies.
Clarity - Requirement Alternative Cultural Informal
Hints must be
clearly
- whoever
assesses the
support - A
multimedia
difference -
should be
help -
informal
regarding written. proposal will
have a
presentation
can be an
sensitive to
the various
communicati
on channel
creating the priority list
of criteria.
addition to
the proposal
cultures,
both
with the
decision-
document. corporate making
proposal. and
community,
organization.
that may be
involved in
the event.
VENUE-USE PROPOSALS
01 02 03
The event office may have For example, a seminar, This can be a very detailed
to submit a venue-use conference, or symposium form with such topics as
proposal. held on campus at some compliance with university
universities will must bylaws, insurance coverage
complete a proposal and other risks, sponsor
document. supporting statements, and
how the event would
benefit the university.
Bidding Assessment
Bidding Assessment
Long before a proposal is This may be an internal company Competitive bidding is
prepared, the corporate event bid. increasingly being used to ensure
office must decide whether to that internal departments of
bid for the event. organizations are efficient in
their practices.
The factors involved in this decision include:
Is this a real How much time Can you deliver if Who is the likely What’s in it for
request, a and energy will be you win? What will competition? me? The bid must
requirement of the spent on the bid? you lose—other Identifying the ultimately benefit
organization, or It could be a large accounts? competition and the event
just a feeler? proposal their advantages management team
document. Is the and disadvantages as well as the
opportunity worth as well as their client.
the effort? possible influence
should be
considered.
In the increasingly projectized business environment, the
corporate event office will be expected to submit event
proposals.
These could be solicited either informally or formally.
Whatever its reason for creation, the proposed event will
compete with other projects for the organization’s resources.
To enjoy early success, the proposal or feasibility findings
need to be structured as a serious business document.
A basic knowledge of the feasibility study and proposal
preparation is essential for the successful corporate event
manager.
By understanding and adapting the methods of project
management, the corporate event manager can create a
consistently professional product.
