Page 189 - Writing Winning Business Proposals
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180                                Writing Winning Business Proposals


                          facility for years and probably doesn’t recognize that facility needs can be either
                          seriously overstated or understated without first establishing a solid base of effec-
                          tive operations from which to project those needs.
                            These are points you develop to formulate an opening P-slot for this task.
                          Importantly, the task will involve identifying opportunities to improve current
                          operations and/or outsource various components to establish a solid base that will
                          be used in conjunction with the forecast to accurately project future requirements.
                            You know that the output from this task will provide an essential ingredient for
                          developing the overall manufacturing facility strategy. Only when future require-
                          ments are known can the study team explore viable options for providing these
                          requirements. You convey this important understanding in the closing P-slot.
                            Your draft of Task 2:


                               Task 2: Determine Total Factory Space Requirements
                               at Alternate Forecast Levels
                               An important task of the engagement team will be to use the existing base of
                               production resources (floor space, equipment, and staffing) and modify that
                               base so that it can accommodate the additional future production demands
                               over time indicated by the confirmed market forecast. First, however, the team
                               will carefully evaluate that base to identify improvements or eliminate ineffi-
                               ciencies that might exist today. We don’t want ABC to risk adding too much or
                               too little capacity. This risk can be avoided by first establishing a proper base,
                               a “current-improved” base, from which to project future resource require-
                               ments. All this will be critical, because determining future needs involves far
                               more than simply an arithmetic extrapolation of today’s activities.

                               We were very much impressed during our walk-through of your main man-
                               ufacturing facility. You should know, however, that in nearly every similar
                               engagement, we have been able to recommend methods for better utilizing
                               currently available space, thereby making space available for additional equip-
                               ment to add to manufacturing capacity. To provide additional capacity and/or
                               space without first determining such improvement opportunities could result
                               in unnecessary capital investment.
                               We will ensure that ABC is making the most effective use of existing manufac-
                               turing resources. Specifically, we will:

                               ◉  document current equipment and space utilization
                               ◉  determine opportunities to better utilize current equipment and space and
                                 to improve material flow
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