If you show the government how to save 10 percent or more, you should be seeking a 9 percent profit. Justify it on the basis of increased risk. This is particularly true for facilities management and ADP facility contracts. Squeezing greater efficiency and effectiveness out of the project staffing organization is a way to deliver increased value and reduce the bottom-line bid price. A good place to begin demanding more value is with the project flow charts and project management software, which in the wrong hands can lead to inflated pricing.
Complexity is good.
Complexity is impressive. Complexity is expensive and leads to inflated pricing. Many flow diagrams need to be redesigned radically on the basis of BRE techniques. The above anecdote perhaps represents a technical solution, but it has a profound impact on pricing. Virtually every RFP presents at least small ways to increase the value of a contract, so that the government customer either gains more value for the same amount of dollars or spends less.