Contents of a good project proposal

Contents of a good engineering project proposal

1. Title, summary and background of the project.
2. Problem statement and need (justification).
3. Goal and objectives.
4. Scope and expected outputs.
5. Methodology and technical design.
6. Work plan and time schedule.
7. Organisation, management and staffing.
8. Budget and financing plan.
9. Benefits: economic, social, environmental.
10. Risks and mitigation.
11. Monitoring and evaluation plan, sustainability.
12. Annexes: maps, drawings, data, CVs.

Technical and financial parts

Technical proposal contents

1. Introduction and understanding of the project and terms of reference.
2. Objectives and scope of work.
3. Methodology and approach.
4. Work plan and schedule (bar chart, milestones).
5. Organisation and staffing: key personnel with CVs, roles and man-months.
6. Equipment, materials and facilities proposed.
7. Past experience and similar works.
8. Quality assurance, safety and environmental plan.
9. Risk assessment and mitigation.
10. Deliverables and reports.

Financial proposal contents

1. Cost estimate and summary of total price.
2. Breakdown: remuneration, direct costs, reimbursables, taxes (VAT).
3. Bill of quantities and unit rates for construction works.
4. Payment schedule and terms.
5. Sources of finance and cash flow (for the owner's financial proposal).
6. Financial indicators such as NPV, IRR, B/C ratio and payback period.
7. Validity of the offer, bid security and conditions.

Why the proposal is the important document

The proposal is the main document on which the client or funder decides whether to accept and finance a project, so nothing starts without it. To do this job it must show:

• Clear need and objectives: exactly what problem is solved.
• A convincing technical approach: proof that the proposer understands the work and can do it.
• Realistic cost and schedule: neither inflated nor unrealistically low.
• Evidence of capacity: experience, staff, equipment, past performance.
• Benefits and risks stated honestly.
• Clarity, brevity and good structure: easy to read and evaluate.
• Compliance with the terms of reference, format and rules of the client.

Once accepted, it also becomes the basis for the contract and for control: the baseline for the scope, time and cost of the project.