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Infrastructure decision framework

Bid Architecture and Delivery Credibility

Work out whether the offer covers the full cost of delivery and whether the people you need will be available in time.

A supplier price is only part of the delivery cost

An attractive supplier quote can leave retained integration, assurance and management work uncosted. A team may also have enough people in total while lacking the specialist days needed in a particular period.

Check return and capacity together

Subtract the complete delivery cost from the proposed price, then compare the contribution with your minimum requirement. Check capacity separately: for each skill and period, divide required days by confirmed available days. The highest ratio identifies the tightest resource constraint. If you change the delivery arrangement, recalculate both cost and capacity.

Three illustrative bids compared against minimum contribution and available resource. Reserving capacity resolves overload but requires repricing to meet the return threshold.

Illustrative example.

A capacity fix can require a different price

The illustrative AUD 2.40m offer includes AUD 1.80m of supplier work and AUD 0.30m of retained work. Its AUD 0.30m contribution exceeds the AUD 0.24m minimum.

Assurance, however, needs 15 days in weeks 12–13 against six available. Reserving ten extra days costs AUD 0.10m and changes the commercial result.

The minimum contribution is a fixed AUD 0.24m amount. Ratios are rounded. The repriced example meets the illustrated price and capacity thresholds; access and acceptance conditions still require resolution.
Offer arrangement Complete cost Above minimum contribution Highest demand ratio
Original: AUD 2.40m price AUD 2.10m +AUD 0.06m 15 / 6 = 2.50
Reserved capacity: AUD 2.40m price AUD 2.20m −AUD 0.04m 15 / 16 = 0.94
Repriced: AUD 2.44m price AUD 2.20m AUD 0 15 / 16 = 0.94

Connect obligations, cost and confirmed capacity

Use the comparison while developing a bid, responding to procurement or revising scope and price. Divide resource periods finely enough to reveal shortages that a total would hide. Record unresolved client conditions and who is responsible for resolving them.

What you bring

Client obligations and retained work; supplier, internal and indirect costs; price and the approved minimum contribution; required and confirmed available days by skill and period; access and acceptance conditions.

What the comparison provides

Complete delivery cost, amount above minimum contribution, the controlling resource period, unresolved conditions and the next pricing, scope or resource action.

The two axes do not prove deliverability

A ratio of 1.0 uses every available day. Spare days in one skill or period cannot fill another shortage. If assurance availability rises to 20 days, commissioning becomes the tightest constraint: 8 required days against 10 available gives a ratio of 0.80. Check named people, task continuity, dependencies and rework in the delivery plan. A favourable price cannot settle a failed acceptance condition. Apply any percentage contribution policy using its approved definition.

Apply the framework

Build a cost and capacity comparison for the offer you plan to make.

When another framework helps

Delivery System Architecture

When capacity must be tested against the actual sequence, access and release decisions.

Discuss your proposed offer

Tell us what you plan to offer and where the delivery cost or resource commitment is still uncertain.