Editor's note: the full webinar is available for purchase from the SDA Store on the National Website at https://bit.ly/SDAStoreGoNoGo Be sure to login to receive the SDA member price.

The Go/No-Go Process: Promoting Effective Marketing & Risk Management

Have you ever wondered if your marketing decisions align with your firm's strategic goals and objectives? Are you interested in learning about a systematic process to help you make more objective decisions? In this post, I will share what I learned about the Go/No-Go process, a structured approach to promote effective marketing and risk management.

I attended a session presented by Diane P. Mika, VP & Director of RM Education, Berkley Design Professional, and Julie Standon, LEED AP, Principal of SitePlus, at EDConnect21. The program focused on aligning marketing decisions with your firm's strategic goals, revenue objectives, and operational realities, identifying criteria that factor into an effective Go/No-Go decision, and developing a WIN strategy based on the gathered information.

Diana started the presentation by stating “evaluating whether a client and their project is a good opportunity for your firm is where Risk Management begins.” A structured and systematic Go/No-Go process can help you make a more objective decision. According to Deltek, only 35% of design firms have developed a formal process and only 24% use it strategically.

Marketing is an expensive overhead item and needs to be as efficient and productive as possible. A/E firms operate on an average profit level of 14.4%. Marketing costs average 8% of net revenue but can be as high as 12%. Marketing costs are greater than just the marketing staff and administrative expenses. Significant time is also spent by the professional staff as well. To spend marketing dollars wisely, a formal Go/No-Go process helps you spend those dollars on the right pursuits and not just rolling the dice.

Why have a Go/No-Go process?

• Increases the odds of success
• Reduces exposure to liability
• Offers the most efficient use of company resources and manpower
• It enables you to make a decision more objectively than subjectively

Factors That Influence the Go/No-Go

• Existing Client Relationship
• Targeted Client
• Likelihood of Profitability
• High Probability of Win
• Staff Utilization
• Gaining Experience in a New Sector

How do you evaluate the process with a specific project? Use a checklist – a tool for internal review to help you understand and evaluate the selection criteria objectively vs. subjectively.

Go/No-Go considerations:

External considerations for The Client: Do they have experience with the project type? Clients without this experience might require more hand-holding and thus more fees. What is the client’s reputation? Their financial capabilities? Carefully review the contract and make sure you have no exceptions to any clauses. What is their litigation history? How does this client resolve issues? Will they agree to a mediation clause?

Internal considerations for The Client? Are they existing clients? If so, you’ll know what you’re getting and what to expect. Is there potential for future work? Long-term relationships are a benefit to everyone. What is their company culture? How to their people work together within a company? How will your company culture mesh with their culture?

External considerations for The Project? Does the scope and size of the project fit in with your capabilities? Is it with an existing client with whom you want to maintain a relationship or a new client to start a new relationship? Funding source/status? Is it in place or bonds to be sold, grants, or private money? (Diane gave an example of a hard-to-please residential client funding his current project from damages he received from a previous one!) It’s important to know that the client has a solid payment plan. Budget/schedule? Is the budget adequate? Schedule do-able? Construction method? Are you familiar with the technique?  Did you know about the project ahead of time? Are there any politics, entitlements, and regulations affecting the project, such as a neighborhood group that is likely to protest, etc.?

Internal consideration for The Project? Determine what design services are required. Do you need to bring on consultants? Can you bring on the right team? Do they bring the right expertise, and are they known and liked by the clients? Are there any MWBE requirements? What is the client’s decision-making process? Find out who are the key decision makers. Project location – can you access it easily? If not, do you have enough fee for travel, overnight stays? Is there an opportunity to propose additional services as added value for the project? Always look for ways to add to the fee potential.

Eight Steps in Developing the WIN Strategy.

1. Capabilities/experience match with the client’s needs/expectations? If the client is looking for five similar projects completed in the last five years, do you have those to show?
2. Appropriate staff available? Clients will often lock in the proposed project team as part of the contract. Make sure staff are available
3. Who is your competition? What are their strengths and weaknesses, and how can you show you are better than they are?
4. Are you strategic? Does this project contribute to the firm’s mission? Know your mission, and every project you undertake should support your mission.
5. How do you distinguish yourselves? Once you know what the client is looking for and what the competition brings, how can you demonstrate proof of differentiation? Be specific on what you can do and bring and why is it a benefit to the client.
6. What is the most important message about your firm you want the client to hear?
7. Resources/connections to help you become more known to the client and provide you with good information about that client.
8. What are your chances of winning for real? What is the realistic probability of a win? You may be able to do it, but can you win it?

A project is a no-go if:

• You have never met anyone from the potential Client’s firm/institution
• The client is not familiar with your firm
• You don’t have relevant experience
• You don’t have enough time to prepare a great submittal
• Your chances are less than 50%

A Formal Go/No-Go Process is Beneficial

• Increases your odds of winning work
• Reduces your liability exposure
• Uses your company resources and manpower more effectively
• Gets buy-in from the entire team, which leads to a more collaborative and productive process, ultimately lays the groundwork for a more profitable project

The Go/No-Go checklist that was used during this presentation is included in the webinar handout that may be downloaded during purchase from the SDA store. https://bit.ly/SDAStoreGoNoGo 

What has been your experience with using the Go/No-Go process? Please share any tips or suggestions in the comments below.