How to Decide When to Bid on U.S. Government RFPs

Companies should have a bid/no-bid framework because bidding on contracts, especially government ones, is a demanding, costly, and competitive process. Without a structured decision process, companies risk wasting significant time and money on opportunities they have little chance of winning.

In this blog, we summarize the exact bid/no-bid framework Judy Bradt, CEO of Summit Insight, uses to advise her clients to save thousands of dollars, reclaim months of effort, and keep their teams motivated by pursuing only the right government opportunities.

We also discuss how to identify red flags, so you focus on the opportunities that you are most likely to win.

Why have a bid/no-bid framework

One of the main benefits of using a framework is that it helps introduce objectivity and discipline, forcing decision-makers to evaluate whether the company truly meets the requirements, has relationships with the customer, and can offer a competitive solution.

Companies that evaluate opportunities using consistent criteria tend to submit fewer bids but win more often because they invest their energy where they are best positioned to succeed.

Another important advantage is the protection of internal resources. A clear decision framework helps companies prioritize and allocate resources efficiently. It also reduces business development costs by eliminating time and effort spent on chasing low-probability bids.

Does every government opportunity require a proposal?

You do not need to have a full, formal proposal for every opportunity. Requests for Proposals (RFPs) require extensive, highly structured submissions.  

In comparison, Requests for Quotation (RFQs), Invitations for Bid (IFBs), and micro-purchases often require minimal documentation and can even be used to start building a relationship with the customer. These are great ways to get your foot in the door, learn the process, and demonstrate your capabilities without the enormous time and cost of a full proposal. Here is a summary of the features for each of the procurement requests.

Feature

IFB (Invitation for Bid)

RFP (Request for Proposal)

RFQ (Request for Quotation)

FAR Authority

Part 14 — Sealed Bidding

Part 15 — Negotiated Procurement

Part 13 — Simplified Acquisition Procedures

Purpose

Buy something precisely defined; no negotiation

Buy a complex product/service requiring judgment or trade-offs

Get quotes for low-risk, usually smaller purchases

What You Submit

A bid: completed forms, certifications, fixed price

A proposal: technical, management, past performance, and price volumes

A quote: brief pricing and capability statement

Evaluation Basis

Lowest Price, Technically Acceptable (LPTA)

Best Value or Trade-off (price + non-price factors)

Price + fit; often LPTA or best value lite

Negotiation / Discussion Allowed?

No — sealed bids opened publicly

Yes — clarifications, discussions, revisions

Sometimes — informal clarifications allowed

Award Type

Contract to lowest responsive, responsible bidder

Contract to best-value offeror

Purchase Order or Task Order

Typical Dollar Range

Often > $350K (construction, commodities)

Medium–large, complex services/systems

Usually < $350K; micro to simplified threshold

Examples

Base facility maintenance, vehicle fleet purchase

Cybersecurity, logistics, R&D, program support

Office supplies, training sessions, short IT work

Proposal Workload

Low: pricing + compliance

High: full capture, win themes, color-team reviews

Light: short-form response, often same-day turnaround

WIRED bid-no bid framework

In the webinar, Bradt introduced her WIRED framework, a structured approach that helps government contractors evaluate whether to pursue a specific opportunity. It ensures that bidding decisions are based on strategy, readiness, and return on investment rather than impulse or optimism. The acronym WIRED stands for:

  • W – Win probability
  • I – Influence beforehand
  • R – Resources and readiness
  • E – Evaluation fit
  • D – Deal value

The first element, Win, focuses on the probability of success. It asks whether the company has a genuine chance of winning the contract, based on competitive intelligence, past performance, and positioning.

Influence examines whether the company has built meaningful relationships with the buyer or end user before the solicitation is released. If the company has had no prior contact or insight into the client’s needs, it signals a weak position and a likely “no-bid.”

Next, Resources measures whether the company has the time, personnel, finances, and partners necessary to deliver a compliant and competitive proposal. Many firms underestimate the resources required to produce a quality bid, and Judy emphasizes that a rushed or under-resourced proposal often leads to wasted effort.

Evaluation considers how well the company’s solution aligns with the customer’s stated evaluation criteria. A good technical fit, clear understanding of requirements, and competitive pricing are crucial to scoring high in this area.

Finally, Deal looks at whether the opportunity makes sense from a business perspective. This includes profit margins, contract type, payment terms, and the long-term value of winning the work. Even a contract that seems winnable may not be worth bidding if it erodes profitability or distracts from more strategic goals.

Scoring with WIRED

While each organization can adapt the scale to its own priorities, the core idea is to assign a score from 0 to 2 points for each of the five WIRED factors for a maximum total of 10 points.

 W – Win Probability

  • 2 points: You know the customer well, have a clear competitive edge, and are positioned to win.
  • 1 point: You have some chance to win but face strong competition or lack certain advantages.
  • 0 points: You have little to no chance—there’s an entrenched incumbent or you’re unknown to the buyer.

I – Influence

  • 2 points: You’ve spoken directly with the buyer or decision-makers, shaped the requirement, or had pre-solicitation contact.
  • 1 point: You’ve had limited engagement—perhaps met the buyer but haven’t influenced the requirements.
  • 0 points: You have had no contact or insight into the buyer’s needs prior to solicitation.

R – Resources

  • 2 points: You have the people, time, budget, and partners ready to develop and deliver a strong, compliant proposal.
  • 1 point: You can manage but will need to stretch or redirect some resources to complete the proposal.
  • 0 points: You lack the staff, funds, or partners needed to create a competitive submission.

 E – Evaluation Fit

  • 2 points: Your past performance, technical approach, and price align perfectly with the evaluation criteria.
  • 1 point: You meet most of the criteria but have a few gaps or weaknesses.
  • 0 points: Your offering doesn’t strongly match what the customer is asking for.

D – Deal

  • 2 points: The contract is profitable, strategically valuable, and worth your company’s effort.
  • 1 point: It offers limited profit or strategic benefit, but might still be worth considering.
  • 0 points: The deal isn’t financially or strategically sound; margins are poor or risks are high.

A high score (around 10 points) indicates a strong opportunity and a “bid” decision, while moderate scores (7–9) suggest proceeding with caution. A low score (below 6) signals a “no-bid” and the company should focus its energy on opportunities where it is better positioned to win.

Total Points

Decision

Meaning

10

Bid with confidence

You are well-positioned to win.

7–9

Proceed with caution

Strengthen weak areas before bidding.

0–6

No Bid

Redirect resources to better opportunities.

 

Red flags to watch for

Several red flags can signal that a company should reconsider pursuing an opportunity. One of the most critical warning signs is when a solicitation appears to mirror the capabilities, personnel, or past performance of an incumbent or of a competitor it’s reasonable to wonder how well the buyer already knows that company.

Avoid requests that limit the pool of offerors in ways that lock you out: for instance, opportunities that are set aside for small business (for which Canadian companies are not eligible).

Be wary of opportunities that are reserved for vendors who have already won a place on the contract vehicle that the contracting office plans to use to award the work. Attempting to bid under these circumstances unless you have a qualified partner or teaming arrangement already in place.

A short proposal window to respond to complex requirements might suggest that the contracting officer is already confident in getting two or more offers from vendors that understand the requirements well. 

If you’re just responding to a solicitation, you found online, did not build relationships with the buyers, had no role in shaping the requirements, did not know about or respond to early market research requests, and have not demonstrated your differentiators to the buyer, your chance of success drops dramatically.

Another consideration is profitability and strategic fit. Even if you could win, bidding on projects with minimal margins or that distract from your core strategy can harm your business in the long term.

Finally, vague or oddly specific requirements, solicitations released late on a Friday, unexpected NAICS codes, or performance metrics that closely resemble another company’s capabilities is another flag that your proposal will serve only to fulfill a competitive requirement.

Additional resources

Here are the additional resources mentioned during the webinar that can help you submit winning proposals:

Connect with CCC

With decades of direct experience, we can help you navigate government procurement processes. If you have an overseas business opportunity and want to know if the Government of Canada can support you, contact our team today.
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