Business Assignment Paper-Subcontracting

Subcontracting

Subcontracting
Pretend you are a subcontractor. What factors should be kept in mind when you are looking for a prime contractor? Explain your decisions in a 3-4 page paper using APA format.

Subcontracting Chapter 4

What should a prime contractor consider when determining whether to subcontract?

1. Capability analysis 2. Cost-effectiveness solution 3. Contract risk/reward 4. Competitive position 5. Customer preferences 6. Quantity discounts 7. Final analysis

What should a subcontractor consider when determining whether to subcontract?

1. 1. Cost competitive solution 2. Contract risk/reward 3. Learning opportunity 4. Capitalizing on an existing relationship 5. Program requirements 6. Competing on multiple contracts simultaneously

What does a prime contractor need to consider before entering into a subcontractor relationship?

1. Amount of Subcontractor Involvement 2. Subcontractor Prices 3. Revenue Sharing 4. Company Value 5. Other Deals in the Pipeline 6. Subcontractor involvement 7. Partners Today; Competitors Tomorrow 8. Partners today; Competitors today 9. Break out work among subcontractors 10. Effect of strategic alliances 11. Interrelationship of programs

What should a prime contractor keep in mind when working with subcontractors?

1. Time required 2. Commitments about subcontractor’s products or services 3. Level of subcontractor involvement 4. Short timeframe for negotiations 5. Negotiation timing 6. Prime contractor: single point of contract 7. Prime contractor: single point of accountability

What should a subcontractor consider when working with a prime contractor? 1. Deciding how much the business worth 2. Working on multiple contractor teams 3. Doing things the way the prime contractor wants them done

What does the subcontractor need to provide to the prime contractor?

1. Technical solution proposal section 2. Prices 3. Integration support 4. Draft subcontract revision 5. Representations and certifications 6. Resumes 7. Past performance citations 8. Willingness to answer the customer’s questions

What should subcontractor keep in mind when working with prime contractors?

1. Statement of work clearly reflects the subcontractor’s work 2. All the products and services the subcontractor is selling appears in the Statement of work 3. Ability to negotiate for additional products and services after contract award 4. Prices

How does a subcontractor determine if it is worth working as subcontractor?

1. Return on Investment Analysis 2. Opportunity Cost Assessment