Research Reports from the Department of Operations

Document Type

Report

Publication Date

10-5-1964

Abstract

A bidding model is developed and used to examine alternative contract research proposal preparation strategies. Expected profits due to sales from initial and follow-on production orders are related to proposal preparation cost, contract value, and the probability of contract award. Limited engineering resources may be allocated to proposal preparation effort so as to maximize total expected profits. The model is tested and applied in the proposal preparation activity of a company in the aerospace industry.

Keywords

Operations research, Letting of contracts, Contracts, Research--Evaluation, Resource allocation, Mathematical models, Decision making, Aerospace industries

Publication Title

Technical Memorandums from the Department of Operations, School of Management, Case Western Reserve University

Issue

Technical memorandum no. 24

Rights

This work is in the public domain and may be freely downloaded for personal or academic use

Download

Share

COinS
 
 

To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.