A poorly run Microsoft RFP produces three nearly identical reseller proposals at the same Microsoft price, signals to the market that the company has no real intent to switch, and ends in a renewal that the incumbent reseller was always going to win. A well run RFP creates competitive tension, exposes the actual reseller margin, surfaces concessions the incumbent would never have volunteered, and informs the underlying Microsoft negotiation. The RFP is a leverage event when it is structured as one. The briefing below names the process the practice runs for Fortune 500 reseller selections and LSP rotations.
Microsoft's price list is fixed but reseller margin is not. The published EA price is the same regardless of which reseller wins the deal. The negotiating room is in reseller margin, value added service inclusions, payment terms, and the credibility the RFP gives the buyer in the parallel Microsoft conversation. The practice has watched clients capture two to four percent of total contract value through reseller competition alone, before any Microsoft side concession is even discussed. The RFP is the instrument that produces that leverage.
Before any document leaves the building, the practice and the buyer align on what the RFP is actually for. Pure reseller selection. Reseller plus advisory service competition. A credible switch threat to inform the Microsoft conversation. The answer drives every subsequent design decision.
Three to five resellers with credible scale, geographic match, vertical expertise, and a genuine willingness to compete on the deal. Including a token bidder dilutes the process. Excluding the incumbent without cause forfeits leverage. The list is constructed for tension.
Volume, term, geographic footprint, product mix, growth profile, special situations. The specification is precise enough that bidders cannot hide behind ambiguity and broad enough that bidders can compete on more than headline price.
Weighted criteria covering commercial terms, reseller margin disclosure, advisory service inclusion, account team capability, audit posture support, payment terms, and structural protections. The framework is published with the RFP so bidders compete on the dimensions that matter.
Bidder briefings, written response, oral presentations, reference calls, and a structured negotiation round. The process is compressed enough to maintain tension and structured enough that bidders cannot run out the clock waiting for the incumbent decision.
The shortlist returns with improved terms after the first round. The improvement is the actual competitive leverage. The practice routinely sees BAFO concessions of one to two percent on top of initial proposals that already reflected real competition.
The RFP outcomes inform the Microsoft negotiation in parallel. Reseller economics, structural protections, advisory inclusions all become inputs to what the buyer asks Microsoft for directly. The RFP and the EA negotiation become a single integrated event rather than two sequential ones.
The award is paired with a transition protocol, an SLA framework, an exit clause that survives the term, and a quarterly business review cadence that holds the reseller accountable to the proposal that won them the deal.
Most Microsoft RFP responses cover the same five pages of marketing copy and three pages of pricing that looks competitive but reveals nothing. The practice writes RFPs that force disclosure on the dimensions that matter. The five disclosure requirements below define the floor.
The actual reseller margin is no longer opaque. The buyer can compare bids, negotiate against the disclosed margin, and protect the position across the term rather than rediscover the margin question at the next renewal.
The parallel Microsoft conversation is informed by the RFP findings. Microsoft sees a buyer that has competitive options, that has structured the alternatives, and that is prepared to act on them.
SLA framework, audit posture support, account team named individuals, exit clauses. The protections that survive the term enter the contract because the RFP required bidders to commit to them.
The award is documented, scored against published criteria, and ready for board, audit, or regulator review. The selection survives scrutiny because the process was structured to survive scrutiny.
The practice supports CIOs, CFOs, and procurement on Microsoft licensing RFPs, reseller selections, and LSP rotations. We design the process, qualify the bidder list, run the competitive event, and synchronize the outcomes with the Microsoft negotiation.