AI for RFP Automation: 4 Takeaways from McKinsey’s 2025 State of AI Report
Nov 12, 2025

You’ve heard the buzz—“AI will change everything.” Yet if your proposal or RFP process still feels manual, scattered, and slow you’re not alone. According to McKinsey & Company’s 2025 “State of AI” report, nearly 90% of organizations say they’re using AI in at least one business function. The gap isn’t adoption anymore—it’s value capture and end-to-end transformation.
For sales, proposal and rev-ops teams, that gap lightly whispers one thing: AI for RFP automation isn’t optional—it’s becoming essential.
Why the “State of AI 2025” matters for proposal and RFP automation
The McKinsey report gives three clear signals:
Broad AI deployment, but few firms redesigning workflows to capture strategic value.
A rise in “agentic” AI systems (multi-step automation) especially in knowledge-intensive areas.
Governance, risk, and leadership now separate winners from the also-rans.
For proposal teams whose world revolves around RFP intake, drafting, review, submission and reuse, those signals map directly to your daily pain points. The keyword here: AI for RFP automation.
Lesson 1: Workflow redesign is the secret sauce
McKinsey found that among dozens of variables, workflow redesign had the strongest correlation with AI-driven bottom-line impact—far more than simply piloting a new tool.
What that means for your RFP team: Deploying an AI drafting tool is great—but the real lift comes when you restructure how proposals move:
Intake → auto-assign → draft → review → submission → reuse.
Identify hand-offs, delays, missing logic, and content gaps.
Insert automation and AI at the right points—not just “one more tool.”
Actionable tips:
Map your current RFP end-to-end process and highlight bottlenecks (time to draft, review repeats, version chaos).
Identify where AI can step in (content retrieval, first-draft generation, routing).
Redesign your workflow to include those automated steps and define new roles/ hand-offs.
Measure: track cycle time, error rate, reuse rate.
Lesson 2: Knowledge-intensive workflows + agentic AI = opportunity
The report highlights the growing use of “agentic AI” — systems that execute multi-step workflows, not just single tasks.
Proposal operations are inherently knowledge-intensive: you reuse past answers, align with compliance, tailor messaging, manage versions.
The opportunity: Instead of using AI solely for paragraph writing, you can build an AI-enabled workflow that:
Automatically pulls relevant past responses from your content library.
Generates a tailored draft aligned to scope, brand and compliance.
Routes the draft to the proper SME/reviewer based on content type or risk.
Captures reviewer feedback and refines future drafts (continuous improvement).
Actionable tip: Start a pilot “mini-agent” workflow: automate draft generation + routing + tagging → human review → lessons-learned. Track metrics: drafting time, review time, reuse rate, quality score.
Lesson 3: Governance, trust & risk matter
McKinsey reports that 51% of organizations using AI experienced at least one negative consequence (inaccuracy, IP leak, privacy breach). Governance is now a key discipline for leading AI adopters.
In the proposal/RFP world, risks include: outdated responses, non-compliant language, auditing gaps, version drift, IP exposure.
Actionable tips:
Clearly assign content owners and define update cycles for your library.
Embed approval gates for AI-generated responses (human-in-loop).
Maintain audit logs for changes, who made them, when and why.
Regularly test your process for accuracy, compliance, brand-alignment.
Use metrics: number of compliance errors found post-submission, percentage of responses revised for non-compliance.
Lesson 4: The AI-gap is growing — proposals are a battleground
The McKinsey report identifies a fast-emerging divide: organizations that invest in transformation (workflow redesign + governance + leadership) are pulling ahead of those still experimenting.
For proposal teams, this means: your ability to turn RFPs into a repeatable, efficient, high-quality machine will become a competitive edge. The moment your rival automates and you don’t, you risk losing time, margin and even deals.
Actionable tips:
Measure your baseline: average time to respond, reuse percentage, win-rate trend, cost per proposal.
Build a roadmap: pilot → cross-team → enterprise.
Communicate results: show savings in time, improved win rates and reusable assets.
Tie automation gains to revenue and margin metrics so leadership can see ROI.
How Settle helps you act now
Here’s how Settle aligns with each of the four lessons above:
Workflow redesign: Settle supports the full end-to-end process—intake, content library tagging, automated draft generation, review routing, submission tracking.
Agentic/knowledge workflows: Settle uses AI to map questions → past answers → generate drafts aligned with your brand, compliance and risk profile.
Governance & audit: Settle provides version control, content-owner tracking, approval flows and audit logs—so you scale safely.
Scaling value: Settle gives dashboards on reuse rate, drafting turnaround time, win-rate impact—so you move from pilot to enterprise value.
We designed Settle so teams can stop responding to RFPs like one-offs, and start treating them like repeatable operating rhythms. If you’re ready to move beyond experimentation and build a proposal machine built for the future, Settle is the platform built for the next wave of proposition teams.
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Don’t let your team slip into the “AI waiting room.” The McKinsey 2025 report shows a clear path—and the cost of standing still is real. Book a demo of Settle today and start automating your RFP process to move faster, win more, and scale smarter.
