The Do’s and Don’ts of Tendering

Article featured on the Skills Portal on how to develop a winning bid.

The term tender refers to the process in which government invites public bids for large projects. These invitations are generally made through newspaper advertisements, however government is moving toward online advertising mediums.

In this contractual agreement businesses may agree to either supply a service or a product. However, in order to be selected business must meet certain conditions stipulated by the tender document.

“When you tender make sure that you have the infrastructure and track record required to carry out the contractual obligations”,warns Yunus Rubridge, a specialist in supply chain management.

If a tender asks for specific supplies the business must ensure it complies with those requirements.

This is one of the biggest blunders companies make when bidding says Rubridge.

He reminds businesses to first clarify the specifications of the tender as a misinterpretation of the contract can also cause problems further down the line. Submitting tenders can be tedious and time consuming so, “make sure a few people read the tender before you decide to bid”.

“Do not under-quote”. Many companies undercharge in an effort to secure the tender and end up working at a loss.

Instead Rubridge advises companies to form an effective team that can develop a winning bid that will profit the business.

The team should include a financial officer, a procurement officer and a consultant that has some knowledge about the bidding process. It is also important to have a manager that specialises in the field of service. For example if the tender is for an IT project, the team must include an IT specialist or manager that can verify the offering.

“Don’t communicate without written confirmation; make sure you do minutes during site visits.”

Do ask questions that relate to the contract. The way you communicate with the procurement officer and the way you conduct site visits will all contribute to your chances of obtaining the contract, says Rubridge.

Join the Tendering and Winning Public Sector Contracts course hosted by Alusani Skills & Training Network®, in which Yunus Rubridge will cover topics like sales techniques, procurement tips, scoring methodology, functionality, local content, necessary documentation and presentation skills. Please contact Alusani® for the latest dates. You can save up to R2000, when you register and pay early!

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