https://www.tenderserviceonline.com/ Tenders Articles en-us admin@tenderserviceonline.com (admin) admin@tenderserviceonline.com (admin) TenderService Introduction Each Year, government departments, semi government organizations, autonomous bodies and large industrial units spend billions of dollars, buying a wide variety of goods, services and infrastructures from the private sector. This purchasing encourages fair & open competition between suppliers & aims to achieve the ‘Best Value for Money’. Private sector suppliers & contractors, both large & small can effectively enter into this market which can open a new avenue of business for them. To successfully become involved in this market, it is essential for the potential suppliers to recognize that the government is not just one unit, but a combination of many diverse departments, with unique needs. There are government departments ranging in size from just a hand full of staff to several thousand and each has its own, varied purchasing requirements. It is therefore essential for prospective suppliers to research & then accurately target the relevant departments most likely to utilize their goods or services and then negotiate the supply process. In this article, we will try to provide an overview of tendering and provide practical advice onwhy to become involved in “Tender Business”. Definition The dictionary definition of a “Tender” is to offer in writing to execute work or supply goods at a fixed price. This really is describing what most firms do when preparing a proposal or quote in their normal course of business. How Tendering Started There are many stories as to how tendering started. The most interesting one is given here. It goes back to when ships would come into a port and required provisions. The captain would put out a list of requirements on the port public notice board and the town merchants would respond with what they could supply and their price. This proved to be very effective for all parties as the captain did not always know the merchants and who could supply the best prices. The ship owner could see that the captain had paid the on going rate and the merchants were all given the same opportunities to offer their services. Why Government Purchase through Tendering? Fairest Way to Purchase It still remains the fairest way for government to ensure that they have received the best offer from the market. Tendering gives parties the same time limits to respond, the same objectives to overcome and no preferential treatment. No Personal Influences Tendering does not allow for personal influences as every responding quotation is considered on the same level platform. Firms Selected On Merit Firms that do win tenders have shown their skill at supplying a particular solution to the tendering board. They have taken extra care in preparing a submission that responds to all questions and requirements asked and added where they felt it gave them an edge over their competition. Less Chances of Rigging Those firms that lose often blame the process before looking at the submission themselves. Although over the years we have heard many complaints about a tender being “rigged” and many have carried real weight. but tendering can still be the most transparent mode of purchase if the rules and regulations are strictly followed. How to get tender Information There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles.So start tender business today and get lots of business possiblities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=10 Mon, 23 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=10 Obviously your pricing of a tender will be different to your normal pricing strategy. The first point to remember is that a scale made through the tendering process can have very good margins and that non related costs such as the advertising, marketing and allowance for bad debts should not be included in the pricing. People who talk about the tendering market being competitive are often using their general list price levels in their tender, which usually have these additional costs built in. The only real marketing cost associated to a tender is the preparation of the tender response itself and in many cases the bulk of this can be standardized. Pricing the Services Where a service is being offered, a similar technique to product pricing can be determined if the service is broken down into clear units. For example, tiling can be broken down to a square meter price. If your current pricing schedule for service is not clearly defined to units, it could be a very worth while exercise to calculate these figures to get a better indication of what profits are really being made when selling to the general public. If you are serious about tendering your pricing will need to be very accurate. It would not be ideal to win a tender to find out it was not profitable. If you have any doubts about your current pricing structure and future tender pricing structure, a cost accounting firm is going to be an excellent resource to use. Remember, once your tender price is clearly established, it can be constantly reused to respond to several tenders. Tips on Pricing It is important to consider some guidelines when preparing your tender price.They include: Always submit your lowest possible price for the service. If you wish to provide additional services then offer separate price for the extra service. Your price should make you a reasonable profit. You may in some tender decide to reduce your margin and break even. You may even make a small loss if you have other objectives. These could be to keep a team together during difficult times, or using the project simply for marketing purposes. Be careful about putting in loss making tenders. The costs may not be worth the risk. Aim to meet or exceed your client’s price objectives. That is, try to submit a lower price than your client expects. You may even try to do the job in less time, or do it faster, or with fewer resources than your client expects. Try to avoid a single fixed price. This may b difficult particularly if the client has included a price schedule that requires a single fixed price. You should then include a price menu that details prices under various conditions. Ensure the price of cost schedule has been completed against all items for which you wish to tender. If you are dealing with a product, which is exceptionally good or difficult to maintain for the period of warranty, take care of margin before giving your required price. All rates should be quoted in English, both in figures as well as in words in the schedule of rates in such a way that manipulation is not possible. Consider all tax related issues carefully before arriving at final price. Pay extra attention to factors like delivery on F.O.R or F.O.B basis, octroi paid or to be paid basis, transit insurance, etc. If it is important item, take currency fluctuations/custom duty, etc. in account. Remember if you are a regular visitor of www.tenderserviceonline.com you can get many more useful tips on tendering. https://www.tenderserviceonline.com/?p=4&tender_id=11 Mon, 23 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=11 Collecting tender documents from the department, which has floated tender, seems to be a minor step at first sight. But it is not so. Please check up following details from the tender notice before putting in your valued resources and efforts. Product Description Even though the product seems to be the same as you are dealing with, it is valuable to recheck the description. If possible, check specifications if tender document is costly and available for pre inspection. It is possible that there are some minor differences in the specifications, which your product might not be in a position to fulfill. Earnest Money Please check this point very carefully. If the required earnest money is very high, you may not like to block that amount for a long time. Normally, you will receive the earnest money back within a stipulated time frame, if your tender is accepted, this amount may get converted in security deposit. However, if you feel that chances of your tender being accepted with high earnest way, you will save the cost of tender document and will be in a position to use the amount of earnest money for some other tender, where the chances of your tender being selected are comparatively high. Time Limit for Execution of the Contract Tender is required to complete the work/contract within a stipulated time frame. If tender is for product which is being imported by you. Please take all possible delays in account before committing yourself. If you are manufacturing the product, then availability of raw material as well as price fluctuations are also to be taken in to account. If tender is for a work contract or a project, check all the points like status and distance of the location of the project where it is to be executed, availability of manpower, transportation and accommodation etc. Non Availability of one or more than one factors like this may result in unforeseen delays and you may have to face penalty for it. Documents Required for Collecting the Tender Some times, tenderer is required to furnish documents like authorization from parent company or registration certificate. Please, verify the same from tender notice before deputizing your representative for collection of tender documents. Some tenders have eligibility criteria, and tenderer is required to furnish the proof of his/her eligibility at this stage. Dates for Collection and Submission of Tender Documents This is important if you are thinking of procuring tender documents through post and submitting them through courier or urgent mail service (UMS). Postal delays are normal and it is possible that you may not get documents in time. In above-mentioned case, you are looser hence take precautions. It is always advisable to procure and submit tender documents through your representative. Tender Documents are not Transferable If you are planning to submit documents in the name of your principal or your other firm, buy documents in their name only. As tender documents are not transferable to any other company. How to get tender Information There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles.So start tender business today and get lots of business possiblities in government sector https://www.tenderserviceonline.com/?p=4&tender_id=12 Mon, 23 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=12 Planning Phase The key to successful tendering is careful planning and time allocation. Generally you should: Read the request for tender document thoroughly. Ensure that you understand what is being asked for. Know the closing date and address for submission of tenders. Follow the instructions in the conditions of tendering. Non-compliment responses are likely to be treated as invalid and therefore not considered. Carefully evaluate the scope of work being asked for and whether all the work can be done in-house or whether others will be involved. Where others (e.g. Subcontractors) are to be involved, allow time to prepare a tender which includes input form all the other parties, particularly in relation to price. Not leave everything until the last minute. Obtain a copy of the document as soon as it becomes available. Seek information in plenty of time and plan to submit the day before the closing time. It is best to work to a checklist when tendering, to ensure your cover all aspects required. Check List for Planning Points to keep in mind with your checklist and during planning your response should include: Regularly review/update your checklist throughout the tender period. Use the checklist against your final draft response (to ensure it is complete and fully complaint with everything that was asked for). Keep track of any tender amendments issued and ensure these are included. If there are many amendments, add an appendix to the tender response. Check the commercial and contractual aspects of the tender. Determine if there are any performance guarantees, warranties, special insurance requirements or other commercial provisions that will require careful consideration. Check if there is a recommended payment schedule in the tender. Prepare to suggest alternative payment schedules, if necessary. Think about the schedules for costing and how these are to be presented. It is good idea to establish a tender costing model. Ensure someone with the authority and make him tender manager for the specific project. If you need your senior management or board to approve the budgeted price and tender documents prior to submitting, allow appropriate time for this to happen, and for any subsequent amendments to be made to the submission. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=17 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=17 Organizing your research Research is an essential requirement for successful tendering. It is suggested that you should: Acquire a working knowledge of the government purchasing policies and procedures. Learn how the system works and use the knowledge to your advantage. Learn to use the internet effectively. Increasingly this will be where market information and future opportunities will be found. Find out the evaluation criteria. This information should be detailed in the tender document. Where it is not provided, contact the concerned purchase officer. Attend any tender briefing sessions arranged for the tender, and forward any questions you have to the tender contract, in writing, before the session. This is usually the best opportunity to ask questions and receive the information. For larger tenders it may help to prepare a tender bid strategy with an analysis of the prospects of winning the bid, your competition and the resources required to implement the project. Determine at an early stage if you can provide a competitive solution. Reading the Project Brief/Specification When you receive the project briefs/specifications, highlight the important information, and plan your response keeping in view the following important points. Important Considerations during Planning Closing date and time Submission details Contact for enquiry Number of copies required Declarations/Attachments, etc. Sample required Specific information to be provided Pricing basis Proposed budget Statement of Compliance Contract period Evaluation criteria Project outcomes Copyright requirements (if applicable) Quality assurance requirements Progress reports required Additional responsibilities Always read the specification/documentation thoroughly and completely. Important information sometimes appears towards the end of the documentation. If you are not sure of any points, seek clarification by the Purchase Officer. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=18 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=18 How you resource and prepare your tender response is a crucial factor in presenting a winning tender. Once your company is in receipt of the tender documentation it must put into effect a dedicated tender strategy. On receipt of the document start a timescale diary. Log the receipt date and the due date for return of the document. Based on these dates and any other date stated for a pre-tender meeting, set out your timetable for the stages of your response and appoint a tender manager with the authority to conscript assistance from other expertise with your company. General Principles The following general principles are suggested while preparing a tender response: Presentation It is important to ensure your tender response is clearly and precisely displayed. Avoid handwritten presentations, even the nearest writer trends to lose clarity after a time. Use a type size one point larger than the issuing authority’s document if possible. This displays your response clearly. Normally correction made by the use of correction fluid (white fluid) are not acceptable to most of the organizations. Hence, tenderes should sign with date and stamp, all corrections and overwriting. All signatures in tender document should be dated as well as the pages of all sections of tender document should be signed at the lower right hand corner whenever required in the tender paper by the tenderer or by a person holding power of attorney authorizing him to sign on behalf of the tenderer before submission of tender. Prepare covers and covering letters depending on tender system and requirement of the tender. Make sure that you have enclosed right documents in right cover. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=19 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=19 Format Present your offer in a simple format. Tenders will be judged of contents, not on elaborate presentation. Clearly demonstrate (not merely assert) your ability to fulfill the mandatory criteria. Think about how you would evaluate the tender response if you were the officer receiving and evaluating it. When submitting answers to questions asked in the documentation, follow the precise format of the original questionnaire and use the same headings and number sequence as used in the client documentation, for example: Heading Environmental Information: Question 1.1 (answer) none Question 1.2 (answer) yes etc. If you are required to respond to voluminous questions, ease the client’s elevator’s work by displaying your answers page by page, matching exactly the questions and page configuration used by the client. This allows the evaluators easily to compare the questions and answers. By creating an easily checked document, clearly typed, you raise your tender presentation above the majority. Remember, the purchase officer (who is possibly responsible for checking a dozen or more voluminous presentations) is looking to reject tenders, so as speedily to arrive at a choice of just one, two or three tenders from which to make a final selection. Having read many pages of contractor information, often unclearly presented and badly laid out, your presentation will appear all the more impressive and give you an important edge. Fill up all the details and required format and annexure without making any addition or alterations. Attach all required documents and earnest money. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=20 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=20 Consultation Submissions should be prepared either by someone experienced in the field, or, in close consultation with an experienced person. Although time lines are often restrictive, a team approach, or at least consultation with colleagues, will help to ensure all aspects of the project have been addressed. If possible, involve proposed project participants in the process. Ensure that the project specifications are specific and unambiguous. Clarify any confusing clues with the purchasing authority. A contact name and number should be provided in the project Brief/Specification. Cost the project using the costing performa provided and allow for commercial costing rates. Retain this costing sheet as a record. It will form the basis of the project budget should the submission be successful. At this point it would be useful to anticipate the staff requirements for the project and determine availability of staff. Requires Documents Even though there is no standard to documents required to be submitted along with tenders, following documents should be always ready for you. Copy of the National Identity Card of the authorized signatory. Memorandum and article of association is case of limited company or partnership deed in case of partnership firm duly attested by competent authority. Sales Tax Registration Certificate. Certificate for ISO or equivalent standard. Latest Income Tax Certificate. The Income Tax Certificate should be in the name of the company/individual quoting for the tender. Details of similar works executed in last three years, document with names and postal address of clients along with copies of letters of indent, work orders, completion certificate and other documents in evidence of execution of work, percentage completed as on date and schedule of completion. Profile of your organization. Power of attorney in favour of the person who is signing the tender documents. Certificate from bankers. Audited balance sheet and profit and loss account statement duly certified by a chartered accountant in practice, for the last three years. Any other technical details/data sheet etc. related to your product range. Import license in case of B.O.B and C & F tenders. Agency agreement certificate in case of foreign principals. Final Compilation Take two copies of unmarked tender documents for compilation. Complete and compile your tender response remembering your supportive information. Check and recheck that you have completed the tender as specified by the client. Check your enclosures and affix a covering letter denoting the order of your presentation and a brief description of each item. If you are required to make your presentation within a set number of words or pages, ensure you have done so and denote the number of words or pages used. If you consider further information on your company would be of assistance to the client, seek their written permission to include such information with your tender, but not included in the actual tender document. Check you have signed each page as required and the correct signature is on your tender. If it says signed by the Managing Director, that is what is required. Once fully satisfied that the tender presentation is complete, pass to a colleague for final checking. Remember, more tenders are rejected because they don’t conform to the requirements stipulated than because of price or quality of work. Safely file your duplicate completed copy. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=21 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=21 Dispatch the Tender Be careful to place your tender presentation in the package which does not denote your company. If you are using a mail-franking machine check that it does not contain the name of the company. If delivering by courier, ensure your courier does not affix a label to the package that denotes any company. Deliver the package in person if possible; ensure that it is delivered to the correct person at the authority and that you receive a timed signed receipt. Usually hand-delivered tenders are accepted and signed for on an incoming register; by viewing this register you can see which other companies have presented tenders. Enter your delivery in your tender timescale diary. Await the date of award if specified and contact the issuing authority if you do not receive a reply. Keep monitoring until rewarded. Submitting on Time Make sure you submit tender response at the right location and before the closing time. Late tenders, even if only by few minutes, are ineligible for consideration. Send the Submission by Courier if the closing deadline appears difficult to achieve, or check to see if a faxed copy will be accepted. It is important to securely store a copy of your Submission. All other copies should be shredded. The original Project Brief/Specification should be attached to your submission, a copy of specifications should be filed. Common Mistakes Experience shows there are some key areas in which prospective tenderers often make mistakes, ensure you pay particular attention to the following: Again, don’t leave things until the last minute. Provide answers to question requested, not the ones you want to give. Offer products or services which match the requirement. Address the selection criteria. Double check your references/refrees. Tender only if you can meet the requirements of the specification and fulfill the evaluation criteria. The Winning Edge The following points will sharply improve your prospects of being short listed for further consideration. The tender evaluation committee is looking for a tenderer who: Distinguishes itself from the competition. Is customer focused – provides the customer what it wants. Provides value-added services (as opposed to a supplier who only offers minimal requirements). Is innovative and at the leading edge. Will be around for the long term. Contracts Successful Submissions should be followed up with a contract. A standard Contract should be signed by a responsible person in the client company and the director, or approved officer. The contract should be filed, with the project brief/specification, the submission and other relevant documentation attached. Check List for Contract Detailed description of the project A project identification number Start/finish dates Overall cost of project (and a breakdown of costs if appropriate) Progress payment details Contact person (address, phone, fax, position) Have a contract review clause. The original Contract should be held in a central file, to enable others to gain access to the Contract in your absence. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=22 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=22 Let us assume you company is in a tendering situation and look at some of the practices and policies you should implement to improve your tendering performance. Location First and foremost, you should define the precise geographical and operational area you are capable of supplying. For some companies this may be only within their immediate locality, for others it will be nationwide and beyond. When making the decision you MUST ensure that the area you select can be supplied by your company at the optimum level. There is no point in securing a large contract out of your capacity to supply. Bad news in the government sector carries far and quickly; by failing to deliver good service you can adversely affect your company’s prospectus for years to come. Recognition Secondly, appreciate the importance of recognition. A request to tender received from a company about which the purchase officer knows nothing is unlikely to receive a positive response. The more the purchase officer knows about you and your company, the better. There is no need, however, to bombard potential clients with volumes of promotional literature. You simply have to get across to your potential clients a series of key elements pertaining to your product, be it a supply or a service. Promoting Your Image Convince potential clients of your ability to satisfy all the following key factors and you are well on your way to successful tendering. Quality It almost goes without saying that quality counts. However, many companies still do not consider ISO Certification to be a necessity. It is! One of the first criteria in evaluation is reassurance on quality. ISO certification gives that assurance. Although contract documents may state that if you do not possess quality certification you may provide other information which supports your offering of a quality process, when it comes to comparing those with certification against those operating an unrecognized system, the unrecognized system will be at a disadvantage every time. All government departments are dedicated to achieving investors in people. They recognize the importance of training to ensure their operations are carried out at the optimum level and the impact of ISO certificate on any company working directly with the public can similarly be appreciated. Your dedication to achieving ISO certificate will not only help your company directly, but others will also see it as the sign of a dynamic, forward-looking company. Reliability How can you convince your client that your product or service is reliable? You have started the process by achieving ISO certificate. This demonstrates that you are offering a quality product produced by quality product produced by quality people. Now you have to provide further assurance and guarantees. If you are buying paint for your home you would wish to deal with a reputable company. ‘Paint companies’ brochures invariably go to great lengths to convince potential purchasers that their products are reliable, for example by inviting you to inspect their product in home settings within their showrooms; by offering a 10-year guarantee; by having the process covered by quality procedures; by emphasizing the quality of the materials used; or by providing endorsements of their products from past clients. You must do the same. Provide guarantees, backed by an insurance policy if necessary, and make sure that every time you complete a job the client signs a ‘Satisfaction Certificates to the purchasing department from past clients of similar nature. Demonstrate the product in an environment within which it would be used. Provide samples if possible. Provide copies of any articles that have appeared in the trade press regarding your products or information on test results where your products have been evaluated against those of your rivals. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=23 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=23 If you are a small company and have yet to win any substantial contracts from the government sector, you should try to build up a track record of small supplies to the government or private sector. First target local government offices within your immediate area. Check yellow pages – you will be surprised how many local and central government offices there are within a reasonable radius of your company. Virtually all will have an authority to purchase low-value commodities up to twenty five thousand rupees, and in many instances without any complex tendering process. Local Purchase All government departments have local purchasing officers. Each one empowered to deal directly with suppliers. The value of most of their requirements will be in the region of twenty five thousand rupees. These supply requirements provide small business with many opportunities and with such contracts often being awarded on the basis of oral or fixed quotations. Once you are a supplier to these departments you can promote that fact when tendering for other government sector likes nothing better than a supplier already working with other government sector entities. Delivery As stated above, you must only seek to supply those whom you know you can supply effectively. You should seek to provide evidence of your past supply record and assurances on how you ensure your suppliers deliver efficiently to yourself. Prior to tender identity the client’s need regarding delivery just in time, stockholder etc. seek information on how and when and where deliveries could be made to best serve the client’s requirements seek information from their stores personnel through a personal visit, if possible. The more you understand about and can satisfy your potential client’s real needs the better. Function It goes without saying that the product you provide must be fit for its purpose. Your product/service has to satisfy the actual need of your potential customer, not the need that you perceive your customer to have. It is vital, therefore, to have a through appreciation of your potential client’s requirements. Expertise It is vital that you express at all times knowledge not only of your company’s product, but also of the market in which it operates; new developments, concerns, etc. show the expertise of your company through promoting its knowledge. Issue reports, guidance and provide articles and comment to trade press and newspapers. Enter debates, even start them; all will help express the expertise of your company and reflect positively on your company and its products. Government sector purchasers are keenly aware that the supply of a product or service does not end on the date of delivery. Therefore, issues such as technical support, after-sales service, maintenance and re-supply are essential considerations. Tell the customer how you will ensure the highest standards and most comprehensive service. Again, the after-sales aspect should be addressed in your promotional literature, letters of acclamation and where appropriate, satisfaction Certificates. Innovation It is very likely the product/service you offer can be offered by others. So in order to achieve competitive advantage you must provide added value, such as innovation. Government wants innovation, but is, for obvious reasons scared of the risk it may involve. You have to overcome this concern by addressing it in your tender proposal and supportive product literature. Your client should also be made aware of your product development program and how you will continue to monitor products to ensure they develop in line with client requirements. Provide them with a view of the future, and the positive impact you visualize your product and its future developments will have for the benefit of the client. You should also be proactive in identifying and promoting practices and process, which clients could use to increase performance and value. Emphasize how your proposal addresses environmental issues/ concerns. Awareness when you meet friends, you do so to speak of their news, not just your own. Clients are exactly the same. It is important to become aware of their needs, concerns, developments and pressures. Within the government sector there are many such pressures coming from various directions such as legislation, government initiatives, finance and personnel. Ensure your clients are consulted whenever you seek to change the product/service being offered. If you do not, the likelihood is that they will perceive change as potential risk. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=24 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=24 Odds of winning When looking to respond to tenders your firm should be looking at where it has a “competitive edge” or a way in which it can increase the chances of a successful tender submission. Strategic advantage in terms of the odds of winning. For example, if your submission is competing against 29 other submissions, your chances of success based solely in odds is 1 in 30, however if you have responded to a tender which has only 2 other responses the odds of winning are 1 in 3. Obviously you will have to meet the requirements of the tender in both cases, but I know I would prefer to be working with odds in my favour. How can you start to push forward increasing the odds of winning on your submission, that is, how can you identify tenders where less people will respond? Tenders Where Less People Respond Document fees charged by different departments to get the tender specifications discourage people to participate in tenders. Likewise, there are sometimes provisions that the tender specifications be collected in person and be signed for to form response register, reduce the number of responses to where a tender specification fee is payable, many firms will be discouraged not realizing that the tender likely response rate will be lower and odds improved on winning. This is not to say we don’t have to prepare a great tender response but every bit helps. The other area where response will be low is where a tender has a short dead time, so here is another opportunity to improve the odds of successful submission. Another way to increase the odds in tender submission is to look at the source or openness of the tender. The way in which the tender is advertised, obviously those tenders with the greatest responses and therefore will reduce chances of winning based solely on the odds and not taking the submission into account. Also the day in which the tender appears in the main daily paper will also make a difference to the number of responses received. Many people look through the main daily paper on Sunday for tender but not on Tuesday when they still appear. Tender appearing in the local and regional newspapers, response rate to these advertisements, due to the smaller exposure is likely to be far lower. Another area is where government departments advertise through their respective procurement gazettes.This publication is good source of tenders which does not have the same level of exposures as the main daily papers. Some government departments have their own web sites now and advertise their tenders through their web sites only. Summary Over all the point to be made is that by recognizing and placing a submission to a tender which will have less firms responding is going to have an enormous positive effect on how well your submission will be viewed. You should be aiming at tenders with 3 or 4 competitions and not 30 or 40 therefore the information of your tender should be valued in terms of who else knows about it. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=25 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=25 Competitive Advantage Identity your Strength In order to focus on winning a tender it is necessary to have a very clean insight as to what your competitive advantage is and how to use it. You will need to identify what your company is extremely good at and competitive in delivering. No doubt you already know this but take the time now to write it down. This also helps in not getting side tracked and keeping your marketing in line with your competitive advantage. Respond to Tender That Suit Your Firm It’s time to clearly define your competitive advantage. “What do you do well”? Respond to tenders that suit your firm and not for your firm to be changing to suit the tender. Write down relevant details Write down relevant details on a piece of paper. List that your business provide? Of this list which activities do you see as being your core business and that you can provide most efficiently? What geographical areas can you cover and manage efficiently? What is your expertise? Do you have a particular pricing advantage? What give your credibility? Having won a previous tender Current clients Awards Quality assurance Others Do you have guarantee and/or references? Items in your business you can use to differentiate yourself from your competition. Aim for tenders that require your strong area Now you can see that where your strengths lie, aim for tenders that require these strengths.Try to respond to tenders that reflect the above areas. You might be thinking “Do tenders like this come up”? When you subscribe for “Tender Service” you will be surprised to see many tenders that match exactly with your strong points. Strategic Alliances Occasionally, to win a tender it may be necessary for your company to form strategic alliances. In the case that various skills are required to meet all aspects of the tender. This may be achieved by two or more firms working together. Rather than two firms losing a tender, by forming strategic alliances they create a competitive edge and are more likely to win the tender as a team. It is alliances that should be given thought to prior to the tender being released, as they do require time to establish. Start to give the thought to other firms you should have in your back pocket for such time that a tender requires a blend of services. May you have seen tenders in the post you could not respond to because these alliances were not yet established. Once again, write down three services or areas do you see you need to create strategic alliances in? There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=26 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=26 Recurring Tenders In most cases you can access the details of tenders previously contracted. That is, who won last time, how much they charged and what they were requested to provide. Recurring tenders allow you to know in advance that the tender is coming up and you will be able to plan a lot earlier than you can with a one off tender. The specifications, requirements and many details of the tender remains the same. By researching the previous winning tender you have an advantage, you will know how much the tender went for, what the specifications are and who won the tender. You will also be able to find out how satisfied they are with the current contractor what likely amendments will occur for the next tender. If this information is collaborated and used in the correct way you will have an advantage over your competitors. Surely some things will be different but these can be adjusted once the tender is published and offered to the public. If your firm’s tendering opportunities are often recurring tenders, you should be preparing for the lapse of contract and will roughly know when the tender will be published once again. Single Purchase by Tender When working with a tender that is for a once off purchase, you don’t have to luxury to research the current contractor. You have to work to make sure your tender submission accurately reflects the requirement of the tender will first time. This tender will have a cut off date and a plan should be prepared to meet this important deadline. You should have your standard tender document prepared. So the real focus needs to be on those areas that deal with the specifications of the particular tender i.e.; adjust specifications, pricing etc accordingly. On this type submission you want the reader to feel extremely comfortable in deciding to work with you. Give thought as to what will establish this level of trust in your submission. It might be worth doing some research into companies they have chosen to deal with in the past. You may find they’ve chosen to work with companies in a particular district or with companies in a particular district or with experience in dealing with government or even quality assurance may be something they’ve chosen in the past. This research could highlight areas in your submission to really expand on. Over Looked Sales Opportunities Often a tender is the start of chain reaction. For example if a department is looking to purchase a new computer network there will be obvious future purchases that, depending on the total amount may not go out to tender. A computer network may require more computer disks, mouse pads, terminals, software, training, paper, printer and toner etc. The initial tender specification may not have included these additional and ongoing items in their requirements. There would be an opportunity to provide there to the department or to form an alliance is often overlooked. Think of your service or product and write down what types of tenders are being offered that would indicate your service would be required at a later stage. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=27 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=27 Tips on Finding Business If you are a consultant, supplier or contractor, apply for a registration to concerned department, related to your field of business. Develop a personal relationship with government buyers. The better the buyers know what goods or services you provide, the more likely you are to be invited to quote. Get a foot in the door by approaching buyers for lower contract opportunities. Keep in regular contact with government buyers to confirm that they are still in that role. If not, find out whom you should approach. Build a competitive edge, such as a reputation for quality and service, or experience in local government sectors. Don’t assume that you will be given business just because you are “local”. You must market your business to the buyers, and be competitive, in order to win business. Register with more government departments for maximum tendering opportunity. Provide buyers with details of your business, such as backup, warranty, time in business, references. Regularly check the tender advertisements on a tender alert website like tenderserviceonline.com Don’t be afraid to be innovative. Request a debriefing if your tender is unsuccessful. Find out why your tender was successful so that you can be more competitive in the future. Tips on Registration of Firms Read the relevant guidelines before you start writing your application. Make sure you address all the issues and answer all the questions I your response. Make sure that you provide documentation that supports your application to be registered in the category you are requesting. Provide all relevant information so that a fully informed assessment can be made. Contact the relevant department if you have questions or require clarification. Make one person the contact point for your registration application. Provide a professional looking completed form. Purchase, read and make sure you understand any standing contract documents required. Tips on policy and Principle Make sure you understand the principles behind government purchasing process, such as value for money, open and effective competition, so that when tendering for a project you can be sure that you understand how the purchasing decision will be made. Be familiar with the government’s purchasing policies so that you can make sure your tender complies. Value for money does not necessarily mean the lowest price. Do not confuse creating opportunities for local business with giving preference to local suppliers. Purchasers cannot give you preference over foreign companies if the goods or services required are of technical specifications which cannot be manufactured in Pakistan. The method in which a tender is sought is usually determined by the value of the item or services to be purchased. This can provide a clue on the highest price that will be accepted. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=28 Wed, 25 Nov 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=28 Tips on Tender Response When completing you tender: First, prepare checklist to identify what you have to do. Read the ‘Request for Tender’ documents carefully and highlight the important issues and requirements. Evaluate if it is worthwhile for you to respond. Are you competitive? What are your chances of winning? Ask questions if you don’t understand something or require clarification. Identify whether any performance guarantees, warrantees or other commercial provisions are required. Check the tender conditions. Do not assume that they are always the same. Find out if there are to be any pre-tender briefing sessions and make sure you attend. Not only do you receive valuable information, you also get known. Check the tender conditions. Do not assume that they are always the same. Find out if there are to be any pre-tender briefing sessions and make sure you attend. Not only do you receive valuable information, you also get known. Tailor your response to each ‘Request for Tender’. Do not submit standard performa response for all tenders. Make sure your response address each of the tender specifications. Plan to finish your tender well before the closing date and deliver your response at least one day before. Finally, review your checklist to confirm that you have completed everything you needed to do. Tips on Submitting Tenders Always submit a conforming tender. This is to make sure that you are not disqualified for not complying with the tender requirements. It also gives the client exactly what they want. If you cannot confirm to the tender requirements then present as near a conforming tender as possible. Explain in your proposal the reasons for your minor variations. Try to give your client advance warning that you give may be strictly conforming. Submit a basic proposal with a no frills approach and the lowest possible cost. This gives you a good chance of being included in further discussions with the client. In the similar tenders it may result in you being awarded the contract. If you have more options to offer, upgrade your basic tender with value added goods or services. Make sure that these are priced and offered separately. Tips on Contract You will sometimes be required to sign a formal agreement. These are usually based on standard conditions of contract. Make sure you fully understand the terms and conditions of the contract before you signing. Make sure you understand milestones and performance measures as set out in your contract as payment can be determined by meeting these deliverables. Check with the purchase officer to find out what the department’s payment terms are. These can vary between each department. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=32 Thu, 03 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=32 Tips for Tender Manager When setting up a team to prepare a tender, you should make sure that: There is a clear understanding of the duties of the people involved in the tender and the people involved in the implementation. The best people are selected for the team. There is full commitment from all team members for the tender and their roles and responsibilities. Participation by unofficial team members is discourages. There is a tendency especially in high profile tenders for persons who are best described as “hangers on” to get involved. If the team becomes too big and unwieldy there is an increased risk of confidentiality breaches and job duplication. All the tender risks are addressed by the team. That is, the risks in both the tender process and in the implementation process. The smallest team possible is selected, particularly in joint ventures. Small teams are easier to manage and cost less. There is early agreement on who does what. Every member of the team must know their exact role and their responsibilities for the tender. A disciplined approach is maintained at all times. This is very important for the successful outcome of the tendering process. Tips on Salesmanship When you get down to it, clinching that deal is all about salesmanship in print. It’s about addressing the needs your prospect client wants fulfilled and proving how fulfill those needs in the most result-oriented way. Some of the suggested guidelines are: Always call to find out their needs, you will be surprised at how much information you can find out – information that will be priceless in the tender creation process. Follow the proven salesmanship formula, include specifies about the machines behind you processes. Prove your claims by including results, case studies, testimonials, guarantees, awards etc. Send a pre-proposal letter, you see, an important factor in your success is your ability to establish a relationship with your prospective clients. That relationship begins from the first telephone call. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. Research, and more research to find out absolutely everything you can about the requirements of concerned departments. Use tables and graphs to represent figures, rather than “text” format. List your most impressive customers. Listing your customers gives prospects an understanding of your ability to cope with a business of their type, size or reputation. List the result you’ve achieved. If you have great claims to fame, list them. Include a guarantee. People, by nature, are worried about strangers, especially in the tendering process. They fear being ripped off. Guarantees reduce this fear. Never give in. just because you didn’t win a tender, doesn’t mean the department will not do business with you in future, keep in touch with them via telephone calls. Newsletters follow up how things are going. This shows you care. Tips on Presentation Government departments may require tender presentation for a number of reasons: It is considered a part of the evaluation process. It can help determine outcomes or confirm the evaluation teams final choices. They allow both parties, the client and the tenderer, to be introduced to each other and to meet. The tenderer has the opportunity to highlight and emphasize key features and aspects of their submission. New technologies, process or systems can be demonstrated. This is difficult or impossible in the written submission. The client can access the quality of your team. You also should present and emphasis the expertise of your team. The client has the opportunity to ask the tenderer clarifying questions on various aspects of their tender. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=33 Thu, 03 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=33 Once the tender response has been agreed and all questions answered, the tender manager is charged with putting the various elements of the tender together. Some of the suggested guidelines for submitting the tender given below which should be considered by the tender manager before submitting the tender. Submitting the Tender When you are invited to tender you move to a different phase, one where an understanding of the process will greatly assist your potential for success. The initial tender announcement often seems to be overtly challenging and the information requested may seem difficult to satisfy. The manner in which you submit information is just as important as the content. Remember that what you forward is a reflection of your company. Poorly presented, inaccurate or unintelligible information will give an unflattering representation of your company. Remember, the first part of the selection process is rejection. If you are a client faced by dozens of expressions of interest or tenders, the first thing you wish to do is reduce the number. Do not give potential clients cause to reject yours just because of presentation. Only when the rejection process is completed is the selection process commenced. After the Award Whether successful or not, seek a debrief. If unsuccessful, remember virtually every contract is for a specific period, so keep in touch with the client during the contract; you will learn how it is progressing, what problems the client is experiencing and his priorities. That way, when retendering, you will have a much better understanding of how you should quote and the client will appreciate that your company is interested in his needs. Make full use of information published within contract notices in order to identify: Subcontractor opportunities. Allied procurement opportunities. Procurement personnel. Government departments and their locations. Other product developments. Competitor’s success. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=40 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=40 Tender Manager’s Initial Function Decide whether to tender or not. Duplicate the required number of copies. Produce a tender timescale diary. Safely store two copies for the tender response. Read the tender document and send off for any relevant reference documents stated in the document. Log the date of request for this documentation and ensure its speedy receipt. Decide what team of experts in required to complete the tender. Circulate reference documentation on receipt. Call an initial meeting of the tender team. Formation of Tender Team This may include input from your design, production, finance, legal, commercial and sales personnel. It is important to include any sales personnel who have knowledge of the client; they are likely to appreciate from their past contact, any requirements the client feels are important. These may not be obvious from, or even stated in, the tender document, but when addressed in your tender are likely to be positively considered. This sets your bid above those of your competitors. First Tender Team Meeting The initial meeting agenda: Read through the tender documents. Reconsider decision to tender. Assign different aspects of the tender to appropriate personnel present. Denote clearly on each copy who is responsible for each item. Having referred to the tender timescales diary, fix a date for a second team meeting by which time all assigned work is to be completed. Should you decide to decline to tender, notify the issuing authority immediately. Give clear reasons for your decision and express a wish to be considered for future contracts. If, as a result of your team’s initial meeting, clarification is required, detail your question for presentation at the pre-tender meeting or send the questions to the issuing authority. Second tender Team Meeting Your tender team: Presents and discuss the various elements of the tender they were allocated. Considered the answers received from the client authority to questions raised. Raises further questions. Agrees with the tender response. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=41 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=41 Many times pre-tender meetings are called by the tendering authority to explain about the projects and to get the views of the tenderers about it. It is a high opportunity to get complete information about the tender called and to get the explanation of any ambiguous condition that may be present in the tender. Make Pre-Tender Meetings Work for You Many contractors fail to make the best opportunity of pre-tender meetings. Indeed, some firms invited either refuse the invitation or accept but do not appear. Such a casual attitude does not best represent their interests. The pre-tender meeting is probably the best opportunity your firm will have to gain an insight into both your fellow tenderers’ perspectives and the thoughts of the issuing authority. Larger firms often consider the pre-tender meeting as an occasion at which they should be seen but not heard. They believe silence best protects their interested, so ensuring they do not disclose to others the direction of their own quotations or ask questions they may make may be incorporated into the other’s quotations. These are, of course, valid points, but total silence allows other firms the opportunity to express through their questions a professional approach that will be remembered by the issuing authority’s personnel after the event. Small, experienced, professional firms must avail themselves of every opportunity to promote their expertise. As they do not have the benefit of being associated with a renowned firm, the pre-tender meeting is an occasion at which they can express their technical ability to the full, in open competition with established and renowned firms. This serves to raise their firm’s profile and can leave the issuing authorities with a high opinion as to their capabilities. Failure to grasp this opportunity of marketing your firm’s strength can be fatal mistake. A small firm has to overcome the issuing authority’s knowledge. Presentation The following points should be considered during the presentation: Contract terms; personnel; After-Sales Service Respond positively to the invitation Always prepare and write down your questions in advance of the meeting for easy reference. Always be represented by at least two personnel, one to ask the questions, the other to take notes and the answers, questions and remarks of others. Ensure the personnel representing your firm are technically competent both to ask and answer fully, questions pertaining to the tender documents. Do not send senior management figures to impress the issuing authority personnel. This is a common mistake, which leads to their perception that your company may be technically incompetent. If possible, tape the whole meeting and replay to other personnel involved in preparing your firm’s tender documentation. If only one representative of your firm is present, his attention is drawn to seeking opportunities to ask his questions and not to listening to the answers to others’ questions. By listening to the direction of question from each of the other tenderers you can gain valuable information as to how they perceive the tender. Whilst asking questions do not deny others the opportunity of also doing so. The occasion is one at which to market your ability, but this should be done tactfully. Allow the questions you ask to express your company’s expertise. Seek information in detail on those points in the tender documentation which you consider most important. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=42 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=42 Often you will find that the issuing authority has not fully considered the consequences of some of the requirements they have stipulated in the invitation to tender. In many instances the tender invitation has been completed by personnel not involved in the actual activity and may include totally irrelevant terms and conditions. Having these problems drawn to their attention may result in these being disregarded or amended. Sit to be Seen This is also important to understand the significance of where to position yourself at a pre-tender meeting. At all costs avoid being out of easy eye contact with the contractor’s personnel. Do not consider you should sit as close as possible to the authority’s personnel if this results in loss of eye contact. Speakers wish to convey their message to as many people present as possible at pre-tender meetings; they wish it to be seen that they are disturbing their attention fairly. They will not, therefore, be comfortable in maintaining eye contact which excludes others. Build Recognition When asking your questions, introduce your name and the firm name and indeed repeat your firm name as frequently as possible. This will ensure you are remembered after the meeting is concluded. At the end of the meeting often only a brief interchange with other authority personnel is recommended. This may carry a positive reflection of your firm. Equal consideration Never consider one representative on the panel as more important than another. It is surprising how often the obvious junior member on the panel is excluded from expressions of appreciation. Remember, when you leave the meeting, they will be included in the authority’s deliberations and the fact that you thanked them will have increased their self-esteem and result in their higher opinion of you and your company. In Summary Always seek and attend a pre-tender meeting. Prepare all questions prior to the meeting in written format. Never go alone. Ask questions which show your professional ability. Do not dominate the proceedings. Listen to others and note their questions and the answers they receive. Take notes, either recorded or written. Choose seats which allow you easy eye contact with the speakers. Treat all the authority’s staff with equal appreciation and consideration. Do not ask irrelevant or silly questions. Make sure your questions are rounded. Don’t only ask about financial points, show questions you understand all facts of the contract. Do not be afraid to seek clarification. There are many on line tender information providing websites like www.tenderserviceonline.com .You can also visit this site for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=43 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=43 Post tender Briefing Whether your firm is unsuccessful or not, it should seek a debrief, either received in writing or in person. Please remember, it is just as important for the winning firm to know precisely why it won the contact as it is for the unselected firm. It could be that the winning contractor only did so because of the default of others, or it may be that your tender was thousand below other tenders, in which case your pricing strategy may be costing you profits. Purpose of Debriefing The purpose of debriefing unsuccessful tenderers is intended not only to assist the contractor but also the issuing authority. It increases the potential for improved value tenders on future contractors. Contractors should see the opportunity of a debriefing as valuable information on the strengths and weaknesses of their tenders. This opportunity to hear why other tenders were considered more favorably than your own is a very valuable information. Suppliers must appreciate the importance of learning why their tender was rejected. Such knowledge can then be used to improve your next tender and result in your firm being successful at a future date. It is no use tendering for many contracts unsuccessfully and never learning why. So, even if you are offered the opportunity of a debriefing, ask for one. The Topics of Discussion The topics discussed at a debriefing meeting can be wide-ranging. It is up to you to ensure that you receive full value; you can discuss, was your tender rejected due to the following or any other. Quality management; organizational administration and controls; experience; contract terms; personnel; after-sales service; etc. Request for Debriefing The government authorities are not required to give tenderers the opportunity of a post-tender debriefing, many will do so if specifically asked. Even if they refuse your request, you can ask them to inform you in writing of the reasons for the failure of your tender and the criteria implemented in both selecting those companies invited to tender and also the attributes of the winning tender. Far too often companies fail to request any form of post-tender briefing and, as a consequence, continue to respond to invitations to tender with basic flaws in tenders, which could easily, and in many cases without additional cost, have been corrected. https://www.tenderserviceonline.com/?p=4&tender_id=44 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=44 Preparing for the debriefing meeting Prepare carefully for the debriefing by reviewing you tender against the scope of work, the evaluation criteria stated in the tender documentation and the winning price. Take notes during the debriefing and seek immediate clarification on matters you do not fully understand. If the department agrees to get back you on any matter arising during the debriefing then ask for a contact name and telephone number and date which by the information will be provided, this will enable you a follow up, if the response date has passed. Checklist of Questions Have a list of questions you wish answered. These should cover areas such as: Cost Equipment Schedule Sub-Contracting Design Industrial Relations Delivery Quality Management Organizational administration and controls Experience Contract terms Personnel After-Sales Service Suppliers have a right to: Equal opportunity to obtain government business. Fair and professional assessments of their tenders. Consistent application of supply policies by government departments. A tender process that minimizes the cost of tendering for government business. Tenders and quotations documentation that is simple and easy to follow. Access to trained, knowledgeable and experienced government purchasing staff. Prompt and courteous treatment. Have complaint investigated with prejudice. Be provided upon request with reasons for their offers being unsuccessful. Immediate advice of problems with the performance of products or services supplied. Suppliers have a responsibility to: Offer their most competitive prices first time. Not offer inducements that could be seen to compromise the impartiality of government offers. Attempt to resolve problems direct with the agency concerned before seeking third party intervention. Not waste time with false complaints. Supply quality goods and services. Not seek to avoid existing government contracts. Meet the government’s quality assurance requirements. There are many on line tender information providing websites.You can also visit these sites for latest tender news and articles. So you can plan your response to tender invitation today and get lots of business possibilities in government sector. https://www.tenderserviceonline.com/?p=4&tender_id=45 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=45 Daily Tenders are an important economic factor and a chance to acquire new customers. Invitations to tender are made public via a large number of newspapers and websites. Don‘t waste time and money looking for business opportunities – Tender information services will find and send notices specific to your type of business to you! How These Services Work By applying automated workflows and template-based document generators, Tender information services simplifies the process of public procurements. Every morning tenders are gathered from the specific area of that website region or globally and, using a recommended state of the art software model, they are entered into main database. Tenders are categorized according to the area (the place where the service/product is required) and the department (the industry category of the service/product required). The members are informed daily by email or mobile alerts of tenders matching their category. This tender alert with the detailed tender information is available to all members of these online tender information services websites. Both tenders and members are registered according to their area and department . By maintaining these informations these services are able to match tenders with members, thus ensuring that members only receive their required tenders - relevant to where they can provide their service/product and to what service/product they can provide. Members can nominate more than one contact to receive e-mail or mobile alert notification. Advantages Of These Services Tender information services will keep you posted on all new Tenders of your choice. Over & above Tender Notice, They will also share with you Tender Corrigendum, Tender Document, Minutes of Pre Bid Meeting & Tender Results wherever available. You can choose to get Daily Email Alerts or Access to Their Website if you are always on the move. If you want best of both the worlds, you can go for Combination plan too. How To Subscribe Step1. Select the site that best suits your requirement. Step2. Register your self on the selected site, by paying their subscription. Step3. Just inform them your product name and name of Government customer / organization, in which you are interested, they will start sending information regarding ‘New TENDERS through SMS ALERTS!!! on your mobile phone, as well as followed by e-mail alert . Step4. Relax and enjoy the luxury of saving time and money, https://www.tenderserviceonline.com/?p=4&tender_id=46 Sun, 06 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=46 Employee ’pressure’ factors High staff turnover and/or staff shortages, resulting in checks not being carried out or being carried out inadequately. Lack of supervision. Lack of training, so staff are not aware of where their jobs fit in the broader picture, and they are not aware of possible areas where fraud might occur. Staff not trained in the use of relevant policies and procedures, and the importance of complying with them. Poor staff morale resulting in retaliatory fraud e.g. where staff bear a grudge. As they feel their commitment to the department has not been recognized. High risk Areas Major risk areas for government agencies are as follows: The tendering and award of contracts. The settlement of contractor’s final accounts and claims. The appointment and reward of external consultants. Decisions regarding the outside interests of officers and members. Canvassing for staff appointment. The acceptance of hospitality. Pressure exerted by contractors on officers having purchasing responsibilities. Major reasons of tendering frauds A major reason why people commit procurement fraud is because they are allowed to do so. There area wide range of threats facing government agencies the threat of fraud can come from inside or outside the department, but the likelihood that a fraud will be committed will be greatly decreased if the potential fraudster believes that the rewards will be modest, that they will be detected or that the potential punishment will be unacceptably high. The main way of achieving this must to be establish a comprehensive system of control which increases the likelihood of detection and increase the cost to the fraudster. It has been said that there are three requirements which need to be met to reduce the risk of procurement fraud; Good Ethics, Good People, Good System. https://www.tenderserviceonline.com/?p=4&tender_id=50 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=50 The presence of factors such as those listed below will render a Government agency susceptible to procurement fraud. 1. Lack of Awareness Lack of awareness at the management level, of the dangers of procurement fraud and the necessary defenses. 2. No top down commitment No top down commitment to root out and deal with instances of procurement fraud; this means taking effective and punitive and actions. 3.Lack of financial control The failure of the governing body to implement sound financial procedures for financial control, to ensure that all staff are aware of the need to comply with them, and are trained in their use. Inadequate internal control Financial control systems, whish do now allow for adequate internal check. a. Inadequate monitoring. b. Reconciliation are not completed regularly or independently checked. c. Expense claims, invoices etc are not property checked. d. Inadequate separation of duties. Inadequate Financial information. Officers are not given sufficient detail to identify anomalies, e.g. rapid growth in expenditure, against a particular budget head. Officers are given too much information; this can mask significant changes and make identifying them difficult. Information not received timely. Information not relevant or properly formatted. Poor Security controls Inadequate control of access to safe, computer hardware, controlled stationary, stores etc. Inadequate control over passwords and leaving computers logged on to systems when unattended. It has been said that there are three requirements which need to be met to reduce the risk of procurement fraud; Good Ethics, Good People, Good System. https://www.tenderserviceonline.com/?p=4&tender_id=51 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=51 Departmental Acceptance Departmental culture is a factor, which both contributes to the opportunity for corrupt action and aids in the continuation of such action. Aspects of departmental culture conducive to fraud include: Unclear messaged about what is acceptable When a department or procurement agency does not clearly specify what is acceptable, there is more scope for employee deviance, including fraud. For instance, the definition of bribery or conflict of interest may not have been sufficiently worked out in terms of the operation of the particular department, leaving scope for employees initiative to redefine what is personally acceptable. Attitude of colleagues What attitude of co-workers affects the willingness of an employee to act in an unethical way as well as the person’s willingness to report Fraud. Unlikelihood of Detection Since it is often the employees themselves who are in the best situation to know what is going on, and agency is unlikely to detect procurement fraud if it is does not have in place appropriate reporting mechanisms. An employee is unlikely to use the reporting system if it is known the management has failed to take affective action on such matters in the past. Lack of Leadership and support Messages about the importance of ethical behavior are not likely to be accepted by workers where the head of the department or senior management is seen to be acting in a way which can be perceived as unethical. Management must be seen to be abiding by correct practices themselves. It has been said that there are three requirements which need to be met to reduce the risk of procurement fraud; Good Ethics, Good People, Good System. https://www.tenderserviceonline.com/?p=4&tender_id=52 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=52 The elements, which can contribute to the flurishment of fraud environment, can be summarized as: Opportunity Department Acceptance Little fear of dedication Lack of leadership and support Opportunity It is clear that the nature of the work performed is important in giving rise to the opportunity for procurement fraud. In particular, the amount of discretion exercised by the position is relevant as well as the issue of potential delay in decision-making and action. Individuals needing to access a service in which delays are common (i.e. clearing of bills) may be tempted to bribe the official involved in order to shortcut the process. The nature of the working conditions and the personal characteristics of the employee are other relevant factors. An analysis of system and consequent changes and do much to remove some of the opportunity for procurement Fraud. System can also play a part in creating opportunity. For example, centralizing the purchasing function of an agency may be efficient. It may even be an opportunity to ensure that policies and practices relating to purchasing are adhered to. However, it may also lead to placing unmitigated trust in on e or few people if no checks and balances exist to identify potential wrongdoing. It can, in fact, be the cause of the very problem that it might have been set up to address. https://www.tenderserviceonline.com/?p=4&tender_id=53 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=53 Economic Stress Family illness Divorce Family unemployment High Debt Financial losses Pressure of the world Life Style Living beyond means Possible alcohol or drug problems Gambling Work Habit Excessive overtime No vacations Excessive sick or vacation leave taken Avoids or is too friendly to employees Secretiveness or defensiveness Turning down promotions or transfers Avoidance by other employees Officer’s pressure to show good results Job cutbacks or down sizing Attitude Job dissatisfaction/unhappy employees Feeling underpaid Unappreciated Greed Opportunities Behavior Close association Suppliers/customers Loose oversight to authorizations Lack of controls Independent review Too much trust / independence Interesting Traits Men commit nearly three-quarters of the offences. Median losses caused men are nearly four times those caused by women. Losses caused by managers are four time those caused by employees. Median losses caused by executives are 16 time those of their employees. (Extracts from research by association of certified fraud Examiners, U.K) Summary A major reason why people commit procurement fraud is because they are allowed to do so. There area wide range of threats facing government agencies the threat of fraud can come from inside or outside the department, but the likelihood that a fraud will be committed will be greatly decreased if the potential fraudster believes that the rewards will be modest, that they will be detected or that the potential punishment will be unacceptably high. The main way of achieving this must to be establish a comprehensive system of control which increases the likelihood of detection and increase the cost to the fraudster. It has been said that there are three requirements which need to be met to reduce the risk of procurement fraud; Good Ethics, Good People, Good System. https://www.tenderserviceonline.com/?p=4&tender_id=54 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=54 Personality Of A Tendering Fraudster Greed or need In simple terms, motivation is based on either greed or need. Many people are faced with the opportunity to commit fraud, and only a minority of the greedy and needy do so. Personality and temperament Personality and temperament including how frightened people are about the consequences of talking risks play a role. Taste for fast life Some people with good objective opportunities fall into bad company and develop tastes for fast life. This tempts them to fraud. Others are tempted only when faced with ruin anyway. Tight Spot Many people obey the law because they believe in It and/or they are caught. However, if the prospective fraudster is part of a subculture of professional criminals, businesspeople who consider it acceptable, for example, to deceive government agencies or even other businesses ‘when you are in a tight spot’, then the inhibiting effect of publicity is reduced, perhaps to almost nothing. The role of this rationalization varies with the person’s commitment to respectability. Different types of fraudster Fraudsters usually fall into one of three categories: Pre-planned fraudster Who start out from the beginning intending to commit fraud. (These can be short-term players, or can be longer-term, who execute complex laundering schemes. Intermediate fraudster Who start off honest but turn to fraud when times get hard or when life-events such as a divorce, the need to pay care, for a family member, irritation at being passed over for promotion, or nagging from family change the normal mode. Slippery-slope Fraudster Who simply carry trading even when, objectively, they are not in a position to pay their debts. This can apply to ordinary traders or to major businesspeople. https://www.tenderserviceonline.com/?p=4&tender_id=55 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=55 Trilogy of fraud There is no single reason behind procurement fraud. Any explanation of it need to take account of various factors. However three most important factors which leads to fraud are The perceived suitability of targets for fraud. The incapability of potential offenders. (Government agencies) to look after their interests. The motivation of potential offenders. Fraudsters Perspective Looking at the same issue from the fraudster’s perspective, it is necessary to take account of: Motivation Includes Motivation (including the conditions under which people can rationalize their prospective crimes as ‘necessary’ –especially when done for the contracting firm –‘harmless’ – because the victim (Government) is large enough to absorb the impact or even ‘justified’ because ‘the victim deserved this ‘because I was mistreated’. Opportunity Opportunities to commit crime(s) (which may include the existence of national and international social networks, and transferable criminal skills) Technical ability This may include skills to carry out fraud i.e. Bid rigging or collusive tendering, Risk Calculation The expected risks are often different then the actual consequences after the fraud has been carried out. Consequences of discovery Expectations of consequences of discovery, including non-penal consequences such as job less and family stigma, proceeds of crime confiscation and traditional criminal sections. (That fraud will not be disclosed often expecting). The basic distinction between fraud and error is that of intention. Any error is unintentional, i.e. the person committing the error does not do so knowingly. Errors are accidental and may arise due to negligence or a genuine misunderstanding on the part of the person committing then https://www.tenderserviceonline.com/?p=4&tender_id=56 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=56 Definition Procurement fraud can be defined as dishonestly obtaining an advantage, avoiding and obligation or causing a loss to public property or various means during procurement process by public servants, contractors or any other person involved in the procurement. Procurement Fraud can be committed: From Inside By Public Servants From Outside By Contractors & Suppliers By Collusion Inside collusion By two or more Insiders Outside collusion By Two or more contractors Cartels or collusion tendering Mix collusion Inside and outside personals working together. Distinction between fraud and error The basic distinction between fraud and error is that of intention. Any error is unintentional, i.e. the person committing the error does not do so knowingly. Errors are accidental and may arise due to negligence or a genuine misunderstanding on the part of the person committing then. As opposed to errors the fraud is intentional The person committing fraud does so knowingly, willfully, and with the motive of gaining advantage or benefits by cheating or causing loss or injury to another person or state, acting along or in the collusion with one and another. Summary A major reason why people commit procurement fraud is because they are allowed to do so. There area wide range of threats facing government agencies the threat of fraud can come from inside or outside the department, but the likelihood that a fraud will be committed will be greatly decreased if the potential fraudster believes that the rewards will be modest, that they will be detected or that the potential punishment will be unacceptably high. The main way of achieving this must to be establish a comprehensive system of control which increases the likelihood of detection and increase the cost to the fraudster. It has been said that there are three requirements which need to be met to reduce the risk of procurement fraud; Good Ethics, Good People, Good System. https://www.tenderserviceonline.com/?p=4&tender_id=57 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=57 Bribes and kickbacks Bribes and kickbacks are the most serious of business crimes and lead to other frauds and abuses, including bid rigging, fraud, higher costs and lower quality as the parties seek to recover the cost of the bribes and exploit the corrupt relationship. Corrupt Payments The bribe need not to be in money or cash, and often is not. Any benefit given or received with the intent to corruptly influence the recipient can be a bribe. It may be any “thing of value” to influence an official act. “Things of value” that have been given and received as bribes includes: Experience gifts, free travel and lavish entertainment. “Loans” whether or not repaid. Use of credit cards. Sexual favors (hiring of prostitutes, etc.) Overpaying for purchases e.g., paying Rs. 20,00,000 for a car worth Rs. 10,00,000. Cash Fees and commissions, even if recipient allegedly provided services to the payer. Hidden interests in business transactions. Often the payments follow the general sequence outlines above, with the amount and form of payments becoming more significant and incriminating as the scheme progresses. Corrupt influence Corrupt influence in the contract and procurement process often is reflected as, among other things: Qualifying an unqualified or untested company to bid or be a vendor. Improper or non-competitive contract awards Paying too much for good or services Buying too much of an item, or buying inappropriate items Continued acceptance of low quality or non-compliant goods or services As the corruption continues, the abuses often turn into fraud such as fictitious invoices, with the parties conspiring to spy the profits. Eventually the excesses of the scheme lead to detection, as the mounting evidence of favorable treatment and fraud, and the conspicuous expenditures of the conspiration call attention to their behavior. https://www.tenderserviceonline.com/?p=4&tender_id=58 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=58 Several bidders might secretly agree to submit complementary high bids to allow pre-selected contractors to win contracts on rotating basis, or to divide contractors to win contracts by territory, or take other steps to defeat the competitive process and devide work. Collusive bidding, also known as “bid rigging” will drive up prices in the affected industry. It is most common in industries with high start up and entry costs and relatively few bidders, such as road construction, paving and waste disposal. Some form of bid rigging often accompanies kickback schemes in order to insure that corrupt company is selected. The most common scheme is: Price Fixing Price fixing is an agreement competitors to raise, fix, or otherwise maintain the price at which their good or services are sold. It is not necessary that the competitors agree to charge exactly the same price, or that every competitor in given industry join the conspiracy. Price fixing can take many forms, and any agreement that restricts price that restricts price competition violates the law. Other examples of price-fixing agreements include those: Establish or adhere to price discounts. Hold price firm. Eliminate or reduce discounts. Adopt a standard formula for computing prices. Maintain certain price differentials between different types, sizes or quantities of products. Adhere to minimum fee or price schedule. Fix credit terms. Not advertise prices In many cases, participants in price-fixing conspiracy also establish some type of policing mechanism to make sure that everyone adheres to the agreement. https://www.tenderserviceonline.com/?p=4&tender_id=59 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=59 Bid rigging is the way that conspiring competitors effectively raise prices where purchase – often acquire goods or services by soliciting competing bids. Essentially, competitors agree in advance who will submit the winning bid on a contract being let through the competitive bidding process. As with price fixing. It is not necessary that all bidders participate in the conspiracy. Bid rigging also takes many forms, but bid-rigging conspiracies usually fall onto one or more of the following categories: Bid Suppression: In bid suppression schemes, one or more competitors who otherwise would be expected to bid, or who have previously bid, agree to refrain from bidding or withdraw a previously submitted bid so that the designated winning competitor’s bid will be accepted. Complementary bidding: Complementary bidding (also known as “cover” or “courtesy” bidding) occurs when some competitors agree to submit bids that either are too high to be acceptable to the buyer. Such bids are not intended to secure the buyer’s acceptance, but are merely designed to give the appearance of genuine competitive bidding. Complementary bidding schemes are the most frequently occurring forms of bid rigging, and they defraud purchasers by creating the appearance of competition to conceal secretly inflated prices. Bid Rotation: In Bid rotation schemes, all conspirators submit bids but take turns being the low bidder. The terms of the rotation may vary; for example, competitors may take turns on contracts according to the size of the contract, allocating volumes that correspond to the size of each conspirator company. A rotation pattern defies the law of chance and suggests collusion is taking place. Subcontracting: subcontracting arrangements are often part of a bid-rigging scheme. Competitors who agree not to bid or to submit a losing bid frequently receive subcontracts or to supply contracts in exchange from the successful low bidder. In some schemes, a next low bidder will agree to withdraw its bid in favor of the next low bidder in exchange for lucrative subcontract that divides the illegally obtained higher price between them. Almost all forms of bid-rigging schemes have one thing in common: an agreement among the conspiring vendors. https://www.tenderserviceonline.com/?p=4&tender_id=60 Thu, 10 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=60 Allocation Of Tendering Areas Allocation of tendering areas are agreements in which tendering competitors divide markets among themselves. In such plans, competing companies allocate specific customer or type of customers, products, or territories among themselves. For example, one tenderer will be allowed to sell to, or tender on contracts let by, customers allocated to the other competitors. In other schemes, competitors agree to sell only to customers in certain geographic areas and refuse to sell to, or quote intentionally high prices to, customers in geographic areas allocated to conspirators companies. Low Price – High Price Game A tendering company, in collusion with procurement official, can submit a low bid to insure winning a contract, and then increase its price and profits by submitting change order requests after the contract is awarded. A tendering company, acting alone or in collusion with contract personnel, can submit unjustified or inflated change order requests to increase profits, or as the result of corruption, use the change order process to extend a contract that should be re-bid. Union Formation Of contractors Dishonest tendering company can submit multiple bills on different contracts or work orders for work performed or expense incurred only once. A contracting official can facilitate the plan and share in the profits by writing similar work orders under different contractors and accepting the multiple billings. The Mutual Benefits Its is evident from the above mentioned fraud plans that it is either a corrupt procurement personal or contractors or both who gets the cream, and the poor public sector is burdened with high priced low quality goods of services. Until the code of ethics in tendering is followed strictly the situation is unlikely to change in near feature. https://www.tenderserviceonline.com/?p=4&tender_id=62 Sun, 13 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=62 Overcharging in cost type contracts Overcharging in cost type contracts refers to schemes by contractors to defraud the government by charging additional amount on cost-type contracts. The contractor can do so in a number of ways, including charging labor costs incurred on a private fixed price contract to the government cost-plus job, or by charging the same amount of costs to two or more contracts. Concealing the original cost Concealing the original cost occurs if government contractors fail to disclose accurate, current and complete pricing date in contract proposals on cost-type contracts. The contractors can use inflated costs in proposals for labor and materials, submit fake price quotations from phantom suppliers, fail to disclose discounts, falsify supporting documentation, or resort to other tactics in an attempt to improve their profits. Factitious, elevated or duplicate invoices Tendering companies can intentionally produce false ,duplicate or inflated invoices. (Meaning that no services were provided) The Plan can involve contractor acting alone or in collusion with an employee of the victim department who shares in the profits. Inappropriate use of petty cash Inappropriate use of petty cash fund (also known as “special operating accounts”) is a common game. Petty cash can be embezzled or used improperly by contractor or employees. The employees might submit false or inflated requests for reimbursement of expenses, use the fund for personal or unauthorized expenditures or “double the cream” by submitting reimbursement both to fund and accounts payable. https://www.tenderserviceonline.com/?p=4&tender_id=63 Sun, 13 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=63 A Purchasing official, probably as the result of corruption, can manipulate the tendering process in a number of ways to benefit a favored contractor or supplier. These include leaking information regarding competing tenders, accepting late tenders, changing tenders, re-bidding work and so on. Favoring the contractor Purchasing officials can leak tender information from other bidders, or confidential pre-tender information, to a favored contractor giving him an unfair advantage in the tendering process. Such plan usually occurs as the result of corruption. Submission of low bid A tenderer can also submit a “low” bid with the understanding that the corrupt purchasing official will approve later contract amendments and price increases. The mirage effect In a poorly controlled purchasing office, an official with procurement responsibilities, or in accounts payable, or /and with the help of an outsider, can submit bills from a non-existent contractor. Normally mirage contractors claim to provide services or consumables, rather than goods or works that can be verified. Dishonest contractors also can submit “bids” from fictitious bidders as part of tender rigging plan. Mirage contractors plans occur more often than thought, and can be detected relatively easily through automated proactive fraud detection programs. Substitution of products or materials A contractor or supplier can substitute products or materials of lower quality than specified in the contract, or use counterfeit, defective or used parts, in order to increase profits or comply with contract time schedule. The dishonest contractor might give gifts or favor to the inspecting authority or pay kickbacks to contracting officials to facilitate the plan, and will submit false documentation to conceal it. https://www.tenderserviceonline.com/?p=4&tender_id=72 Wed, 16 Dec 2009 00:00:00 +0500 https://www.tenderserviceonline.com/?p=4&tender_id=72