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Submitting a tender - Writing a tender can be very exhaustive even if it is something you've done before. The requirements, specifications can be up to 100 pages and you have to go through them all.
Tender additional document contents sometime can be up to 12,000 words of which you have to read all.
Therefore, a business needs a competent business development department to oversee tender making process else, your organization will struggle to make time for tendering.
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A tender is a highly complex and competitive process where variety of businesses showcase their services and bids for a particular contract or project.
Tender particularly from the government are the most competitive one as it usually attract all kind businesses - small, medium and large firms across a wide range of sectors - from office supplies to major construction projects.
Bids that are submitted by this businesses includes; description of how the business can meet the project requirements through their service, and goods they supply as demanded, provision of a debatable price for the utilization of the contract/project.
Using of a well carved, planned, structured and thought out, tender process leave business to leverage on all the opportunities that are available.
Therefore, having a theoretical and technical approach will ensure your business obtain sustainable business savings as benefits through building and managing their tender process.
In summary, tender is a submission process by a potential supplier in response to invitation to tender.
With proper preparation, readiness and understanding, business - small, medium or large can grow fond of its bid management and tender an evaluation approach.
After the evaluation of the project with keen attention and realized that the tender will be beneficial to the business, and then you can to start preparing for bidding.
Before then, there are things to consider before taking part in tendering - submitting a tender.
Business should know their threshold and their level of competitiveness and when the requirements or condition to participate in tender process surpasses your business capabilities, it's advisable to step back.
Understanding this very question is helpful as it will guide on whether to proceed to the tender process or not.
Tender is not a task that is done with just a technical ability but also need investment of funds. Tender usually come with monetary figure.
The figure attached to someone tender act as a parameter that shows how big a business should be before considering bidding for the tender.
If the tender value occupied half of your annual turnover as an SME, you are highly unlikely to succeed.
Most of the tender condition usually demand that a potential supplier must have completed at least, five contract in the same field of work .
If you are awarded the contract, did you have the time and resources to fulfil the demand of the contract?
After concluding that your business is financially capable and has enough experience to push through for the tender exercise, the do self-assessment on performance.
You have to figure out if your business have enough and sufficient resource to sustain the tender and large time space to oversee the tender process.
Your business have to give a thorough thought on their available resources such as, competent tender writers that can provide a high - quality tender for submission to win the contract. This too is very important in submitting a tender.
The monetary and needed experience may not be the problem but lack of competent and effective business department can serve to affect the business chances of surviving on tendering.
The business unit may have the needed skills to provide a high and quality tender but do not have commitment to work. This is another pothole to critical analysis before proceeding.
The level of competition should not be undermined. It's one of the basic factors that can decide your faith.
While reviewing the tender condition, to try check properly and see if there is any condition your business did not meet.
If any is found, make a research to know if any of the competitors is aware of it and if there is, it's advisable to discontinue the contract. Your weakness will be leverage on to turn you out of the contest.
These are the first set of factors to give regards to before submitting a tender.
Upon thorough examination and realized that your business passed all the available conditions, and then you can start making preparations to get into the contest of becoming the winner of the bidding.
Project requirements
Carefully read, review and analyze the bid document deeply. Take enough time to understand the scope of the project and the service required.
Can your business meet all the demands?
Project cost
Sum up the total cost of the project and know the exact amount it will cost your business to meet the demand of the project and make a rational decision on whether to go on or back off.
Figure out if you will be able to get your Return On Investment and profit margin upon completion of the work. If the tender is not financially worthwhile, just let it go.
Man power and physical capability
How well are you prepared physically to handle the project? Did your business have the capacity to maintain the project sanity and have the right manpower to effectively manage it?
Fit of business capabilities
The tender's bid is a complete nonstarter if your business does not have the expertise, qualifications and accreditation specified by the buyer.
Bid management team
Your business bid writers are the next concern. Are they well equipped with the right skills, intelligence, knowledge and experience to write a successful tender?
The above are the five things your business must precede before submitting a tender. However, if unfortunately you are unable to meet-up with at least two of these factors, it is therefore reasonable to end your interest to participate in the bidding.
That is it about submitting a tender and bidding processes. Hope you learnt something new here today.
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Published origninally on 12th Apr 2022 16:58:03
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