Issue Date: 
Monday, September 7, 2015

The 3 Principles of Tenders in South Africa

By Werner van Rooyen

7 September 2015

www.how2tender.com

Tenders in South Africa are based on three principles:

  1. Functionality
  2. Price
  3. B-BBEE

Functionality

All tenders, whether it is for the Public Sector or the Private Sector, will be evaluated on Functionality. Functionality is the most critical part of any tender response. If you get the Functionality part wrong during your response the chances are good that you will not advance to the following phase of the evaluation process – you will most probably fall out of the race.

When responding to tenders ensure that you understand exactly what is required in the Functionality part of the tender. Read the scope of the tender carefully and respond to direct questions as well as indirect questions. Functionality is the part where you advertise your company so make sure you do it properly.

Price

Most of the tenders that are awarded all around the world and for that matter in South Africa as well, Price will be the determining factor. At the end of the day, all that buyer’s want is to procure the best product at the best price.

In South Africa we even have a formula to determine which tender response is ranked where in the tender awarding process. The response or responses with the lowest price receive the most points and the more expensive tender responses receive fewer points. Ensure that your tender response scores the most points in the evaluation process.

B-BBEE

Last but not least, all tender responses will be evaluated on its B-BBEE levels. It does not matter if you respond to a Public Sector or Private Sector tender, your B-BBEE score will always be taken into account to determine the outcome of the tender award.

The Amended Codes of Good Practice that came into effect on 1 May 2015 is very stringent and obtaining a good or high B-BBEE score is going to take a lot of planning and hard work. Ensure that you have a good B-BBEE score to have any say in the outcome of a tender award.

How2Tender.com is hosting B-BBEE seminars to help you to get a better understanding of the Amended Codes and what it means to you and your business. You can also gain all the knowledge when it comes to tender responses by attending one of our “How-to-tender” workshops. Please visit our website for more details at www.how2tender.com.

Happy tendering  

Title Closing Date Tender No.
Repair damaged swing door 2017-10-10 10:00 ZNQ122/ 1718
Supply: 1900 Units bandages porous elastic adhesive size 75mmx3m 2017-10-03 11:00 ZNQ 710/ 17/ 18
Supply: 15 Boxes fistula and wound management system medium box/3 2017-10-03 11:00 ZNQ 832/ 17/ 18
Supply: 30 units sets cysto irrigation 2017-10-03 11:00 ZNQ 771/ 17/ 18
Servicing of mini substations as per specification 2017-10-09 11:00 ZNQ 714/ 17- 18
Supply: 120 pairs stockings anti embolism thigh high small 2017-10-03 11:00 ZNQ 774/ 17/ 18
Service to fire fighting equipment at Ndwedwe CHC, Wosiyane clinic, Thafamasi Clinic and Mwolokohlo Clinic 2017-10-10 11:00 ZNQ137/ 17/ 18
Supply: 210 Units sets administration high capacity 2017-10-03 11:00 ZNQ 770/ 17/ 18
Minor repairs and refurbishment of JF Mati senior secondary school in Mdantsane NU 9, East London. 2017-10-16 12:00 CDC/ 321/ 17
Supply: 200 units sets infusion y type 2017-10-03 11:00 ZNQ 769/ 17/ 18
Supply: 115 Units catheter urethral foley 2 way latex 3ml 8fg 2017-10-03 11:00 ZNQ 731/ 17/ 18
Industrial stove (3 plate with oven) 2017-10-03 11:00 ZNQ NO.2511/ 08/ 17
CapeNature seeks the services of a skilled project management team and contractor to construct a recreational area including a swimming pool and shaded lapa at the Grootvadersbosch Nature Reserve. The contractor must have a minimum level 3GB for the installation of the required pool and recreational area. 2017-10-20 11:00 WCNCB 01/ 09/ 2017
Supply: 372 boxes test kit syphilis IPR 2017-10-03 11:00 ZNQ 845/ 17/ 18
Steel staff lockers (as per spec) 2017-10-03 11:00 ZNQ NO.2510/ 08/ 17
Supply: 40 Units hospital standard bed with mattresses 2017-10-03 11:00 ZNQ 846/ 17/ 18
Request for information (RFI) for the supply and installation of digital voice recording system at all control centres at EMS: 3 year contract 2017-10-16 11:00 ZNB 5135/ 2017- H
Supply: 108 pairs stockings anti embolism thigh high medium 2017-10-03 11:00 ZNQ 775/ 17/ 18
Supply: 150 pairs stockings anti embolism thigh high x large 2017-10-03 11:00 ZNQ 776/ 17/ 18
Supply: 6360 units nebulizer aerosol child 2017-10-03 11:00 ZNQ 835/ 17/ 18

Pages

Functionality and Tenders

In all competitive bids (tenders) you as the bidder will have to respond to Functionality. You will need to score a set minimum number of points, measured as a percentage, on Functionality of a competitive bid (tender) in order to advance to the next phase of evaluation in the tender process.

Usually Organs of State evaluate competitive bids (tenders) as follows:

  • The tender response is evaluated on Functionality where the bidder must score points out of a maximum of 100 points.
  • A threshold of between 65 to 75 out of 100 points... Read More
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