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.
Supply and deliver 75mm X 45mm Number Decals starting from 0-8 2018-03-05 11:00 GQ02181698
Supply and deliver Oval Decals with a length of approximately 285mm and width of 202mm 2018-03-05 11:00 GQ02181698
African Union research grants: 2018 - open call for proposals 2018-05-22 17:00 HRST/ST/AURG-II/CALL2/2018
Supply and install Inlet and Outlet Pressure Gauges for Inductively coupled Plasma 2018-03-05 11:00 CSQ02181226
Supply and install High Purity Nitrogen Regulator for Inductively coupled Plasma 2018-03-05 11:00 CSQ02181226
Supply fluke tpak toolpak 2018-02-27 12:00 GD11800773
Supply Endress+Hauser Ultrasonic FMU90R22CA161AA1A Flow Meter,and Prosonic Level Sensor FDU91 2018-03-02 12:00 GD11800775
Supply vegawell 52 pressure transmitter 2018-02-27 12:00 GD11800776
Torula yeast,Nature’s choice 500g x 5bottles 2018-03-02 11:00 RFQ 000225
Supply of Precise Leveling equipment 2018-03-02 12:00 GD11800778
Re-Advert - Appointment of a service provider for the supply and implementation of an in-house finance system 2018-03-02 11:00 009- 2017/ 2018
Supply: Battery operated grinder 2018-03-02 12:00 GD11800779
Request for proposals to assist the ARC with the Annual Organizational and 360 degree assessments (Re-advertisement) 2018-03-23 11:00 ARC/ 13/ 09/ 17
Supply and Deliver SS Bracket as per Drawing attached, 3 Core 1mm instrumentation Screen Cable and E+H FDU 92 2018-03-02 12:00 GD11800780
Supply and deliver Cuvettes for Diaspect HB meter 2018-03-09 11:00 H392/ 17/ 18
Supply and deliver Screening OAE with DPOAE 2018-03-09 11:00 H346/ 17/ 18
Supply Comb binder & laminator a4&a3 machine 2018-02-26 11:00 GM11800633
Supply and delivery of firearm spare parts for Heckler and Koch Submachine Guns: to the South African Police Service nationally for a period of two (02) years 2018-03-23 11:00 19/ 1/ 9/ 1/ 46TT (17)
Gauze Swabs Sterile 100x100x8ply -100 Pieces Per Pkt ,40 Pkts Per Case X 100 Cases 2018-03-05 11:00 ZNQ 573/ 17/ 18
Supply, Delivery, Installation, Commissioning and Maintenance of Imaging Radiology Equipment at Various Gauteng Health Institutions for period three (3) years 2018-03-16 11:00 GT/ GDH/ 049/ 2018

Pages

Tender adjudication process

The SBD/WCBD6.1 document must form part of all bids invited.  It contains general information and serves as a claim form for preference points for Broad -Based Black Economic Empowerment (B -BBEE) Status Level of Contribution, and explains how tenders or bids are decided.

The document says:

  • The bidder obtaining the highest number of points will be awarded the contract.
  • Preference points shall be calculated after prices have been brought to a comparative basis.
  • Points scored will be rounded off to two decimal places... Read More
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