Issue Date: 
Monday, February 2, 2015

5 pillars of Supply Chain Management

By W van Rooyen

www.how2tender.com

2 February 2015

The South African Government introduced the Five Pillars of Procurement. These five pillars were introduced to stimulated and grow Small, Medium and Micro Enterprises. Every good State department’s Procurement Policy will include these five pillars. All Bid Evaluation Committees are to follow and apply these five pillars.

The Five Pillars are:

  1. Value for Money

In short this means that it is not necessarily the tender with the lowest price that is going to win the bid. If the lowest price means an inferior product then the Evaluation Committee will seek for a better product. Ensure that, when you respond to a tender, your product is good value for money.

  1. Open and Effective Competition

Government departments must take care that everybody has a reasonable chance to compete for tenders. They must ensure that their procurement process is transparent and fully understandable. They must make sure that there is no favouritism towards any bidder.

  1. Ethics and Fair Dealing

Government officials must conduct themselves properly without compromising their integrity. When conducting their tender evaluation they must not accept bribes or gifts from potential suppliers. In fact, they must not accept anything of sorts from nobody.

  1. Accountability and Reporting

This is a two way street. You, as potential supplier, must be able to account for your actions and plans. You must ensure that you have good reporting methods build into your bid. Government departments must report to their superiors and must be held accountable for their procurement actions.

  1. Equity

The purpose of the fifth pillar is to promote business with Previously Disadvantaged Individuals (PDI’s). Small, Medium and Micro Enterprises together with PDI’s must player a bigger part in the development of the larger South African Economy. Any good Procurement Policy will address Equity as a main feature in the procurement process.

In responding to a tender or request for proposal it is always good to keep these five pillars in mind. Try to address these five pillars in your tender response and you might just be lucky and win a tender.

Now that you have this knowledge you might just want to invest in our newly revised Tender Manual 2015 that is available on our website www.how2tender.com. The Tender Manual will teach you all you need to know to respond to tenders correctly and hopefully successfully.

Until next time - happy tendering.

Title Closing Date Tender No.
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
Supply: 1100 pkts electrodes E.C.G adult pkt/50 2017-10-03 11:00 ZNQ 834/ 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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