Issue Date: 
Monday, May 23, 2016

Functionality in Tenders Part 2 - 10 Tips

Tenders in South Africa are measured on three principles namely Functionality, Price and Broad-Based Black Economic Empowerment (B-BBEE). An Enterprise's ability to execute a contract is measured through the Functionality Principal in the Tender Environment. If an Enterprise's tender response does not pass the Functionality test it can't be measured on Price and B-BBEE. Enterprises that respond to tenders must ensure that they will pass the Functionality test in order to advance.

But how do you ensure that your tender response will pass the Functionality test? Here are 10 tips on how to pass the Functionality test:

1.    You must realize that the Functionality test in a tender is nothing else but the section where you advertise your goods and / or services. Responding to tenders it is a focussed marketing opportunity. You get the opportunity to focus           your marketing one specific buyer who is in desperate need of procuring goods and / or services such as what you are offering. Ensure to make the most of it!
2.    You earn points during the Functionality test. Before you start responding to tenders go to the Functionality section. Scan the criteria to see if you will earn enough points to go through to the next round of evaluation. It doesn't make           sense to waste time and money on a tender response if you are not going to pass the Functionality test.
3.    Ensure that you respond to a tender that is related to the business you are in. You will not be successful in bidding for something that you have no experience of.
4.    Use the exact phrasing or wording in your tender response that is used in the tender document. This makes it easier for the Evaluation Committee to find what they are looking for in your tender response.
5.    Use the exact same format that the tender document uses in your response on Functionality. If the Functionality in the tender document is in a table then try and use a table as well in your response.
6.    Your items under Functionality must be in the same order as that in the tender document. Don't swap items around. You want to make it as easy as possible for the Evaluation Committee to find what they are looking for.
7.    Don't over sell your business. This might seem weird saying this but many Enterprises have a range of goods and / or services that they sell. Evaluation Committees are only interested in the goods and / or services that they want to         procure. Giving them too much information at the wrong time might prevent them from finding the right information.
8.    Be visual! In today's world everything is about visual effects. We look at mobile screens, computer screens and big screen televisions. Heck, even your car has a screen it these days! Ensure that your tender response, especially               when it comes to Functionality, has some photos in it. Put photos in of your product as well as photos of your Enterprises' people. If you use machinery in your business then showing it of is always a good idea. At the end of the day         the photos that you put into your tender respond must add value to your tender response. Obviously the photos must be relevant to the tender requirements.
9.    Be honest in your functionality response. Remember that a tender is binding and if you cannot execute the contract you might find yourself in legal battles if you have won the tender but you cannot execute the tender.
10.  Finally you must remember that your tender response is going be evaluated by a person such as you and me. Also remember that your tender response is not going to be the only tender response to that specific tender. So make it           easy for the people on the Evaluation Committee to find and score your Functionality items.

If you follow these tips and tricks you will have a better chance in be successful at bidding. 

To learn more about this and many other tender conditions please attend one of our How-to-Tender workshops. For more information on the tender courses please email Werner at werner@how2tender.com

This article was written by Werner van Rooyen, Director of HowToTender (Pty) Ltd. which specializes in tender consulting and tender training.

Title Closing Date Tender No.
Appointment of service providers to implement The Animal and Veld Management Programme (AVMP) Soil Rehabilitation Project in Rietfontein Land Reform Farm in the Soutpan area in Masilonyana Local Municipality within Lejweleputswa District Municipality in the Free State province. 2018-10-05 11:00 PSSC- RID- FS 0003 (2018/ 2019)
Supply , Delivery and Off-loading of Perishable Provisions at Barberton ,Bethal and Witbank management areas( Mpumalanga Province) 2018-11-06 11:00 LMN 05/ 2018 MPUMALANGA
Appointment of a service provider to render security guarding services at the Department of Public Service and Administration for a period of two (2) years. 2018-10-12 11:00 DPSA002/ 2018
Provision of Geographical Information Solution (GIS) including maintenance and support services. 2018-10-24 11:00 RFP 29/ 2018
6000 units of emollient bp cream with chlorocresol 500g, or equivalent 2018-10-08 11:00 ZnqLS443/ 18gaz
Butterworth Magistrate: Repairs & Servicing of Air-Conditioners. 2018-10-11 11:00 MTH 59/ 2018
36 units of Dextran 40, 10% in sodium chloride injection iv solution, 0.9% 500ml (Rheomacrodex), or equivalent 2018-10-08 11:00 ZnqLS442/ 18gaz
Drain cleaning and verge maintenance on Road P242, from 0.00KM TO 9.9KM. 2018-09-27 11:00 ZNT373T/ 2/ 4/ CDUR/ 601/ S/ 10/ 2018- 19
Drain cleaning and verge maintenance on main road P100 section 1&2 between chainage 0.00KM to chainage 14.5KM. 2018-09-27 11:00 ZNT373T/ 2/ 4/ CDUR/ 601/ S/ 05/ 2018- 19
Supply and Delivery of Dairy products and Maize Drink to the Gauteng Provincial Government (GPG) Departments and State Information Technology Agency (SITA) for a period of 36 months 2018-10-12 11:00 GT/ GPT/ 126/ 2018
Betterment and graveling on road D755 from KM 1.80 TO KM 2.80. 2018-09-27 11:00 CDUR/ 620/ S/ 03/ 2018
Supply and Delivery of Self-Adhesive Pharmaceutical Labels to all Hospitals/Institutions under the control of the Department of Health, Western Cape Government for a period of three (3) years 2018-10-19 11:00 WCGHSC0168/ 2018
Installation of Speed humps and Rumble strips on P129. 2018-10-23 11:00 ZNT373T/ C237/ 12000/ S/ 13
Request for Proposals to assist the ARC with the travel, accommodation and conference services for all the ARC offices nationally 2018-10-22 11:00 ARC/ 11/ 09/ 18
Installation of Speed humps and Rumble strips on P1-8. 2018-10-23 11:00 ZNT373T/ C237/ 12000/ S/ 12
Refrigerated Cross-Border Transport and clearing of cargo; including payment of import Value Added Tax (VAT) for the import of the Foot-and-Mouth Disease (FMD) vaccines from Botswana via the Kopfontein Border Post 2018-10-29 11:00 ARC/
Installation of Speed humps and Rumble strips on P12-2.: Civil Engineering services: Tender must be registered as grade 2CE only with the CIDB register of contractors.Tender must be registered as Emerging Contractors in the Vukuzakhe Emerging Contractor Development Programme (as per database of Department of Transport) 2018-10-23 11:00 ZNT373T/ C237/ 12000/ S/ 11
Bontle Ke Botho (BKB) Greening Project 2018/19 2018-10-12 11:00 GT/ GDARD/ 130/ 2018
Betterment & Re-graveling of D88 in the Amajuba District. 2018-10-18 11:00 C253/ 1819/ BR/ 796
Betterment & Re-graveling of D88 in the Amajuba District. 2018-10-18 11:00 C253/ 1718/ BR/ 823

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Advantages and disadvantages of Consortiums

Consortiums are often considered as entities to use when responding to tenders in South Africa. The question that arises is whether to use a Consortium or a Joint Venture when responding to a tender. To help you with this we have compiled a list of advantages and disadvantages for both Consortiums as well as Joint Ventures. In this article we list the advantages and disadvantages of Consortiums. Look out for the same article on Joint Ventures.

Consortiums Advantages:

  • Easy to establish as there are no formal procedures... Read More
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