10 Principles When Pricing Your Tender

We are often asked how to work out a tender price? But there is no straight answer because every tender is different. The fact is that a tender for the supply of furniture will have a different pricing structure to that of the supply of food for a government function. So to provide individual pricing techniques would be very difficult.

In general, there are ten points that must be considered when calculating price. These are:

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

Tenders and Pricing

By Werner van Rooyen

www.how2tender.com

17 March 2014

One of the most important parts of any tender is pricing.

All tender documents will tell you that it is not necessarily the lowest bid that will win the tender and that there are also other factors that influence the final decision. This might be true but be assured that you will lose more tenders than you will win if you have the highest price. Make sure you price your tender correct.

Direct and Indirect Costs: 2 items that determine tender pricing

Article by Werner van Rooyen

www.how2tender.com

13 October 2014

Many bidders that respond to tenders struggle when it comes to calculating a price for a specific tender. One of the reasons for this is that a large number of small business owners are usually new to the tender process and therefore they lack the necessary experience to price their bids correctly.

Pages

Title Closing Date Tender No.
Provision of Disaster Recovery (DR) Services, WAN Services, Cloud Services and Rack Rental 2017-10-13 11:00 GMA/ 007/ 17
Request for Qualification of the Tshwane Agroprocessing Hub O.B.O. Teda 2017-11-10 11:00 GT/ GIFA/ 122/ 2017
Provision of office space for lease for a period of 2 years with an option to extend for another 2 years 2017-10-17 11:00 Corp/ 2017/ 08
Appointment of a Qualified ICT Service Provider To Provide Or Develop a SETA Grant & Learner Management Integrated System (Sglmis) 2017-10-16 11:00 Corp/ 2017/ 09
Appointment of a panel of service providers to provide secretariat services for the period of three years to assist the MHSC when hosting events 2017-10-23 11:00 MHSC014/ 2017- 18
Appointment of a service provider to assist NERSA with media monitoring and analysis services for a period of two (2) years 2017-10-12 11:00 NERSA/ 1718/ CSM/ MMA/ BID009
Appointment of a Service Provider Conduct the Pilot Research Study on the Elements of Financial Costs and Economics of Disability for Children and Persons with Physical Disabilities in South Africa 2017-10-13 11:00 SD10/ 2017
Appointment of a service provider (s) to conduct forensic investigation on the Integrated Financial Management System (Ifms) Project. 2017-10-13 11:00 NT018- 2017
Appointment of a service provider to provide organisational capacity assessment to support PSETA strategy 2017-10-12 11:00 OD/ PSETA/ 2017- 09
Appointment of a Travel Management Company (Tmc) to Provide Travel Management Services to Robben Island Museum (Rim) for a period of thirty-six (36) months 2017-10-18 11:00 RIM FIN 01- 2017 / 2018
Request For Proposal: Corporate Travel Management Services 2017-10-30 14:00 RFP 2017/ 07
Virginia and Odendaalsrus Project Management Services to Conceptualise, Implement 2017-10-31 11:00 SADPMR03/ 2017/ 18
Job Grading, Remuneration Benchmark and Employee Engagement Services for Technology Innovation Agency. 2017-10-16 11:00 TIA013/ 2017
Appointment of an experienced service provider to provide Meeting management services for a 6 months period 2017-10-13 11:00 WRFQ CS 2017/ 001
Provision of personnel verification services on a 6 months contractual appointment. 2017-10-13 11:00 WRFQ PV 2017/ 002
Supply: 120 units of toner cartridge brother (TN 3290) (brother original) 2017-10-09 11:00 ZnqSN333/ 17gaz
Supply and deliver safety boots x 10 Pairs 2017-10-02 11:00 217/ 2017/ 18
Supply and delivery of Library Material 2017-10-24 11:00 19/ 1/ 9/ 1/ 06TS(17)
Supply and deliver plumbing materials 2017-10-05 11:00 ZNQ 13/ 05/ 2017
Supply: 03 Units-Ent Patient Examination Chair 2017-10-04 11:00 A 05/ 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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