10 steps in the bid process

Each year, Organs of State invite the Private Sector to submit competitive bids for the supply of goods and services. Organs of State bid requests attract SMME's and large businesses across a wide range of sectors - from office supplies to major construction projects.

Here is an overview of 10 steps you should take to prepare a competitive bid.

1.    Register your interest

Cancelation of Government Tenders

Many of you who have responded to Government tenders have been disappointed when a tender is cancelled. You have put in many days and nights' worth of effort just to receive the bad news the tender is cancelled.

The question is - do Government entities have the right to cancel tenders?

Government entities do have the authority to cancel a tender before it has been awarded. Regulation 13 of the Preferential Procurement Regulations, 2017 stipulates that a tender can be cancelled -

What is my chance of winning a tender?

What is my chance of winning a tender? This question gets ask many times - should it be by people attending our How-to-Tender workshops or business owners making use of our tender consulting services.  The problem with the question is that there is no straight forward answer. People expect us to say your chances are 50% or 60% or whatever the case might be. 

The real answer is much more complex than a simple percentage. 

It is imperative for all potential bidders to familiarize themselves with the tender process in South Africa. There are procedures that need to be followed by Government Entities when they issue a request for quotation or competitive bid (tender). These procedures are governed by different Acts such as the Preferential Procurement Policy Framework Act (Act no 5 of 2000) and the Public Finance Management Act (Act 1 of 1999 as amended by Act 296 of 1999) to name but two.

Compiling your tender response

We have responded to many tenders, request for proposals, request for quotations and request for bids during the last five years. These responses to tenders were both for Private as well Public Sector Tenders. During this time we have found that the system and steps explained underneath, that we utilize in compiling our tender response, worked the best for us. These steps that we follow are simple and easy to replicate. We can certainly encourage our fellow tender responders to use the same system and steps when compiling your tender response.

Tenders explained

Each day hundreds of tenders are being advertised but we often only hear about those where things have gone wrong or where the concept has been abused. It gives ‘Tenders’ a stink it doesn’t deserve. In today’s blog, we look at what exactly a tender is.

Understanding the Tender Process

By Werner van Rooyen

www.how2tender.com

3 March 2014

Sometimes I am surprised at how little business people in South Africa know about tenders and the tender process. Simple things like terminology and general tender information seem difficult to comprehend, not to mention the standard bidding documents and tender pricing.

Submitting your tender

By Werner van Rooyen

www.how2tender.com

2 June 2014

After our recent tender workshop: How to complete a tender, we realized that there are still people that struggle with submitting a completed tender document.

Underneath are tips on submitting your tender response. Ensure that you follow these guidelines when you submit your tender response.

Policies & Procedures - Tenders

By Werner van Rooyen

www.how2tender.com

17 June 2014

Last week I had a look at an Eskom tender. In it was a section pertaining to Policies and Procedures. It made me wonder how many SMME’s have got Policies and Procedures in place. The problem with Policies and Procedures is that it sounds much more complicated than it actually is.

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Title Closing Date Tender No.
Supply, Delivery, Installation & Commission of Three Headlight Aim Testers for Vehicle Test Station for Traffic Services 2018-12-24 12:00 RFQ/HPS/2018-19/291
Provision of Driver Education (Learner and Driving Licence) 50 Persons in Ward 38 2018-12-24 12:00 RFQ/IDP/2018-19/290
Supply & Delivery of Electrical Inventory Items 2019-01-11 12:00 SCM/2019/94/ENG
Provision of Driver Education (Learner and Driving Licence) 50 Persons in Ward 08 2018-12-24 12:00 RFQ/IDP/2018-19/289
Appointment of construction of a small administration block, 2 x grade R classrooms, guard house, erection of fence, completion of the multi- purpose classroom, nutrition centre, 2 x 3 classroom blocks, conversion of 1 x 3 classroom block into hall and external works at Leboeng Primary School located in Leboeng Village in Sekhukhune District, Limpopo Province grade 7 GB and Above 2019-01-30 12:00 EDDP 184/57B
Advanced Firearm Training Programme 2018-12-28 12:00 RFQ/DHR/2018-19/297
Updating and Maintenance of BCMM`s Water Hydraulic Models and Water Demand Analysis in IMQS - Inland 2018-12-28 12:00 RFQ/DES/2018-19/296
Procurement of Professional Service Providers from the Built Environment that specializes in Architecture, Quantity Surveyors, Civil & Structural Engineers, Electrical Engineers and OHS Agents For The Planning, Design, Supervision and Closure of the Programme 9 Schools for the Limpopo Department of Education 2019-01-28 09:00 LDOE/66PSP/2018/1
Thermocycler 2018-12-21 11:00 RFQ GAU86
Jagerust Water Treatment Plant Refurbishment 2019-02-28 10:00 E/BS3691R
Supply of parts, spares and repairs of Teledyne make of ambient air quality monitoring gas analyser for lab and site network 2019-03-08 10:00 CORP 4655
Supply and delivery of electrical material and equipment for Nkomazi LM for a period of three (3) years 2019-01-31 12:00 NKO 90/2018
Provision of a functional and technical support service for Ellipse and associated bespoke systems implemented at eThekwini Electricity 2019-02-15 11:00 E.9646
Online coal quality measurement staithes incline conveyors 2019-02-12 10:00 MPGXC005157R
The maintenance and repair of portable earthing gear in Mpumalanga Operating Unit on an as and when required basis 2019-02-12 10:00 MPDX001033
Appointment of a service provider to compile a waste characterization report - Solid Waste Management 2018-12-28 11:00 FQ/SM: 97/19
To design, manufacture, supply, delivery, removal, installation and commissioning of 2 (two) spare LP heaters (1 x LPH 3 and 1 x LPH 4) for a period of 5 years 2019-02-13 10:00 MPGXC005426
Supply, delivery and installation of 2 x automated multi-deck weighbridges at Tutuka Power Station 2019-02-13 10:00 MPGXC005428
Supply and delivery of one (1) Landfill Compactor 2019-01-18 12:00 IHLM-78/12/2018-19/COMM
Provision of Short Term Insurance for the period from 01 July 2019 To 30 June 2022 2019-01-18 12:00 FIN 01/2019/20

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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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