Training Course: Advanced Tendering Procedures & Bid Evaluation

Introduction

This training course will examine all the inputs that influence and directly impact tendering procedures and bid evaluation. Key elements include understanding business needs, market analysis, supply chain cost modeling, contracting strategy, and contract award up to and including contract initiation. The course introduces a methodology for classifying 3rd party goods or services into categories based on supply risk and spend value. Then, a methodology is introduced to assign the best-fit market approach to a particular category or its sub-category. All of this will lead to optimal tendering procedures and effective bid evaluation.

By the end of the course, participants will have gained the necessary skills to manage competitive bidding processes and perform accurate bid analysis for selecting the best offer.

Course Objectives

By the end of this training course, participants will be able to:

• Classify 3rd party goods and services based on supply risk and spend value.
• Understand the procurement strategy options available for a given opportunity.
• Plan and manage a competitive tender process from start to finish.
• Create an appropriate evaluation methodology for bids and tenders.
• Evaluate vendor proposals from both a technical and commercial perspective.
• Prepare for and conduct professional negotiations with suppliers.

Course Outlines

Day 1: Formulating the Contracting Strategy

• Classifying 3rd party spend into categories based on supply risk.
• Market approaches: How to select the best market strategy for each category.
• Crafting the contracting strategy: Selecting the best approach to procurement.
• Identifying and mitigating contracting strategy risks.
• Choosing the best contract type:
  • Lump-Sum Fixed Price Contracts
  • Unit Rate Contracts
  • Cost Plus Contracts
  • Day Rate Contracts
  • Time and Materials Contracts

Day 2: Best Practices in Tender Procedures

• Tendering process: Understanding the steps in competitive bidding.
• Seeking Expressions of Interest: Initiating the tender process.
• Pre-qualification methodologies: How to determine bidder qualifications.
• Basic accounting and economics: Fundamentals for managing tenders.
• Total Cost of Ownership and how to calculate it.
• Internal cost estimates: Preparing accurate internal estimates for comparison.
• The role of negotiation: How effective negotiations can improve tender outcomes.

Day 3: Optimizing the Tender Documents

• Contents of the tender package: What should be included for effective evaluation.
• Ensuring robust specifications and scope of work: Defining deliverables clearly.
• Defining the response required from bidders: Setting expectations for bid submissions.
• Essential clauses in the draft terms and conditions.
• Bid security and performance security in public tenders.
• Anticipating and reducing scope change risks during the tender process.

Day 4: Managing the Technical and Commercial Evaluation

• Purpose of bid evaluation: Understanding why bid evaluation is crucial in procurement.
• Lowest price vs. best value for money: Evaluating which bids provide the most value.
• Stages of evaluation: From initial screening to final selection.
• Clarifying bids to assist in evaluation: How to resolve uncertainties.
• Choosing evaluation and award criteria: Selecting the right criteria for assessing bids.
• Bid evaluation approaches: Methods for assessing technical and commercial aspects.

Day 5: Managing the Contract Award and Initialization Stage

• Communicating results internally and externally: Ensuring transparency in the award process.
• Tender bonds and performance guarantees: Understanding the importance of these instruments.
• Dealing with disputed contract awards: Managing challenges in the award process.
• Operating under pre-contract letters of intent: Legal considerations.
• Managing pre-contract scope changes: Handling modifications before contract finalization.
• Initiating contracts: Transitioning from the award to contract execution.

Why Attend This Course: Wins & Losses!

• Mastering tender management and understanding the procurement process from start to finish.
• Gaining proficiency in bid analysis and learning how to assess technical and commercial proposals.
• Understanding how to manage a competitive bidding process and create an efficient evaluation methodology.
• Building the skills to manage negotiations with suppliers to secure the best offers.
• Developing the expertise to optimize tender documents to ensure a comprehensive and effective bid evaluation.
• Learning how to reduce scope change risks and how to ensure a smooth transition to the contract initiation stage.

Conclusion

This course provides you with essential tools for mastering tender management and bid evaluation. Participants will learn the fundamentals of managing the entire tendering process, from preparing the documents to conducting professional negotiations. The course also delves into advanced techniques for evaluating bids and optimizing the procurement process. If you're looking to sharpen your skills in managing competitive tenders and making informed decisions, this course will equip you with the knowledge and expertise to succeed. Don't miss out on the opportunity to improve your tendering strategies and elevate your procurement process to new heights.