This may result in a lot of time, money, and effort wasted in trying to submit and analyze a tender proposal. It’s known to be slow and costly, as it garners the attention of a large number of suppliers––many of which are unsuitable but still have to be acknowledged. There are certain disadvantages that arise with open tendering. This is believed to: stimulate competition, ensure that everyone gets a fair chance by minimizing discrimination, and allows one to receive the most cost-effective option. This process invites everyone to submit a tender proposal, offering an equal opportunity to all. This is the main tendering process used today. Keep on reading to understand the advantages and disadvantages of the most commonly employed tender procedures. This is due to the wide range of goods and services requested by tenderers, which may sometimes only fit certain suitors.
If you’re a veteran bidder, this article might not interest you as much– but we have plenty of others that can help improve the way you tender here.Īs you might have guessed, there are several types of tender procedures that dictate who can submit a proposal for a specific tender. If you are, you’ve probably seen the phrases “negotiated tender”, “open tender”, and “selective tender” thrown around left, right, and center.
