Typical Bidding Process

The bidding process (from the buyer) as per The Public Procurement Act 15 of 2015

Bidding process

Conducting the bidding process is a very important phase in the procurement process. On completion of the preparation of the Bidding Documents and obtaining necessary approvals, the Public Entity proceeds with the invitation for bids in strict compliance with the provisions of the Public Procurement Act and its accompanying regulations.

This phase consists of very important stages, which may be summarised as follows:

• Invitation for bids
• Issue of bidding documents
• Dealing with requests for clarifications
• Receipt and custody of bids
• Opening of bids
• Examination and evaluation of bids
• Review of bid evaluation report
• Approval of award
• Notification to the selected bidder and to unsuccessful bidders
• Attending to challenge and application for review, if any
• Award of contract
• Debriefing of unsuccessful bidders

The Bidding Process (from the seller)

Many small and big businesses seek to expand their market by bidding on larger or more long-term projects. Contracts might include governmental Requests for Proposals (RFPs) or companies seeking to be the primary provider of a particular product or service for a larger company. When bidding for a contract, follow ten basic steps to improve your chances of being awarded the contract.

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

1. Acquire Compliance Documents and position your company: Before attempting to submit bids for projects make sure that you have all relevant registrations such as company registration, social security, inland revenue, etc. Be sure that you are in compliance with all state departments and that all levies are paid up. Position your company in a specific industry and build a track record.

2. Bid Notifications: Stay up-to-date with notification for bid invitations, inspect newspapers, company websites, and online portals such as the Oilonga Tender Portal to stay up-to-date with opportunities in your industry. Most companies and government institutions require that you register as a supplier on their database in order to receive requests for direct or emergency procurement or for small value purchases. Make sure your company is listed as a supplier on your targeted buyers’ lists. Have a person within the company responsible for keeping up with bidding invitations, leaving this task unallocated can lead to missed opportunities and last-minute submissions.

3. Acquire and Inspect the Bid Document: Be sure to have a budget to cover the cost of bid documents, although some companies such as MTC and Nampower distribute their documents for free most companies charge a levy ranging from N$100-N$1000 depending on the value of the project. It is critical to inspect the document to ascertain that you qualify before purchasing the document. Take factors such as deadline, site visit dates, deadline for clarifications, mandatory documents, bid security requirements, etc into consideration when inspecting the document. At this step, you should have a clear understanding of what the bid requires and if your company meets all basic requirements.

4. Register your interest
Follow the instructions in the bid document to register your interest with the buyer.  This crucial step will help keep you up to date on any bid information sessions, clarification, or amendments to the bid document.

5. Attend briefing sessions and request for clarifications
Normally the bid invitation will state if there is a site visit or not and the deadline for clarifications. Inspect the document well in advance in order to allow yourself enough time to plan for the site visit and to seek clarifications for matters that are unclear. Remember that bid documents are prepared by humans and therefore can contain errors or omissions, make it a habit to seek clarification if anything sounds ambiguous or unclear.

6. Develop your bid response strategy and activity schedule
If you are bidding for a high-value bid, plan your bid carefully and consider the requirements and resources involved.  For example, ask yourself:
a) How much will it cost to prepare the bid?
b) What information do we need to gather?
c) What resources will we need to fulfil the contract?
d) Who will manage the bid project?
e) How will we plan the workload, assign the work required, schedule the meetings?
f) Who is our competition and what are our chances of winning?
g) What is our plan for marketing our products and services and pitching our business? What type of companies won similar bids in the past?  What does the contracting Organ of State look for?  What can you do to match their expectations?

The activity schedule should detail the various task that need to be executed in the preparation of the bid. Include dates, names and contact information of the parties responsible for their execution. Share this document will all involved and revise it on a daily to make sure you are track to avoid last minute or late submissions. All late bids are disqualified, plan to submit a day before the actual deadline. If the submission is by courier send the document a week in advance and confirm receipt of the document at least 2 days before the actual deadline to all for damage control should your package go missing.

7. Write a compelling bid and organise all mandatory documents
Prepare your bid response.  This includes getting all the required documents, planning, drafting, and refining it.  Make sure that you use the response forms provided and answer all questions.  Stick to any word/page limits that there may be, and (generally) do not go altering things like fonts and font sizes and numbering unless expressly permitted.  Be clear about your structure and propositions.  Decide on several key propositions you can use to set your bid apart from others.  Review the evaluation criteria to gain a better understanding of what things the government agency is particularly looking for and will be evaluating your offer against.  If you are not a strong writer, think about engaging a professional (a range of businesses offer bid writing services).

8. Check and submit your bid
Make sure you check your proposal carefully before submitting it.  Use a checklist to make sure your bid meets all the requirements (some bids will include a checklist that you can also use).

9. Present your bid
Bid panels responsible for high-value contracts may request a formal presentation from bidders.  If you need to present your offer to an evaluation panel, stay focused on the key messages in your proposal.  Most importantly, prepare.  Plan your presentation carefully, rehearse, and, if you do not feel you are a strong presenter, get some coaching in presentation skills.

10. Request a debriefing
You can request a debriefing on the bid after the process, especially if your bid is unsuccessful.  Feedback from the evaluation committee can be extremely useful in understanding how your offering can be improved and can assist you in preparing for your next bid.  Look for ways to improve your next bid.