As a consumer, we all want to know that we are getting the very best value for money.
There’s nothing more frustrating than hearing that someone saved money on the outfit/peripheral/gadget that you bought only the day before. In this sense, the procurement world is not unlike you and I. Contrary to what conspiracy theorists may suggest, local authorities are looking for value, not just savings. But how can you make sure the authority wants what you have to offer?
Always review how the tender is going to be assessed. If you are expensive for the sector, and pricing is weighted at 80%, then you will have to justify your pricing to make sure you get the maximum points available for quality. Alternatively, if the weighting is less, or equal, you have a greater amount of flexibility to explain how you would deliver a more effective, comprehensive service, adding more value than your comparably priced competitors. Do not forget that tendering is a competition!
Reviewing the specification
Getting the pricing just right is a balancing act for even the most battle-hardened accountant. You want to be fair, but fair enough to make the client pick you, whilst still ensuring the contract is worthwhile. This is where your knowledge of the sector, and your competitors, will be invaluable in making your bid more desirable. Internal decision making systems differ; however, one such example would be to review your proposed pricing and the specification alongside one another, asking yourself key questions about your capabilities, such as:
- Can I meet the SLAs in this area? Can I exceed them?
- Do I have this desired certification?
- Do we have an office established in the area? Or an established workforce?
From here, it’s time to sharpen your pencil! If you can overperform in an area, that could justify a more expensive pricing schedule. However, if you do not have something that the client wants, rather than needs, it may be worthwhile reducing your pricing to accommodate a perceived shortcoming. Alas, there are no hard and fast rules for this, and the amount of flexibility you have in your pricing will be entirely up to you.
However, what if the assessment criteria is based 100% on the quality responses? Then the onus falls on presenting your organisation as the best possible option through persuasive, evidence-based bid writing.
We at Executive Compass pride ourselves on being able to add value to any quality responses based on an auditable history of successful tenders across a multitude of sectors. We work directly with the client to gather information to ensure our submissions are evidence-based and directly meet the tender specification. To discuss how we can support you call 020 3507 0314.