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Award Process
Knowledge sharing by : Prateek Kashyap
(With co-participation of Vipul Singhal)
We need to implement; BUT HOW????,
That’s a Project !!!!!
What is a Project?
Unique purpose
Temporary
Requires resources
Involve uncertainty
Steps in a Project
Step 4 : Procurement
• Purchase order
• Rate contract
• Auction
• Tender
• Acquisition
What is a Tender ?
them about the information required for the buyer to choose among them.
Its Objective
• To Ensure Best Fit Supplier is selected to Supply Goods/ Services to
customer which offers best value of money
• More options
• Equal opportunity
Routes to be followed for Tendering
Depends primarily on the Statutory Norms or the Financial Institutes .
• Contact Information
NIT-Govt.
• Bid submission period
Advertising the NIT
Depending on the the need of the Route of tendering, the NIT needs
to be advertised or circulated through & to :
• Contract Form,
The Minutes of Pre Bid Meeting are recorded and it may be followed by an
Amendment or Addendum to the Tender documents
The Bid Submission/ Tender Submission
Subsequent to the Pre Bid Meeting, the Bids are prepared and submitted in
the prescribed time and form, duly sealed.
Two Stage Bidding : First Techno commercial part & then Price part
• Technical Evaluation
• Commercial Evaluation
• Capacity Evaluation
The Bid Evaluation- Technical
• The equipment /system & manufacturer being offered by the bidder is to be
evaluated for its conformance with the tender technical specification
• The factory load of the bidder or its major supplier should be evaluated
The Bid Evaluation- Technical (-Score method)
The Bid Evaluation- (-Weighted Score method)
The Bid Evaluation- Commercial
• The Bid Forms are duly filled and signed
• Bid price is in specified currency or the listed conversion rate at the time of
price bid opening are to be considered.
• Details of any extra costs ( such as Delivery cost , shipping cost, custom
charges, insurance, documentation , testing & inspection) are identified
• The Bidder has sufficient funds to procure raw material and process so that
positive cash flow is maintained up to delivery of equipment
• The Bidder is not under litigation or any act resulting in bank corruptly
• The Bidder’s financial has sufficient immunity from market economy trend
• If offer is for Services , then check should be done if resultant staff savings or
reduction in support services fully accounted for
• Once the Technical part is freezed out , Bidders are asked to again submit
their Commercial Bid ( after taking into consideration the cost of technical
changes) .
Post Bid Meeting
Evaluation Report
• Before Release of Order/ award of contract , an evaluation report is being
generated for the purpose of Office records or for future reference.
Description of Contract
Type of Tender
• Based on Evaluation report & recommendation of Assessment Panel a “ Best Fit Bidder”
or successful is declared.
• A contract between Bidder & Employer is drafted as per International Contract Laws.
• Contractual Obligations & Rights are being drafted / incorporated in the contract