The four stages
They follow on, and each conditions the next. The steps run from assembling the package to the award.
Preparing the package, which presupposes a checked specification, covered in the article on checking a schedule.
The launch, issuing the package to the contractors invited and fixing a return date.
The tender period, during which contractors study and raise queries, covered in the article on queries and corrections.
Receipt and analysis of bids, covered in the following branch.
The applicable regime differs according to whether the contract is public or private, developed in the article on public and private contracts.
| Step | What it produces | Timing |
|---|---|---|
| Preparing the package | The tender documents | Before issue |
| Issue to contractors | Competition between bidders | Start of the tender |
| Queries and answers | Corrections circulated to all | During the tender |
| Receipt of bids | The priced proposals | At the deadline |
What is decided before launching
Five decisions, all structural.
The form of contract, measured, lump sum or other, covered in the article on measured and lump sum.
The division into packages, which determines the number of counterparts and the coordination burden.
The list of contractors invited, whose composition conditions how relevant the bids will be.
The selection criteria, which must be known before bids are received rather than built afterwards.
The programme, on which the quality of the contractors' studies depends.
The fourth decision is the one most often deferred, and its absence turns analysis into after-the-fact justification.
The programme to allow
Three durations to distinguish.
The time allowed to contractors to study and price, which directly conditions the reliability of prices. Too short a period produces safety pricing or refusals to bid.
The analysis period, often underestimated, particularly where several packages are tendered at once.
The period of validity of bids, during which contractors remain bound.
In public contracts this last point is regulated: the official sources indicate that the award period does not normally exceed two months from the opening, bidders remaining bound until it expires.
In private contracts this duration derives from the tender documents, and its absence creates uncertainty unfavourable to both parties.
The commonest errors of organisation
Four errors, all costly.
Inviting too many contractors. Beyond a certain number the probability of a return falls, contractors allocating their effort according to their chances.
Inviting contractors unsuited to the package, which produces off-target bids or withdrawals mid-tender.
Launching on an unchecked package, which forces corrections during the tender and extended dates.
Allowing no analysis period, leading to quick decisions on poorly compared bids.
The first error is counterintuitive: multiplying those invited does not multiply bids, it thins them.
What distinguishes a good tender
Three criteria, verifiable after the event. They allow the fairness of the process to be evidenced.
The return rate. A majority of contractors invited submitted a bid.
Comparability. The bids cover the same scope and compare item by item.
The absence of substantive reservations. Contractors did not need to qualify their bids with conditions altering the scope.
These three criteria measure the quality of the package, more than that of the market.
The articles in this branch
The article on public and private contracts covers the regimes. The two regimes are compared there.
The article on the tender documents covers content. Their content is detailed there.
The article on queries and corrections covers exchanges during the tender. The procedure is described there.
This article reflects practice and rules at the date of checking and serves professional orientation. It does not constitute legal advice.