Bidding is a process of selecting the best supplier from a range of suppliers in the event of procurement process. Fair and open bidding is a transparent process that eliminates favoritism and is an important element to contractors or suppliers, when the process is not impartial, it creates uncertainty and suspicion of the organization in question, thus it is important for managers to ensure the process if transparent and has accountability. The process should also be open to inquiry and should convey best price. With the current advances in terms of information technology in the 21st century, it is apparent there is need for an efficient method of the procurement process that assures high level of accountability (Department of Education, 20)
First, the managers should ensure the bids are competitive to start with and that they attract bids from a number of proficient suppliers. This can be ensured by not imposing unreasonable conditions or specific unrealistic performances that will discourage bidders. Secondly it is a legal obligation for the organization in question to advertise the bids so as to ensure there is fair competition. The advertisements may be put in national newspapers, websites or magazines among other media channels. They should be able to receive alerts informing them of bids that are related to area of business expertise. Suppliers must be able to access essential information and opportunities to offer services or to be able to bid for contracts for the organization in question. No bidder can have information on the project beforehand and service providers cannot give gifts to the organization in question, all this to uphold transparency of the process (Department of Education, 22)
It is important for managers to ensure monitoring strategies are in place to eliminate all forms of discrimination in terms of gender, religion, race, political belief, age among other factors. An evaluation model for the bidding process is mandatory. To ensure transparency a debrief to the suppliers who submitted their proposal is of interest, they will be informed on the winning bidder, why they did not succeed as it is their right to know the reason for their rejection so as to rectify their flaws. They are also informed of the whole bidding process and documentation. Debriefing helps suppliers improve their competitiveness and their general performance (Request for Proposals Solutions, 11).
The winning bid may not be necessarily the one with the lowest price but a rational evaluation method of the bid proposal is imperative. It is done to ensure the bid complies with the mandatory requirements of the procurement process. It is good to ensure the evaluators involved do not have close links with the bidders so that they undertake a thorough review of the proposals, documentation and selection process. The manager is to ensure the suppliers in question do not receive information on competitors pricing. The bid proposal on the other hand are to be delivered at a specific time to the organization and opened and recorded at the same time to ensure the bids are fair and impartial.
Evaluation of the bid includes whether the needs of the project will be met by the winning supplier, there should also be assurance that the funds used in the process have been spent effectively and economically. The supplier should also be evaluated in terms of their relevant experience, turnover of their company, their financial stability and a tour of their facility may also be conducted all this to guarantee good performance and delivery of the contract or project. An evaluation committee is recommended most of the times; it must be unbiased, fair and consistent. They should also be able to consider performance, time and cost along with the transparency (Request for Proposals Solutions, 9).
The evaluation process may be compromised in cases where the bid proposals are compared, cases of incomplete documentation, reliance on personal knowledge of the bidder, unauthorized disclosure of the contents of the bid or even ignoring some information in the proposal, this must be avoided to ensure efficiency in the process(Request for Proposals Solutions, 8).
In conclusion, managers should always the bidding process is fair as it is an important component of the procurement process that provides an opportunity to get the best pricing and service, encourages competition among suppliers and most importantly provides competent suppliers for future bids. Ensuring the process has confidentiality, consistency and documentation also helps evade legal repercussions which may occur in cases where suppliers challenge the organization when there is a probability of the bidding process was not fair.
Department of Education. Procurement Essentials. (2010). (Web. 6th, 2015).
Request for Proposals Solutions (RFP). Bid Evaluation Orientation Guide. Things to Consider When Preparing For an Evaluation. (2010). (Web. February 5th, 2015).